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Case Study: Maintain Customers With A Rewards Program

Source: Integrated Solutions For Retailers Magazine
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The state of Colorado welcomed a brand new franchise to its sporting landscape on Oct. 17, 1995, when the Colorado Rapids were named as one of Major League Soccer's (MLS) original 10 franchises. Kroenke Sports Enterprises-Colorado Rapids Soccer Club operates the Rapids and Dick's Sporting Goods Park (DSG Park), the Rapids' stadium field, which seats more than 18,000 fans. Fifteen home games are played each season at DSG Park. Headquartered in Denver, the club employs 60 people. Two years ago, Jeff Plush, managing director of the club, realized that season ticket holders, the company's most important customers, were not renewing at an acceptable rate. His challenge was simple yet daunting; he had to quickly devise a lucrative plan to win back the season ticket holders.

Plush implemented, to no avail, several benefits in the hopes of increasing the season ticket holder renewal rate. "We offered benefits, such as discounted tickets or better seat locations, but nothing that rewarded our customers for being loyal," says Plush. "Customers want value they can actually see and achieve, and we needed a way to give that to them. Adding value for the customer would help us retain our current customers and renew their business year after year." In 2007, Plush sought a solution by approaching First Data, a developer of loyalty and rewards programs, for a solution. Plush wanted to incorporate a rewards program that utilized the retail store and concession stands inside DSG Park. The club operates the retail store called Altitude Authentics, as it sells Rapids merchandise and other soccer-related apparel and gear. Aramark, a food services provider, operates the concessions .

Used with permission from Integrated Solutions For Retailers magazine.

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