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Consumers dislike web tracking, but not enough to change behavior

Traditional retailers haven't exactly embraced online sales channels. Sure, they all have websites, and they sell varying amounts of merchandise through them, but they've been slow to tap into the potential. When I was watching the space as an analyst at a major consulting firm (admittedly, back in 2007), many retailers equated a website to a new store opening. Finally, however, this industry is starting to see the potential of this venue, particularly when it comes to tracking consumer behavior.

When the CEO of Macy's (NYSE: M), Terry Lundgren, says that online sales are only good for 6% of last year's total sales, it's a hint. The translation: "We focus on where the revenue is" is much different from "We focus on where the revenue could be." Aeropostale (NYSE: ARO), on the other hand, sees the upside of playing in the online space, which is where it saw revenues spike 85% last year. Aeropostale has seen increases in traditional venues too, but nothing like what it's realized on the web.

So, maybe there's something to this internet, after all.

Continue reading Consumers dislike web tracking, but not enough to change behavior

Loyalty Plastic: Caroline Platt to speak on "The Starbucks Approach to Customer Appreciation"

Back in 2004 Howard Shultz told Fast Company:

"We know we need to win back our customers' loyalty every day. Our success is based on their continued trust in our people and our environment over long periods of time."

Though Starbucks [SBUX] was among the first companies to introduce these - now ubiquitous -- loyalty cards (I have two bookstore cards, two different office supply cards, and two different grocery cards in my wallet right now) seeking to patent a type of loyalty cards last year wasn't the answer. So how is Starbucks [SBUX] doing with customer loyalty today, in June 2006?

One way to find out might be to attend [a function] where Caroline Platt, Category Manager, Loyalty, Starbucks Coffee Company will speak on the topic of "The Starbucks Approach to Customer Appreciation."

The summit's website says Platt will speak about the Starbucks loyalty card, and how  the company uses the program to "identify, reward and 'surprise and delight' their best customers." 

Update 04July 06: According to a organization spokesperson, the summit Ms. Platt will speak at is a private event, and I have complied with the spokesperson's request to remove a link to the event that was formerly part of this post.

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Last updated: May 27, 2012: 06:20 AM

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