David Jones looks for one-to-one customer relationships with loyalty program plans

Department store plans to launch a customer loyalty program as part of a three-pronged, data-driven customer engagement strategy

David Jones will launch a customer loyalty program as part of a three-pronged strategy to better understand and engage with its customer base.

In an interview with CMO, the department store’s chief marketing officer, David Robinson, said the loyalty scheme will be based on an extensive amount of customer and market research undertaken both with David Jones, as well as the four brands sitting under the Country Road group: Country Road, Witchery, Trenery and Mimco.

“We have done a significant amount of qualitative research, as well as two round of quantitative research, and have landed on a value proposition and agreed on that for David Jones,” Robinson said.

“At this stage, we’re working through implementation and time lines. And we’re very excited about it.”

The program will be based around delivering value to customers across the group and within all categories and brands, and is about fostering a one-to-one relationship. This is expected to tap into data work done around a customer’s demographic and behavioural information, as well as David Jones’ increasingly content-led marketing investments.

“We believe our brand has something in particular to bring to the market,” Robinson said. “We’re not a transactional brand, or a bank or airline, we are an emotive brand.”

Launching a loyalty program is one of three streams of work being undertaken by David Jones to get to know its customers better. The activities are being spearheaded by Robinson, who took up the CMO post two years ago after leading the retailer’s omni-channel strategy.

The first foundation step was to understand who David Jones customers are, Robinson said. Historically, the retailer had viewed customers as a single segment – a David Jones customer.

“We understood 6 per cent of our customers, or 20 per cent of sales, which is our AMEX/David Jones cardholder customers, very, very well. But we didn’t necessarily understand the other percent of our customer base,” he said.

To achieve this, David Jones has delved into internal data sources, conducted qualitative research with nearly 3000 customers, and called on market insights from data consultancy, Quantium, to build of clear customer segments to address, Robinson said.

“This gave us a very granular view of where we dominate, where we have opportunity, and where we don’t want to play,” he said.

“There were surprises in there. In areas where we thought we were doing really well, once we got down to a granular level of defining the market in Australia we realised there were further opportunities. And in areas we thought we were underperforming in, we weren’t. We are using that information in determining how we go to market.”

Read more about David Jones’ customer data approach and our full interview with David Robinson

Follow CMO on Twitter: @CMOAustralia, take part in the CMO conversation on LinkedIn: CMO ANZ, join us on Facebook: https://www.facebook.com/CMOAustralia, or check us out on Google+: google.com/+CmoAu

Join the CMO newsletter!

Error: Please check your email address.
Show Comments

Blog Posts

Cannes 2017: The Machines Are Here

It’s day 4 in Cannes and among the ever-growing divergent panels, presentations and workshops spanning from one end of the Croisette to the other, there has been a very real emergence of how artificial intelligence (AI) and machine learning needs to fit into the marketing ecosystem of today and tomorrow.

Aden Hepburn

Executive creative director and managing director, VML Australia

Is your content marketing missing the mark?

Does it ever seem like the content you create falls flat on its face or that the leads you’re generating aren’t worth following up?

Dan Ratner

managing director, uberbrand

​ Creating a purpose-driven brand

So you want to be a brand with purpose. But what does it actually mean to build a brand with real meaning?

Paul Chappell

Partner and managing director, Brand + Story

Typo"claiming no other email service protects its users form spam, hacking and phishing as successfully as Gmail"I'm sure Google can help...

OlliesBlog

Google to stop scanning personal Gmail accounts for ad targeting

Read more

It is interesting. Rebrand is very good. Perhaps they should change the logo to something more modern. For example as it is - https://www...

David Hill

Grace Group undergoes first rebrand in 30 years to unify and contemporise

Read more

Hey Guys, just one small typo that changes a part of the story :“That was a really big step forward for our company because we didn’t hav...

Damian Young

Chobani tastes success with data analytics platform

Read more

This is amazing! Congratulations to Cochlear for continuing to lead innovation in every way!

Chris

How this marketing ops leader is lifting the automation ante at Cochlear

Read more

Interesting case! It seems like universities can also benefit from marketing automation. I've started using getresponse some time ago and...

Aaren

How marketing automation is helping drive CX change at Adelaide University

Read more

Latest Podcast

More podcasts

Sign in