David Jones will expand its customer loyalty program to try to stem the tide of same-store sliding sales and boost the major department store chain’s online sales rise.
The company said last week in a trading update it had suffered a third consecutive year of falling like-for-like sales as it pushed ahead with plans for store closures and downsizing floorspace.
Up until now, the loyalty program was in partnership with American Express, but the new rewards structure focuses more on engagement with shoppers rather than financial services.
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This will include sign-up and birthday rewards, updates on brands and sales as well as access to exclusive offers and invitations to special events.
The member will also go in a monthly draw to win a David Jones gift card worth $5000 with every purchase.
“David Jones Rewards is designed to strengthen our connection to our millions of valued customers around Australia and recognise and reward their loyalty with a program that is both convenient and highly accessible,” a company spokesperson told news.com.au.
“It will enhance our customer proposition and provide an opportunity for better engagement with our customers, which in turn will enable us to serve them better.
“More insight and understanding into our customers’ needs and interests will allow us to further elevate and personalise the David Jones customer experience.”
David Jones’ like-for-like sales were 0.1 per cent lower for the 52 weeks to June 24, and total sales were down 0.8 per cent.
But the online division has strengthened.
Its sales from that business rose 46.8 per cent and now account for 7.7 per cent of total sales.
The company said the updated rewards program would help “enhance our multichannel offering”, including online.
“The program has been closely integrated with our online offering to maximise convenience and accessibility for our customers,” it said.
“All offers and rewards are eligible to be redeemed across both physical and online David Jones locations in Australia, allowing us to recognise and reward our customers where and whenever they choose to shop with David Jones.”
A common gripe among shoppers at the department store is the poor customer service, and the company spokesperson said the updated rewards program would aim at improving this.
“David Jones Rewards will provide an opportunity for better engagement with our customers, which in turn will enable us to serve our customers better,” they said.
The loyalty program will operate exclusively online.
“In place of a traditional plastic card, David Jones Rewards members are issued a digital membership barcode for in-store purchases, which can be stored on any smartphone device via Apple Wallet, Google Pay or the Stocard app to redeem exclusive offers and rewards,” the spokesperson said.
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