Abstract

This case is about the customer loyalty initiatives at Big Bazaar, one of the largest retail chains in India. To maintain a loyal customer base, Big Bazaar came out with several promotional and loyalty programs which offered special discounts and rewards to customers. The hypermarket chain offered a host of value-added services to its customers and set a new level of standard in price, quality, convenience, and service. The case provides an overview of the different customer loyalty initiatives launched by Big Bazaar and their features. It also discusses the different loyalty cards introduced by Big Bazaar in association with ICICI Bank. The case concludes with a question on whether customer loyalty programs affect the purchase decision of customers and the challenges that Big Bazaar has to face in maintaining and extending customer loyalty at a time when the Indian consumer is spoilt for choices. This case is aimed at MBA/MS level students as part of the Retail Management/ Consumer Behavior/ Brand Management curriculum.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• The case will help the students:
• Understand the importance of customer loyalty, particularly in the retail industry.
• Study the different customer loyalty programs initiated by Big Bazaar.
• Understand the role of co-branded credits cards in customer loyalty programs
• Understand the concept of customer relationship management

Keywords

Customer loyalty , Customer satisfaction, Customer relationship management, Customer loyalty program, Indian consumer, Consumer Behavior, Promotion, Price, Quality, Convenience, Service, Value-Added Services , Loyalty Cards, Retail industry, Hypermarket chain, Big Bazaar