HERE'S THE MILLION-DOLLAR QUESTION: how best do you reward shoppers spending upward of $1 million a year when their loyalty transcends traditional rewards?
The answer: Pair customer purchase data with the personal expertise of retailer sales associates, or brand ambassadors. While the data will hint at future shopper desires — a diamond bracelet to match a necklace, shoes to match a purse — it is the sales associate who can gauge the shopper's values, her social calendar and the circles in which she socializes.
At Saks Fifth Avenue in Houston, for example, one sales associate offered to catalog the closets of his very best clients, recommending what should be kept and what should be donated. A great service. He then took this service a mile further by sharing his knowledge of the Houston social calendar to ensure his clients had an unrivaled, stylish look for an event. His in-depth knowledge of his customers, the local marketplace and fashion keeps his clients coming back.
With such rewards, luxury retailers will not only effectively recognize the top 10% of their clients, but could expand that shopping segment to represent 15% or 20% of the total.
