Blog: Spanish retailer Caprabo aims to build customer loyalty
Dean Best | 11 October 2012
Spanish supermarket chain Caprabo has relaunched its loyalty scheme in a bid to win over consumers no doubt searching for value in a country rocked by its economic problems.
Spain is one of the toughest European economies in which to operate. One of the country's largest retailers, El Corte Ingles, saw its profits drop by a third in 2011 as it battled a shift towards cheaper products.
And Caprabo's owner, Spanish retailer Eroski, reported last week its net losses widened in the first half of the year, with sales and traffic down.
Retailers are using all sorts of tactics to lure customers. According to the latest data from the just-food international basket, private-label prices in Spain are among the lowest in Europe. Retailers also account for a relatively larger share of volume sales. Retailers in Spain really get behind their own-label ranges and push it as a core part of their strategy as they try to cope with shopper pressure on prices.
And loyalty is another tool being used. Caprabo claims to have "shaken up" the relationship with customers with its new My Club Caprabo scheme. It is offering customers over 1,000 "exclusive" prices and a range of other discounts, including by category to "broaden in choice in certain deals", it said.
And crucially, echoing the recent thoughts of Tesco CEO Philip Clarke, personalisation is a key part of the programme. "Each client is unique, has different needs and wants to be treated differently and in a personalised way," CEO Alberto Ojinaga said. "My Club Caprabo will ... give special treatment to the best clients, providing tailored information and benefits."
Caprabo said it will invest EUR20m in the scheme but claims it will boost sales by 3%.
The boom in demand for dairy products in emerging markets has been underlined by the latest data on the largest companies in the industry....
Argibusiness giant Archer Daniels Midland today (7 July) announced its biggest acquisition to date with a US$2.99bn deal to buy Wild Flavors and will be hoping the Swiss firm's portfolio of natural in...
Scientists in Malaysia are developing a kit that they claim can trace pork in food in under a minute, purporting to offer reassurance to consumers of Halal foods - but the country's Islamic watchdog h...
The New Zealand seafood industry received a stark warning this weekend: a "massive shellfish extinction event" could be on the cards....
- Carrefour's Indian exit highlights challenges
- Focus: Trade restrictions hitting Russian outlook
- PepsiCo chief scientific officer Dr Mehmood Khan
- Eyeing Egypt: Why firms are queueing up to invest
- Focus: Manufacturers must adapt for online
- Ferrero "in discussions" over Oltan Gida buy
- General Mills unveils fresh swathe of NPD
- Unilever sells Slim-Fast to PE firm Kainos Capital
- 2 Sisters Newport site sold to former execs
- United Biscuits pushes relaunched BN brand