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Safeway’s New “Just For U” Program Drives Customer Loyalty Through Internet and Mobile

Matt Windemuller:

Before the “Just For You” program, Safeway’s ability to drive customer loyalty was pretty mediocre. Previously, Safeway was only able to drive customer loyalty through the Safeway Club Card, which allows the consumer to use the card (or associated phone number) to obtain special offers seen in the store throughout the isles. The problem is that almost anyone can get these cards and deals easily, deeming the special offers pretty generic, and not to mention every other grocery store uses the same concept. The issue with this is the lack of personalization from customer to customer.

To solve this issue Safeway has recently employed a new personalized program that creates a personal experience for customers, called the “Just For U” program. What Safeway is able to do is enhance the monetization of its current databasing processes. In this program Safeway records and tracks each customers’ purchasing behavior. From this data, Safeway knows what products “U” buy and where your loyalties lie with brands. By doing this this, Safeway then can create specific discounts to the customer based on past purchases. So if I regularly bought Folgers Coffee, I would be offered exclusive deals on this brand. Exclusive meaning that this Folgers Coffee discount would only be for me and not offered to other consumers, unless of course they to purchase the brand habitually too.

This is where the digital aspects come into play. In order to access these deals one must go to the Safeway website. Here the customer can go to the “Just for U” landing page and see what offerings Safeway has presented them, after signing into an account linked directly with the club card. The key factor to this concept is the consumer has to go online in order to view what their personalized deals are, and then ADD them to the card. If a person saw that they had a deal for Oscar Meyer Deli Meat, the only way they can get this is by clicking the “Add to Card” button. A customer can not simply get them automatically in store. Each customers account will have different deals, which is a huge upgrade to the general deals any Safeway shopper can get in store. What this does, is drive traffic to the Safeway website, which most likely never existed before. Another aspect of the online experience is the coupons sent in direct mail can be added to the card via internet too. This makes the coupon clipping process obsolete.

Safeway also offers a mobile application so if a customer is out doing errands and does not have access to a computer, they then can add the coupons through the app just moment before entering the store. The “Just For U” program creates customer loyalty through the utilization of digital mediums. A consumer may be more likely to keep shopping at Safeway, opposed to other stores, because Safeway has the ability to know its customers at a personal level, and can thus offer them personal deals accordingly. By leveraging the internet and mobile applications, Safeway has been able to successfully implement an enhanced customer loyalty program that differentiates from any grocery store competitor.