Borders launches paid-for loyalty scheme

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By: Wise Marketer Staff |

Posted on September 7, 2010

Borders launches paid-for loyalty scheme

From 1st September 2010, the US bookseller Borders has unveiled a new and updated 'Rewards' loyalty programme, offering customers more choices, better benefits and greater savings than before.

Customers can choose from two forms of Rewards: a free, enhanced Rewards programme, or the new Borders Rewards Plus programme which, for a membership fee of US$20 per year, offers savings on nearly all Borders merchandise, plus free shipping for almost all online orders.

To celebrate the lanunch, members were able to earn 'Borders Bucks' at twice the normal rate during the first week of the programme's relaunch. Members usually earn US$5 in Borders Bucks for every US$150 they spend annually but, for the promotional period, spending counted double to allow members to earn more rewards from lower spend levels.

"We saw an opportunity to differentiate Borders in the marketplace by offering the choice of a paid programme or a free programme," said Borders CEO, Mike Edwards. "The new Rewards programme provides members with more relevant content, benefits and discount offers."

For the past few months, Borders has been conducting extensive research on what its customers want most from a loyalty programme. The Rewards programme claims nearly 40 million memberships, and now offers each member individually tailored discounts. Members also receive personalised and relevant content such as title recommendations and notifications of local events including author signings and other entertainment activities.

Borders Rewards Plus and the free Borders Rewards programme both offer a range of benefits and savings, such as exclusive in-store and online discounts, personal shopping days, free coffee, a free birthday gift, and of course Borders Bucks.

In addition, however, members of the free programme receive 30% off the list price of hardcover bestsellers and free shipping on online orders of US$25 or more. And members of the Borders Rewards Plus programme receive 40% off the list price of hardcover bestsellers, 20% off the list price of other selected hardcovers, 10% off the purchase price of almost everything else, and free shipping on almost all online orders.

Finally, as part of its existing commitment to supporting teachers, Borders has made its Rewards programme even more teacher-friendly. Teachers who are currently Rewards members now get a personal shopping day where they have an extra 10% discount in addition to the 25% discount they already receive on eligible items. Furthermore, from 1st October 2010, parents, friends and families can donate some of their own Borders Bucks to their favourite teacher, who can then use the donation to buy classroom supplies.

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