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BestBuy Gives Up On Its $10 Loyalty Card

Written by Evan Schuman
September 29th, 2006

BestBuy was the retail maverick about two years ago, when it rolled out its customer loyalty program that charged customers $10. It worked to the tune of some 7 million takers, many of whom spent 130 percent more than typical BestBuy customers. Beyond the $70 million in additional direct revenue, those cardholders on average spent 130 percent more than typical BestBuy customers.

This week, though, BestBuy gave up the fight, opting to give up the $70 million in hopes of getting a far larger percentage of its customers to start using the card and being tracked.

Posted in CRM, IT Strategy/Industry, Payment Systems
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