CUSTOMER LOYALTY PROGRAM AT PANTALOONS BYSHRUTI MEHROTRA PANTALOON

CUSTOMER LOYALTY PROGRAM AT PANTALOONS BY-SHRUTI MEHROTRA

PANTALOON RETAIL (INDIA) LIMITED Pantaloon Retail (India) Limited, is India’s leading retailer that operates multiple retail formats in both the value and lifestyle segment of the Indian consumer market. PRIL has its Headquarter at Mumbai. The company operates over 11 million square feet of retail space, has over 1000 stores across 63 cities in India and employs over 30, 000 people. The first PANTALOONS was opened at Gariahat in 1997. PANTALOONS stores have a wide variety of categories like casualwear, ethnicwear, formalwear, partywear and sportswear for Men, Women and Kids. PANTALOONS takes its promise of 'fresh fashion' very seriously making available to its customers the latest in fashion every week.

ABOUT THE PANTALOONS STORE, LUCKNOW • PANTALOONS store is located in SAHARAGANJ MALL w. The mall is located in the heart of the city and being a tenant at this mall pantaloons gets the advantage of large number of customers walk-in w. The total area of the store is 19, 488 square feet and the retail area is 7, 800 square feet. It has two floors permitting entry and exits to the store. w. The ground floor is dedicated to Ladies Ethnic Wear, Ladies Western Wear and the Kids Wear. Also it houses the Wellness Section that offers cosmetics, perfumes and deodorants and jewelry for women. Accessories for women like purses, handbags and belts are also available on the ground floor. w. The first floor is dedicated to Men’s Casual Wear and Men’s Formal Wear. Accessories for men like belts, cuff-links, wallets and bags are on this floor too.

INTRODUCTION TO CUSTOMER LOYALTY PROGRAMS Loyalty is, in simpler terms, a reliance on a particular brand or company even though numerous satisfactory alternatives may exist. Loyalty helps build relationships. There are three basic approaches that have evolved to conceptualize loyalty: (1) THE BEHAVIORAL MODEL OF LOYALTY (2) THE ATTITUDINAL MODEL OF LOYALTY (3) THE SITUATIONAL MODEL OF LOYALTY

CUSTOMER RETENTION AT PANTALOONS A large database is maintained at PANTALOONS Lucknow Store which contains information about the various categories of customers. This is being done by a utility known as CLP or CUSTOMER LOYALTY PROGRAM. In order to retain the customers PANTALOONS runs a loyalty program which is known as the CUSTOMER GREEN CARD PROGRAMME. The procedure of getting enrolled for a GREEN CARD MEMBERSHIP is to shop worth Rs. 2500 in a single bill. This entitles the customer to a ONE STAR MEMBERSHIP and a GIFT VOUCHER of Rs. 150. • 1 STAR MEMBERS-Gift Vouchers worth Rs. 150 on enrolment • 3 STAR MEMBERS-5% discount on every purchase • 5 STAR MEMBERS-An exclusive 7. 5% discount on every purchase • 7 STAR MEMBERS-A whopping 10% discount on every purchase. The upgrade from one level to another level is on the basis of the purchases in the immediate preceding 12 months of the current shopping date. The Greencard can be used at any PANTALOONS store across India. The online system ensures that the customers get all the privileges at any PANTALOONS, BLUE SKY and a. LL stores.

HOW GREEN CARD WORKS The greencard is presented by the customer to be swiped in every time a purchase is made at any PANTALOONS, BLUE SKY and a. LL stores. The green card is the customer’s passport to a whole new world of exclusive benefits and privileges. • Instant discount for every time one shops at Pantaloon. • Regular updates on collection and promos via catalogues, sms & E-mails. • Extended Exchange periods and complimentary drops for alteration. • Exclusive billing counters and much more. CATAGORIES VALID FOR GREEN CARD DISCOUNTS APPAREL BLUE SKY PERFUMES & COSMETICS PLANET SPORTS ALL ACCESSORIES

MEMBERSHIP & 12 MONTH PURCHASE-BASED UPGRADING SYSTEM Three Star Card-Upgrade to a 3 Star status by shopping for Rs. 8000/- in the immediately preceding 12 months of current shopping date. Five Star Card- Upgrade to a 5 Star status by shopping for Rs. 20, 000/- in the immediately preceding 12 months of current shopping date. Seven Star Card- Upgrade to a 7 Star status by shopping for Rs. 40, 000/- in the immediately preceding 12 months of current shopping date. 12 MONTH PURCHASE-BASED UPGRADING SYSTEM When a customer shops at PANTALOONS and the total purchase (including that day’s) in the previous 12 months totals to the criteria value of the next tier, the membership upgrades to the next status. MEMBERSHIP VALIDITY One Star card is valid for a period of 2 years from the date of enrolment. Three, Five and Seven Star cards are valid for a period of one year from the date of upgrade.

MEMBERSHIP RENEWAL: Purchase worth Rs. 8000/-within 2 years of card issue date and retain a 1 Star status. Purchase worth Rs. 8000/-within 1 year of card issue date and retain a 3 Star status. Purchase worth Rs. 20, 000/-within 1 year of card issue date and retain a 5 Star status. Purchase worth Rs. 40, 000/-within 1 years of card issue date and retain a 7 Star status. OTHER BENEFITS: • Green Add-on Cards: These are cards that be issued to the members of the family of an existing Greencard holder in order to share the benefits. A 1 and 3 Star member is entitled to have one Add-on card and a 5 and 7 Star member is entitled to have two Add-on cards. • Green Days: Exclusive Greencard shopping days give the customers a preview of the • End-of-Season Sale so that they are the first to get hold of the latest merchandise. • Green Channel: These are special billing counters that are open to all Greencard members during the End-of-Season Sale. • Green Offers and Promotions: These are exclusive shopping offers that are sent to the customers on a regular basis. At times offers open to all the customers are further enhanced for the Green Card members. • Green Service Desk: This is meant for customer queries, information and services. • Green Exchange: The products can be exchanged within 60 days of purchase (90 days of purchase for 7 Star members) • Green Drop: This is the home delivery service for purchases and alterations exclusively for 7 star customers and 5 Star customers all the year round. During the End-of –Season sale this facility is not available for the 5 star customers.