Middleton Department Store’s Loyalty Program

Nancy J. Rabolt , Judy K. Miler

Business Case
Source: Bloomsbury Fashion Business Cases
DOI: 10.5040/9781474208796.0048
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Abstract

An upscale department store in the United States has a loyalty program with many benefits for preferred customers who spend at least $2,000 per year. One preferred customer made a concierge appointment, a major customer service feature, with a newly hired sales associate to try on many new items that were chosen specifically and should have been perfect for this loyal customer. Several of the components of the program did not work out as the customer hoped they would. The customer had had a difficult morning, which resulted in her arriving late for the appointment. Upon arrival, she could not find a parking spot and thus arrived at her appointment agitated. The sales associate who she was due to see had taken her break and was not to be found when the customer arrived. Another sales associate, who was not aware that this appointment had been made, began to help in her stead. When finally in a dressing room, none of the selected items fitted correctly and were not appropriate for the customer’s new position at work. Students will evaluate whether this issue indicates underlying problems, and whether changes will need to be made to the company’s loyalty program.


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