Big Bazaar: An Indian Retail Chain's Customer Loyalty Initiatives
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Case Details:
Case Code : MKTG275
Case Length :16 Pages
Period : 2006-2011
Pub Date : 2011
Teaching Note : Not Available
Organization : Big Bazaar ,
Industry : Retail
Countries : India
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"Indian consumers are quick to switch loyalty from a
smaller retail outlet to bigger ones because of price competitiveness and the
wide range of products that they can choose from,"
- Harmendra P Sahni, Chief Operating Officer, Technopak Advisors Pvt Ltd. , in 2010.
"What is important in our journey is not the number of stores, but the customers' faith in us. It's
the India and the Indians, which have helped us, reach this feat in such a short
time span and today our country is creating a history in the World organized
Retail."
-Rajan Malhotra, President, Strategy & Convergence, Big Bazaar, in 2008. ., in 2010
INTRODUCTION
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In June 2010, Indian retail giant, Future Group, tied up with Tata Teleservices Ltd (TTSL) to start a unique mobile service called T24 (talk 24 hours). Under the agreement, Future Group offered GSM connections under the brand name T24 to customers visiting its retail outlets across all formats and locations. With a tagline of
'Shop More, Talk More and Talk more Shop More', the mobile GSM service was similar to a loyalty program, wherein a customer would get free talk time when he/she shopped at outlets of Future Group and vice versa. For instance, if a customer spent Rs. 2,001 in Big Bazaar, he/she would get Rs. 84 worth talk time free. Customers were also offered special deals and promotional schemes every time they purchased the paid recharge. According to analysts, the unique retailer-telecom partnership offered an innovative and first-of-its-kind value proposition to customers in India.
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INTRODUCTION cont... -
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