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Submitted By:-

Amresh Kumar:-A 51

Alok Kumar:-A 16

Prabhat Shukla:- A 52

Manish Ahuja:-A 36

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Shoppers Stop -First Citizen

A loyalty programme and a virtue

Shoppers Stop's virtue of always 'putting the customer first' has enabled it to pioneer a

reward-based loyalty programme called Shoppers Stop First Citizen. With over 1 million

members contributing over 65% to sales annually, Shoppers Stop First Citizen loyalty

programme is the biggest and most successful programme in this category

Shoppers Stop in 2008 have looked around and taken a interesting turn.

The brand ,instead of telling the customers to look beyond shopping , now has started to

inspire them to "start something new". The new tagline comes along with the change in

the logo which now emphasizes that the positioning of the brand has been upgraded to a

"bridge to luxury" store.

While back in 2006 the brand was focused more on the "beyond shopping" experience,

where they emphasized on customers"Attitude". It was during this time the concept of

Retail store gained traction and created.

This was preceded by the IPO which was launched in 2004 , after which the brand

underwent a complete transition, providing customers more then International shopping

experience.

The retail store that was launched in 1991 ,started off as a purely menswear store.

The store in the later years quickly expanded to womenwear, jewellery,accessories,and

apparel.

In the next few years the brand was potrayed as the place where customer satisfaction

and experience was given the utmost priority.

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Shoppers stop first citizen(loyalty)card

First citizen : the name first citizen reflects commitment to offering customer the

ultimate shopping experience

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Objective:Ensure stickiness by increasing rewards to customers on every purchase they

make at the shop.

Eligiblity:

Any customer who purchase goods worth a predetermined amount.

Modalities:

Earn points which can be redeemed against their bill amount.

Three tiers with increasing value per point at each level.

Members are given special sale previews, birthday gifts & unique focussed

offer.

Results:

Has generated a database of over 23 lakh members who contribute to nearly

70% of the total salesof Shoppers Stop

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Details of first citizen card

As a First Citizen, your shopping experience

becomes even more enjoyable with

Reward Points for every time you shop at

Shoppers Stop

Exclusive benefits & privileges

Updates on what you can look forward toshop for at Shoppers Stop

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Cont

Exclusive cash counters at Shoppers Stop so

you can spend more time shopping than

waiting in a line

Enrollment fee includes 10.3% service tax

(Rs.181.32+Rs.18.68 service tax

Exclusive benefits & privileges

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First world : experience the rewards

Pizza hutt : 20% off on your bill on a minimum

billing of rs 600

Costa coffee : 20% off on all beverages

Kaya skin clinic : rs 500 off on any service

package

Golds gym : rs 500 off on annual membership Fortis escorts hospital : up to 10% off on all

surgical procedure

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Other CRM Programs

Direct mailers for birthday wishes and

information about first citizen preview sale

E-mail response management for ensuring

better feedback from customer

Customer service and support helps better

understand ones customers and anticipate

their interest in an enterprises products and

services

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Software's Used by Shoppers Stop:

Shopper Stop is using WIN/DSS & AS/400 MSS for

CRM program which come from company named

JDA.

Shopper Stop is Using PLUTOS software for there

billing.

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Customer Life Time Value

LTV = Total revenues- (Fixed costs + variable costs)

Total revenue = no. of customer * purchase of each customer=

23,00,000*20,000= 46,00,00,00,000

Fixed Cost = 80% of total revenue

= 36,80,00,00,000Variable cost = 36,80,00,00,0

Total cost =Fixed cost + Variable cost =(36,80,00,00,000 + 36,80,00,00,0)

=37,16,80,00,000 /-

Gross Profit = 19,87,20,000/-

Discount rate =12% = 2,38,46,400/-

Net Profit Value=(GP - Discount)17,48,73,600 /-

Life time value =(NPV/Total no. of customers)=760/-

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