Albert Heijn personalized promotions with bonus card. Too much information?


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Albert Heijn personalized promotions with bonus card. Too much information?

In the Netherlands there are a lot of Albert Heijn supermarkets, throughout the whole country. Since many years customers could receive a free card, named a BonusCard, to have access to promotions. There was no information of the customer needed to get one, everyone could just go and pick up a card and receive a discount on selected items.

Since this year Albert Heijn introduced a personalized BonusCard. Customers can receive the card for free and can get emails with personalized promotions, based on your shopping behavior. So for instance, if you have small children and you buy a lot of diapers, you will receive a promotion for diapers. But a student, who never buys diapers does not want this promotion. Based on the shopping behavior of the student, he or she is most likely to receive a personalized promotion on a item he or she shops a lot, for instance beer.
Bút, customers who want to receive this personalized promotion need to provide Albert Heijn with some personal information, like your address, age and email address. Albert Heijn can analyze your shopping behavior and has your personal information, which gives Albert Heijn access to a lot of information. With this information they can predict or analyze what kind of a shopper you are. In addition, the customer will receive offers on other products that Albert Heijn thinks will fit well within their existing shopping habits

 

Do people use it?

 

Since the beginning of the rollout of these new BonusCards 10 million cards are distributed, where only 2,5 million are actually activated. So only 25% of the bonuscard owners is willing to receive personalized promotions by giving away some private information.

 

What did you do? Did you personalize your BonusCard or do you just use it as a regular BonusCard. What do you think about all the (personal) information Albert Heijn collects from it’s customers?

Sources:

https://www.ahold.com/Media/Albert-Heijn-offers-personalized-promotions-through-Bonus-Card.htm


http://consumerchanneldynamics.wordpress.com/2014/05/06/customer-information-and-promotions-quid-pro-quo/

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2 responses to “Albert Heijn personalized promotions with bonus card. Too much information?”

  1. 354591dl says :

    I think it is an interesting introduction from Albert Heijn. In my opinion Albert Heijn is trying to diversify itself from other supermarkets. Everyone knows that AH is a relatively expensive supermarket, so management is desperately trying to diversify itself from other supermarkets. In my opinion AH is known for its customer service and better shopping experience. The AH bonus system fits within this strategy, but there are some drawbacks in my opinion. Personally I don´t use a bonus card so I often borrow someone else’s, how well will the system work if multiple shoppers use the same card. In short I think AH is heading in the right direction concerning personalizing their shopping experience, but many remarks can still be made.

  2. 351052ldv says :

    I didn’t personalize my BonusCard, although I am not sure why. I am also wondering why the other 75% does not want to personalize their card. Because I see no issues in sharing information about my shopping behavior for personalized offers. I suspect people feel like they give up some privacy and maybe they think they are better off without a personalized card. Because they are afraid for extra purchases because of the discount. However I do believe AH is able to optimize their demand forecast and thus cut costs. So the benefit could be mutual.

    A downside of the personalized card for me is that it is truly personalized. With that I mean there is no option to link the card to your wife or husband for example. If I would do groceries for week 1, my girlfriend does groceries for week 2 we have a problem. Because in week 3 we would have different personalized offers and to get as much discount as possible we would have to separate our groceries and pay twice. I think this is a serious issue because missing out on offers because of this problem will cause for serious frustration for the shopper I believe.

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