Sales / Marketing

Innovation creates win-win situation

by Jacky Wong

Jojo Poon, regional marketing director, Hong Kong & mainland China, PARKnSHOP
Photo: Johnny Kwok

Customer relationship management initiative helps enhance customised services

An innovative customer relationship management (CRM) programme which aims to segment customers' needs is helping PARKnSHOP achieve a win-win situation for its customers and suppliers.

The idea of the shop's Moneyback programme, launched earlier this year, is to provide brand loyalty cards and benefits for its customers in order to identify their purchasing patterns and collect personal data for marketers so that they in turn can provide more customised products and services.

Jojo Poon, regional marketing director, Hong Kong and mainland China, PARKnSHOP, says the supermarket chain has been a significant presence in Hong Kong for more than 30 years and has been highly successful in cultivating a mass-market segment.

Through its constant innovation and commitment to delivering quality, freshness, service and value, the chain has become one of consumers' most trusted brands. However, in addition to communicating with customers its core values and corporate philosophy, Ms Poon says it was high time the supermarket chain provided customers with a new shopping experience in order to retain brand loyalty — the key purpose behind the CRM release of the "Moneyback rewards card".

The initiative comes with a main card coupled with a set of three mini-cards for customers. Besides PARKnSHOP, the cards can also be used at Taste, Gourmet and Great. Plans are underway to examine the possibility of making the cards eligible for use in other retail shops under the company's group.

Ms Poon hopes the initiative can help capture data on long-term customers like fathers or other breadwinners in families who may not currently be the primary supermarket shopper for the family. The programme has been well received by customers since its launch. It has successfully obtained around 0.9 million registrations out of the 1.2 million target.

"While member recruitment is now in full swing the next phase of its development is to recruit more business partners to provide specials with respect to their specific target segments," Ms Poon notes.

She hopes the Moneyback card will become a customer's "everyday card".

"A good CRM initiative like Moneyback rewards cards can provide exponential benefits to a company, its customers and suppliers," Ms Poon stresses. Through this initiative, the number of clients at PARKnSHOP will continue to expand. Data on shopping behaviour and personal preferences also give the chain the ability to provide more customised products that in turn will ensure better customer service. At the same time customers enjoy a wide range of benefits and personalised offers, reinforcing their brand loyalty at the chain. Suppliers also gain by being able to reach specific targets in a very cost-effective way.

When devising a good CRM programme, Ms Poon believes marketers should engage in careful data-mining, a must in helping marketers determine the appropriate parameters for customer segmentation. At the same time, keeping a close watch on the latest market trends and frequently monitoring customer needs is also indispensable.

In viewing future development of CRM in the fast moving consumer goods market in Hong Kong, Ms Poon believes there will be more opportunities and challenges as customers' needs tend to become more and more sophisticated. That means customers will need more innovative and customised products and services in order to maintain brand loyalty.

All win

  • Money back rewards
  • Tailored special offers
  • Suppliers access targeted buyers
  • Retail expansion possible

Taken from Career Times 16 March 2007
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