The Nordy Club

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(upbeat music)

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- Hey everyone, welcome back to Lowell Tegrogram Slam.

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I'm Amber Collins, senior marketing manager,

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the Ardanaq's Cloud, the comprehensive

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and ASVAL staff solution for enterprise low-team management.

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As you know, the lowell Tegrogram Slam is jammed back

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with real world commentary on some of the world's

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most beloved lowell Tegrograms.

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So here's how it works.

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Each slammer is gonna have about two minutes

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to take their case on these four areas.

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Program design, value proposition, engagement

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and performance.

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Slammers are gonna get points for one liner,

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two bunking, or just generally being awesome.

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And today's Slammers are Alex, head of strategy,

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thought director of product solutions,

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and at least manager of digital and design.

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And together the four of us are going to examine

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today's program, which is Nordic Club by Nordstrom.

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Nordstrom is obviously in the retail space,

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but they're also a manufacturer.

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They have several private label brands

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that they run in several product categories.

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They have 13 million members in the Nordic Club.

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You can use their program at Nordstrom and Nordstrom Rack,

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as well as having a Nordstrom credit card.

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Nordstrom is quoted themselves as saying

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that 26% of their sales come from those 13 million

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lowell T members.

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So their competitors include NACs,

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Bloomingdale, stacks of avenue, and even markets.

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Not quite ultra luxury, but definitely a higher end

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of the retail experience.

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And personally, I love Nordstrom's return policy,

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which can definitely be taken advantage of.

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But the Nordic Club program features

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include earning points for purchases.

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They've got tiers.

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You can redeem them for Nordstrom notes,

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which is what are like their currency, exclusive experiences,

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and personal life rewards.

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I personally have attended several beauty experiences

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in the store with their brand partners.

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You can also get to the recommendations

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and early access to fail.

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I know that they have at least an annual sale.

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If it's not by annually, that people really, really look forward to.

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And then if you talk about the services side

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of what Nordstrom offers, the little team members also

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enjoy reservation online, trying to store, buy them on pickup.

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They have stylists in store.

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So one thing about Nordstrom is definitely

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they have a great like services unit.

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Nordstrom's program focuses on building emotional connections,

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and they coined it Nordstrom notes.

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So let's dive into how well Nordstrom actually knows us.

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And today let's start with Alex.

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Alex, stay your case from Nordic Club.

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Yeah, no, I've been around the Nordstrom loyalty program

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Nordic Club for a number of years.

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I think that they've definitely made

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some smart evolutions to the program.

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Probably I'd say about five to eight years ago.

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I think there's been some small tweaks since,

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but overall I think it's pretty stable

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in terms of a baseline program for retail.

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I like that you can use the rewards both at Nordstrom

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and then they're more opening price point or discount

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offering with Nordstrom RAC.

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And I think they've done a pretty good job

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of keeping the tier qualifiers in a place where consumers

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can stretch to achieve the tier and unlock

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some interesting benefits or some more benefits.

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And then obviously gating all of the best for the credit card.

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So really working to get you into the card

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and to get you into the highest status

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I'm locking the most benefit.

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I think the choosing your double points days

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as you move into higher tiers is great.

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I think that that's obviously been copied

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by a number of their competitors.

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Bloomingdale's, for example, with the loyalist program

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is offering triple points days.

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The only thing with Bloomingdale's is that

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everything's really gated behind a credit card.

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So I do appreciate that Nordstrom offers the free option.

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And then I do like that back in the day

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they used to do just $20 notes.

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So it was requiring 2,000 points or close to $2,000

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in spend in order to unlock that.

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Now they offer the $10 note is issued to you.

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And then you can choose when you want to redeem it.

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And I also like that in the app, they differentiate it that.

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So you can actually get a $5 note, a 10 or a 15.

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You can redeem it yourself.

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I think that's a nice differentiator

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and really does incent or influence the consumer

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to go into the app and have that desired behavior to interact.

4:19

I think the one thing that they're really missing

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is the idea of partnerships while they do exclusive events

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with designers, stylists, et cetera.

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I'm not really seeing a lot of interesting opportunity

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within partnerships and obviously being such a high end

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department store, they have that ability.

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So I think they're missing the mark there.

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Might be a limitation of their solution.

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I'm not really sure.

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But I think overall they're using their footprint well,

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the alterations, they're using both Nordstrom Nordstrom Rack.

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But I would like to see a little bit more

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of an elevated offering and really getting even closer

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to the consumer's lifestyle beyond just shopping

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at Nordstrom, right?

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These people are likely, especially in upper tiers,

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they're affluent, they're travelers, they're adventurers.

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And so I think thinking through how

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to make a more cohesive experience would be more exciting.

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I'm just saying, so you mentioned their credit card.

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Bloomingdale's and NACs both sort of really give those rewards,

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just hire value rewards to their credit card consumers.

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And well, I didn't get any numbers on how many

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of the 13 million low-wields he members are actually credit

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card members as well.

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I can imagine that it was probably a really good percentage.

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But I like to say, everybody has a credit card.

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Everybody wants to join their credit card.

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You go to TJ Maxx, they want you to get a credit card.

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I'm like, dude, I'm fine, it's like, I'm cool.

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I don't need more credit.

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So taking those out of that credit card tier

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and accessible for everybody, I think

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is something that definitely does not

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come apart, especially when you look at those other options

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like DCs and Bloomingdale.

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So great, an interesting point there.

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Points from that one.

5:56

Scott, would you like to go next?

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Or shall we let you have the last word?

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I think actually, you know what?

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We're going to go to the least first.

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And Scott, I want you to do your doubles advocate

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and wrap up everybody.

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I didn't go a week.

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Yeah, so I think Alex touched on a lot of what

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I had to say as well.

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Although, I mean, I am an influencer,

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a member for Nordstrom.

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And I have a credit card.

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So automatically an influencer, because I have

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the credit card, which gets me, I had early access

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to the anniversary cell that they just had.

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I don't have to spend a ton of money, because I already

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have that status.

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So what I really like about the program

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is they make it valuable to even the lower tiers.

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I don't have to, as long as you are participating,

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and you have access to--

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I can pick a couple of double points days.

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I have free alterations.

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I have access to the early events, which is really great.

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And as you move up to an ambassador level,

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then you get even more personalized experiences, which

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makes you want to keep being a member.

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And keep shopping with Nordstrom.

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I think the app is really great.

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It's easy to use as a consumer.

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I can put things in a wish list.

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And then it can notify me of price drops.

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And if something is back in stock after not being in stock,

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so I mean, it just keeps me wanting

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to continue to make purchases at Nordstrom.

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And also, you know, we touched down the 13 active million, 13

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million active members.

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I found a quote from the CEO, Scott Maiden,

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that, you know, these members are spending four times more

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and shop three times as often than non-members.

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So I think in terms of performance,

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it's doing really well compared to competitors in the market.

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Elise, when you go in and you have this status,

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and are you more of an in-store shopper

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or are you more of an online shopper?

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I think both, but since I'm going to be honest since COVID,

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you know, and more of an online shopper,

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but it's still, it's really easy to find what I'm looking for.

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And, you know, the online experience is pretty great too.

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But like you mentioned before, you know,

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it's real easy to go in and everyone's really helpful

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when you return things.

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They don't give you a hard time about it.

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It's just an overall positive experience, I think.

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Yeah, because I was going to ask you, you know,

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when you go in a store, do you feel

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that status?

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Do you get acknowledged by name?

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You know, what is that?

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You know, is that something that really adds to your experience?

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Because I will say that on the website, not logged in,

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loyalty is not really like, you know,

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I'm struggling to find it on the PDP.

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You know, I know that they have a page for it,

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but as far as I can tell, the Nordic Club isn't

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that's a fairly like in your face in that online experience.

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So when you are in the store,

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are you feeling like a little team member

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when you go to the in-store experience?

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Because it just seems like it lacks a little bit online.

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Yeah, I mean, I just feel like in terms of people being

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helpful and, you know, and just positive.

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But I don't know if like, I've never had someone straight out

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ask me if I'm a loyalty member before.

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So, but I mean, I think they just want everyone

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to feel that way.

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So I don't know specifically if I feel that more in-store

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than online, to be honest.

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So, Pat, Alex, are either of you guys a member?

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How do you experience the Nordic Club experience?

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I mean, obviously, I am a member for sure.

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I worked with them in a past life and, you know, been a member.

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But in my experience, when I go into a Nordstrom,

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I get asked more about that than when I go into a Nordstrom

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rack.

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When I go into a Nordstrom rack and I come through the check

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outline, I have to, in my experience, in the stores that I've

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gone to, I typically have to tell them that I'm a member.

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And then they know how to work with my account.

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But it is, I am asked more in a Nordstrom than a rack.

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Very interesting.

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Yeah, I think online, yeah, that you can only find the Nordstrom

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rewards within the drop down on the top nav

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under sign in.

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So I think that that's a miss.

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And then, you know, they're doing the whole anniversary

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sale, but I'm seeing nothing where you get double points or triple

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points on certain brands.

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Knowing there's a number of brands that don't participate in

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the anniversary sale.

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I think that's a huge miss.

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That's easy income for them to get people to want to be a part

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of the anniversary sale, but selling at reg retail and giving

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those points.

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And then they don't actually feature the amount of points

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you'll earn on the PDPs.

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I think that's another huge miss.

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And they're really only featuring in the PDPs to sign up for

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the card.

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The Ford Note bonus, if you sign up for the card, which

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is smart, but it feels like a little over transactionary instead

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of being able to promote the fact that you can enroll for free.

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You can get these baseline points.

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You don't have to take a card.

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And that can be confusing because Bloomingdale's requires a card.

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So if you shop at Neiman's Bloomingees and Nordstrom,

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you're going to get confused against those.

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But being able to submit, you know, really present your

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value proposition there as free to enroll.

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Plus you also have Nordstrom rack.

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I think the value proposition could use a little bit of work,

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especially on the web experience.

11:28

Yeah, I agree.

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So you know, it's about--

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if somebody once said to me when we were talking about CTAs,

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that sometimes it's like asking somebody to get engaged

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and you just met them.

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So what's the-- how do you take them on the first date?

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How do you ask for those phone numbers?

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And so that goes straight to the credit card as the CTA,

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where some people might be, you know,

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maybe who hasn't shopped at Nordstrom.

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But like, you've got to ask for their number first before you

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ask if you get engaged.

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So with that said, Scott, give us your case.

11:57

Well, I agree with a lot of things that Alex and Elisim

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have mentioned.

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But there are things that I feel, again,

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as more of an experiential loyalty provider that

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are missing from this.

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You walk into a Nordstrom, you get treated, you know,

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extremely well.

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Whether you're a loyalty member or not.

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They know who you are.

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They can find the old transactions.

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They can provide you with most of their services,

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their exceptional customer service,

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whether you're a member or not.

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So it's not gated by being a loyalty member.

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There are some things that you do get like the first to shop,

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first to clear the rack, basic alterations, lifestyle

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workshops.

12:39

There are those things that you do start to get.

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So there are some things that--

12:44

and there are some non-dakes.

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But as it was mentioned earlier, it's a very transactional

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program, right?

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For somebody who targets people who really care about their clothing

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and how they look, et cetera, they're doing very little

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to help people talk about their individual style

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and to show off really things that we're

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seeing in experiential programs where, you know,

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hashtag your look, where you are doing store check-ins

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at different events.

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We're doing all of these things that are more experiential

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and non-transactual.

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They're completely lacking from this program.

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So while they are cutting edge in terms of things

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that they give to members, they're just a great company overall.

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So like in some of our other slams, I'm

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trying my best to differentiate what

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is different for a loyalty member than a normal customer.

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And with Nordstrom, there's little in my humble opinion.

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Yeah.

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So like I said, overall, the experience is really great

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whether you're a member or not.

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And perhaps all those other things

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that we were talking about, like getting

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in the first step instead of just going straight

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to the engagement and starting the loyalty

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a little bit deeper into those touch points,

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could bring it more to the forefront

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and potentially spark more exclusive member experiences,

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more exclusive member rewards.

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But like you said, in general, they have amazing services

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for a retail company.

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And they don't necessarily gate keep those.

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With 13 million members--

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yeah, that's just a substantial program.

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It absolutely is.

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And they should absolutely be proud of that program.

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But going back to the Nordstrom knows me

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and their communications, how personalized are they?

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If we're not necessarily seeing the online experience

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changed once you signed in, what data are they using

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to then personalize that one-to-one conversation

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so if one-to-one communications?

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And what data are they gathering along the way?

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Nordstrom RAC informing them that you're a loyalty member

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instead of the other way around is definitely an opportunity

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to insert loyalty into more of that customer journey.

14:47

I'll shop at both.

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But I'm also like a quite frugal person

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so if I can get it at the rack, I'm probably

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going to go to the rack.

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But yeah, it just seems like there's probably

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a lot more opportunities to A, insert the potential

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to join the program and then B, bring some more exclusive stuff

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that just piggybacks on the great stuff

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that they already offer.

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So let's get to scoring, Alex, give me your scores

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for Nordstrom in their value proposition.

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I think for a value proposition, I give--

15:18

I'd have to look at three and a half.

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I hate doing halves, but they really are slightly above average.

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And I like their proposition against their competitors.

15:27

But I think overall in the loyalty industry,

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they are missing a number of different interaction

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based earnings, they're missing partnerships.

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I mean, even rent the runway.

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I mean, they have an exclusive partnership with them.

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And you don't earn bonus points for that.

15:39

They close down Trump Club, but there's some other options.

15:41

So I'm going to go with three and a half.

15:43

I appreciate that.

15:45

Elise, how are you feeling about their value proposition?

15:47

I gave them a four and a half.

15:49

I just like that they're valuable to all tiers.

15:52

You don't have to start seeing some great benefits.

15:58

If you're at the highest tier, you can be at the middle tier

16:01

and start seeing a lot of really great stuff.

16:04

So let's take that.

16:06

Scott.

16:06

Game of three.

16:07

No halves.

16:08

Just a three.

16:09

Again, as a value prop, I don't know

16:11

that the note is at the best rate in the marketplace,

16:17

but I know that a lot of their other things,

16:19

like the first to shop and the basic alterations stuff.

16:23

So they aren't doing a give back beyond just the note.

16:27

But I feel like overall, the value to the member

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is in more of an enhanced experience.

16:35

Because if you're spending $1,000, $1,000 here or there,

16:39

isn't necessarily going to make change your mind,

16:43

whether you're going to do one extra shop or not.

16:46

It's the other engagement elements

16:49

that they are doing that they have for me.

16:53

Yeah, I agree.

16:54

So what's going to make you stop the car

16:56

and say, I'm going to pass all the rest of these stores

16:58

to go to Nordstrom, and it's going to be that experience.

17:02

It's $10.

17:03

If you have it, you have it.

17:04

That's what 1% of the total spend that you've done.

17:07

So I agree with that.

17:08

Let's chat.

17:08

They are program design, Alex.

17:10

I think overarchingly, I give the design a four.

17:14

I think that they just need to position it a little bit better.

17:17

And while I agree with Scott in terms of the lack of generosity,

17:22

if you are a base member that is not taking advantage

17:26

of accelerators, because you can't pick your own double points.

17:29

If you're in the anniversary sale, there's nothing

17:30

on double points right now.

17:32

But if you do have a card, you are getting accelerators

17:35

and you get to pick double points.

17:36

So you can get to that note a lot faster.

17:38

So I think that because of that, they do show that pretty clearly

17:43

in the rewards chart.

17:44

And they do have a lot of interesting benefits

17:46

that you can work with.

17:48

I just wish that there were more partnership offers.

17:51

I wish they were more connected into the lifestyle

17:54

of the consumer, not just so focused on the transaction

17:57

with the Nordstrom and with them that one ecosystem.

18:01

I wonder how many--

18:02

the percentage of brands that they carry is their own brand.

18:07

They have several.

18:08

Oh, wow.

18:09

OK.

18:10

Yes.

18:11

20 own brands.

18:12

So, at least, talk to me about the program design.

18:16

Hey, game of five.

18:17

Just in terms of looking at what their competitors have,

18:21

I just feel like they're the overall clear winner right now.

18:24

And I think that that's just really well executed.

18:29

Well, as a little remember yourself,

18:31

that is a rating that I'm sure they would love to hear.

18:34

It might be a little high.

18:35

Because I mean, you're also a credit card.

18:37

So you clearly like-- you clearly love them.

18:39

So I love that.

18:40

It's a Nordstrom influencer.

18:42

I'm probably going to go a little bit lower.

18:45

But I did give it a three.

18:46

Similar to Alex, I think that there are more engagement

18:51

elements that they could be doing.

18:52

I think that the program design could do a better

18:55

give back, the end acknowledge, the non-credit card holders.

19:00

I feel like they could talk about it a little bit more.

19:05

And we'll get into it.

19:05

The engagement elements in just a moment.

19:08

But I do feel like it is not necessarily--

19:11

the design is not built to engage across the entire lifecycle

19:17

of a customer, only the transaction.

19:20

Yeah.

19:20

But what they do for the transaction is not terrible.

19:25

So I gave it a terrible.

19:26

Definitely think that there's room for expanding

19:30

the loyalty messaging across the journey

19:33

and across the touch points.

19:36

I won't say it's low hanging through,

19:37

because this is a nation-wide rollout.

19:40

But there's also an opportunity to throw

19:43

some more training at store associates.

19:45

And possibly there's a divide there because we don't know

19:50

what their POS looks like on the backside.

19:52

They haven't integrated loyalty into it yet.

19:55

That's certainly an opportunity to insert loyalty more

19:59

across the journey.

20:00

Well, they have a little bit.

20:01

So when you do your check out, they

20:03

can redeem the notes for you right there.

20:05

So maybe it's a training.

20:06

Maybe it's an initiative thing and an incentivization.

20:09

Talking about employee engagement and employee

20:13

participation in the loyalty program,

20:16

as an emerging topic for us as well,

20:18

we've talked about secret tiers and employee tier.

20:22

So there's possibly a massive opportunity there

20:25

to for the loyalty program.

20:27

So with that being said, let's talk about the engagement.

20:30

At least, how do you feel this program

20:33

is on the engagement side?

20:35

I gave it a four.

20:36

I think they say that they use gamification

20:39

with the double points.

20:41

And they have the exclusive events.

20:44

And I think it does, overall, make people want

20:47

to engage with the program.

20:49

But with everything we've been talking about,

20:52

I do think there's a little room for improvement there.

20:54

Yeah.

20:55

So how often do you get comments from them

20:58

that prompts you to want to shop or prompts you

21:01

to open the app or prompts you to check in with your stylist?

21:05

I'm just curious.

21:05

I mean, not a whole lot, I guess.

21:08

I mean, when there's the events going on,

21:11

like the anniversary sale, obviously I hear more.

21:14

But in terms of just every day, I'm not getting

21:18

tons of communication with them.

21:19

But I might also just have notifications turned off,

21:23

as my personal preference, I don't offhand

21:27

remember if I did that or not.

21:28

But that could be contributing to why I'm not

21:31

hearing from them more often.

21:32

That's a delicate balance.

21:34

You don't want to be ESPM, but you also don't want

21:36

your customers to forget about you.

21:38

One thing that I would love to see or know

21:40

is that North Trump's thought, something

21:43

for everybody in all phases of life.

21:47

So really, this lifestyle retailer,

21:49

do they know you're wedding anniversary

21:51

when you might need an outfit from your stylist?

21:53

Do they know how many kids you have in their ages?

21:56

Do they know just the things like that

22:00

that could bring up personalization home

22:03

that could prompt the use of those services?

22:06

You've got your wedding anniversary's coming up.

22:08

Come see the stylist.

22:09

And I'm just wondering there's opportunities like that.

22:11

And not as they can't see their back end.

22:12

And we'll talk about their performance in a little bit.

22:14

But Alex, how do you feel about their program engagement?

22:17

I feel good.

22:19

I still think it's funny though the name, right?

22:21

Like they said that that members used to call it that.

22:25

And you know, like there's Target and Tarje.

22:27

You get that level of sophistication

22:30

with the French pronunciation, if you will.

22:33

Nordy just feels a little interesting.

22:37

And maybe they did it also to combine North

22:40

from rack and Nordstrom.

22:42

I don't know.

22:42

It's an interesting one.

22:44

It's kind of kitschy.

22:45

But yeah, I think from a brand perspective,

22:48

I think a lot of people love Nordstrom

22:50

for its overall great customer experience.

22:52

I think they're using loyalty to layer on top.

22:56

But I think there's ways that they could make it even more

22:59

exciting, that it feels really good that I'm

23:01

a Nordstrom member versus I just shop at Nordstrom.

23:05

So I think thinking about how do you level up?

23:07

How do you layer in that sophistication

23:09

a bit more and more engagement tactics?

23:11

So I'd give it, I'd still give it a four.

23:13

I think it's strong compared to like maces and bloomies, et cetera.

23:17

Got it.

23:18

OK.

23:18

Scott, how do you feel about their program engagement?

23:22

Give it a two.

23:23

Let's get into it.

23:24

Again, it's because the sophistication

23:27

of the experience for non-members is very high.

23:32

You have a personal shopper that they know you're wedding.

23:35

They know your size.

23:36

They know your colors.

23:37

They know all that's up.

23:38

You don't have to be a member to have this entire profile

23:42

built around you and to have somebody reaching out to you.

23:45

So as specifically like separating that from the loyalty

23:50

experience, the engagement elements are kind of lacking.

23:53

As a loyalty member, they're not engaging

23:55

me to do anything more or to do anything different.

23:59

As a customer, they know me, you know,

24:02

as a-- you have a personal shopper that you

24:05

establish a relationship with this person, but it's not

24:09

as a member, right?

24:10

You're just a good person to them.

24:13

So the engagement elements as a member are, in my opinion,

24:18

severely lacking.

24:19

They are not engaging me to do anything differently.

24:24

The reason that it's not a one in my opinion

24:26

is because yes, they do have like double points days.

24:29

Yes, they do have some like first to shop.

24:32

Things where again, that's a lot of that kind of shoves

24:34

into the value prop, the value that I get as a member,

24:37

but you engaging with me.

24:39

It's-- I separated and gave it only a two.

24:42

Yeah, so I say that because you have access

24:45

to all those services regardless of whether you're

24:46

a member or not, I guess the difference is going to be--

24:48

if you're using the service, then you're

24:49

going to be in the CRM.

24:51

If that profile unified, are you constantly--

24:53

are you using that profile every time you talk to them?

24:55

When you go with a diet cut a card,

24:57

are you self-identifying?

24:58

You might not be.

24:58

But you're in the CRM, right?

25:00

So that's like loyalty baby loyalty, right?

25:03

At least they have you and they could reach out to you

25:05

if they wanted to.

25:06

And so the difference between just being a regular customer

25:08

and using the services of the UCRM and being the loyalty

25:11

member is that regardless of if you're

25:13

coming into use of service or not,

25:14

you're going to raise your hand and say, hey, I'm here.

25:16

I'm a member.

25:17

Remember me, put this on my profile.

25:19

And then that's the one that's where they have a wallet or not.

25:22

But that's also one way that people get identified,

25:25

especially when you're shopping online.

25:26

So it seems like to me like the biggest difference

25:28

between just being a customer and being a little

25:30

close to members, that self-identification.

25:32

How much more could they gain from gaining more people

25:35

to self-identify becoming the member and not just

25:37

shopping, shopping, shopping or using a service one or two

25:40

times?

25:40

That's a great question to lead us into what do we

25:43

think about the performance?

25:44

So Alex, what do you think about minority clubs performance?

25:47

And obviously we don't have the back end members,

25:48

but like from what you can see.

25:49

No, I mean, at least I think set up perfectly where it's

25:53

being talked about in analyst reports,

25:55

it's being talked about in what they're discussing

25:58

with the street.

25:59

I mean, the member versus non-member performance

26:01

is amazing.

26:02

So I'd be excited to run that program.

26:05

I'd be excited to be a part of that team.

26:07

And I think what's also nice, the reason I would love

26:09

to be a part of that team too, is because there's

26:11

so much room for opportunity.

26:13

There's little things that you can do to make Scott happy.

26:16

And be able to come in and pick up his--

26:19

I don't know, new Chanel loafers or something.

26:21

So I think that that's where I would go with them.

26:26

The other thing that I was thinking too

26:27

is that they have such high-end store within a store.

26:30

So the prod is the Gucci's, the Chanel's.

26:34

Those don't really have a lot of--

26:35

they have client telling, but they don't really

26:37

have a lot of loyalty programs, because that's not found

26:39

as much in luxury.

26:40

This is a really interesting way, though,

26:41

to partner with those brands and say, hey, when members come in

26:45

and when they raise their hands, or if we make it easier

26:47

for you to understand that, what are you going to do for them?

26:49

Because if I have an amazing experience across brands,

26:52

I love within the Nordstrom ecosystem.

26:55

And because I'm a member, that really could accelerate things

26:57

as well for them.

26:58

So I think performance is good.

27:00

I think there's tons of room for opportunity

27:02

in terms of more of that engagement, emotional connection,

27:05

partnership aspect.

27:07

Did I hear a number there?

27:08

No, you didn't.

27:09

I'm going to go with-- I'm going to view it classic three to half.

27:11

Play it safe.

27:12

Gotcha.

27:13

At least what do you think about the performance?

27:15

I went high again here.

27:16

I gave it a five, just based mostly on that statistic

27:21

that there's 13 million members spending four times

27:24

as much and three times as often.

27:26

I think that a really good indicator of performance.

27:29

You are one of them.

27:31

Yeah.

27:31

Scott, round us out.

27:33

What do you think about this performance?

27:34

Another big two for performance.

27:38

For me, again, it is the loyalty like moving the dial.

27:43

And at the note level, I think we already discussed

27:48

that the $10 note is not moving the dial on a $1,000

27:54

average shopper.

27:56

You're coming in anyway.

27:57

So you're identifying so that eventually you're earn points.

28:01

So saying that you've got 13 million members who are just

28:04

identifying to eventually earn points for shops,

28:07

they were probably going to be doing anyway.

28:09

I don't think is a performance program.

28:11

I think it just shows that they have a good customer base,

28:15

not a good member base.

28:17

So again, I differentiate there fantastic

28:20

in the world of customer service and making

28:23

the experience for everyone elevated.

28:27

But as a member, I don't know that it's moving the dial

28:32

at what they're doing.

28:33

I think that they are taking people

28:35

who are already doing shops and just identifying them

28:38

as loyalty members.

28:39

So to me, that tends to skew the data in my interpretation.

28:44

So I choose kind of where I sit.

28:47

To piggyback off what Scott said to,

28:50

and we see this with an example would be hair.

28:52

It's out in the UK, which is luxury department store.

28:55

What I think is really interesting about their program

28:57

is they create these mini clubs where they get to know you.

29:00

And if you join their kids club or their coffee club,

29:03

it then knows that you're within that segment.

29:06

And then it offers and curates more things for you

29:08

that are tailored to you.

29:09

And I think what's interesting is a lease

29:11

who is definitely their demographic.

29:13

She's exactly who they want to be shopping with.

29:15

She has a card.

29:16

The program is built for her.

29:18

The program from a free enrollment,

29:21

and I'm not really going to take a credit card with them.

29:23

But I'd love to see some more aspects

29:25

that benefit me within the program, which is Scott and I.

29:28

There's not as much for us, right?

29:30

And so there's no like men's club.

29:32

There's no unique aspect there.

29:34

Maybe there is with personalization.

29:36

Again, we aren't close to the detail of what they're doing

29:39

from segmentation, CRM, and email, et cetera.

29:43

But I think there's something there that's really missing.

29:45

It's this idea of clubs or accelerated ways

29:49

of engaging to core segments.

29:50

And then learning from that and then positioning

29:53

that to partners, positioning that to brands

29:55

to create different campaigns.

29:57

I think that's where they're really lagging.

29:58

Yeah, I think that's a really good point as far as like,

30:00

OK, now we've identified them.

30:02

If you've got-- if you've incentivized them for that

30:04

and you're identifying themselves, how are you learning,

30:06

how are you growing, how are you personalizing?

30:08

What's the next appropriate time to ask

30:11

for some deeper information looking at your cohorts,

30:13

what's the evolution there?

30:16

And then like you said, it's a really exciting place

30:19

for North Shore to be in because there

30:20

are so many opportunities and things

30:23

that can easily be implemented to take that program

30:26

to the next level.

30:27

So today's total scores.

30:30

And so that brings Nordy Clubs total average score

30:33

across the four categories as a 3.63, which, looking back

30:37

at the programs that we've already slanned,

30:40

that's like the second highest rating.

30:42

So I think that if they're doing really well,

30:44

that they know who their loyal chopper are,

30:50

and that there's so massive opportunities

30:52

to take us to the next level and turn that 3.6 into a 4.5.

30:56

So I'm really looking forward to seeing what Nordy

30:58

should have brought to the table the next 12, 24, five years.

31:02

So this has been the loyalty program

31:04

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31:07

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