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Kohl’s tests revamped loyalty program in Twin Cities, 7 other markets

Posted on June 7, 2018 by Rewards


Target isn’t the only one looking to give more shoppers rewards without having to sign up for its credit card.

Kohl’s is testing out a new loyalty program that combines and simplifies its three rewards programs. One of the changes includes making its 15 percent, 20 percent and 30 percent off sales events, previously reserved for holders of its payment cards, open to all Kohl’s Rewards members.

It’s one of the latest ways retailers are looking to incur more loyalty among shoppers knowing that some people don’t want to sign up for another credit card. Kohl’s says that about 60 percent of its sales already come through its charge card, so most people who want that card probably already have one.

The Twin Cities is one of 8 markets around the U.S. where Kohl’s began piloting its revamped rewards program in recent weeks. After making some tweaks, the retailer plans to roll it out nationwide next year.

“We believe Kohl’s Rewards will become the new standard in loyalty – simple, compelling, and rooted in value customers will find only at Kohl’s,” Greg Revelle, Kohl’s chief marketing officer, who previously held that same role at Best Buy, said in a statement. “It’s designed to give every customer an opportunity to win.”

Still, customers will get more benefits by paying with the Kohl’s card. With it, they will earn 10 percent Kohl’s Cash on every purchase compared to rewards members without the charge card who will earn 5 percent in Kohl’s cash.

In the new program, Kohl’s is also getting rid of its Yes2You Rewards program, which gave members points based on how much they spent, which led to various rewards once you reached a certain amount. With three different programs layered on top of one another, it could often be confusing for customers. The new system focuses more on Kohl’s Cash.

“We listened to our customers, who gave us a challenge: they asked for more savings, made easier,” said Revelle. “With this input, we set out to evolve our loyalty platform to make it simpler, more convenient, and bring greater value.”

Earlier this year, Minneapolis-based Target began testing a new loyalty program in the Dallas-Forth Worth area called Target Red, which isn’t tied to its Redcard. In that program, shoppers can use 1 percent of their purchase total toward their next Target run and also get the $5 fee for Target Restock waived.

Macy’s also recently expanded some benefits of its Star Rewards loyalty program to shoppers who don’t have a Macy’s credit card.

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