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Development and Deployment of a Digital Customer Loyalty Program in Two Shopping-Centers

In: Chances and Challenges of Digital Management

Author

Listed:
  • Christin Barreira

    (Klaas Management)

  • Richard C. Geibel

    (E-Commerce Institute
    East European University)

Abstract

A significant amount of merchandise sales is conducted in large shopping centers. It is convenient and easy for customers to find many suppliers concentrated in one place an in this way they can cover a very large part of their needs at once. For the shopping center operators and for the individual stores, the shoppers are initially anonymous, because they go into the stores, buy the goods they want and leave again. This means that the centers and the stores cannot specifically address the respective customers an improve the shopping experience for them, because they do not know the customers and do not understand their shopping habits and personal preferences. This challenge can be solved by introducing an attractive digital loyalty program. In this program, customer receive points for their purchases and can then exchange the collected points for rewards. In this way, customers are incentivized to both visit the center and the stores more often, but also to buy more from these stores, as they are rewarded for doing so. This digital loyalty program is to be automated as far as possible, putting the customer at the center. This article describes the experience gained with custom software development and with the implementation of the program in two shopping centers. In the process, the lessons learned are evaluated and critically reflected with regards to the achievement of objectives.

Suggested Citation

  • Christin Barreira & Richard C. Geibel, 2023. "Development and Deployment of a Digital Customer Loyalty Program in Two Shopping-Centers," Springer Proceedings in Business and Economics, in: Richard C. Geibel & Shalva Machavariani (ed.), Chances and Challenges of Digital Management, pages 13-20, Springer.
    • Handle: RePEc:spr:prbchp:978-3-031-45601-5_2
    DOI: 10.1007/978-3-031-45601-5_2
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