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AA6 Kohl’s Case Study

Overview

Kohl’s is one of the largest department stores in the United States, with nearly 1200 locations. Like many retail chains, one the key drivers of sales is not just attracting new customers but fostering the loyalty of return customers. Years of internal research at Kohl’s has shown that what brings customers back time and time again is the significant discounts they get by enrolling in the Kohl’s credit card reward program. Because of the importance of the credit card reward program to the company’s success, store managers are given strong incentives to sign up a specified number of customers each month. The Kohl’s in Brandon is ordinarily a strong performer, but over the past quarter, they missed their goal every month by an average of 12%.

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