Abstract
Tesco Stores Limited's world leading Clubcard loyalty scheme has been successful for over ten years. Clubcard and the warehouse of data it generates are at the centre of Tesco's retention strategy. In 2003, Tesco observed warning signs that their market dominance was under threat. They responded by conducting research to establish the cause. The customer research revealed that the scheme needed to be updated and refreshed. This case explores how Tesco responded to customer concerns and re-activated their Clubcard scheme with impressive short- and long-term results.
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