THE CLARUS Blog

How the Target Circle Loyalty Program Rollout Puts Customers in the Center

“Our guests are at the center of everything we do…”

Rick Gomez, Executive Vice President and Chief Marketing and Digital Officer for Target summed it up nicely in a company release about the Oct. 6 nationwide launch of the Target Circle loyalty program.

After testing the Target Circle program in several cities during the past 18 months, company officials scheduled its national launch in time for the holiday season.

He went on to say, “…we’re always looking for ways to create even easier, more rewarding shopping experiences that give them another reason to choose Target”

Listening to your customers, identifying and addressing their pain points, and putting them at the center of everything you do are the traits of a successful loyalty program.

 

Target Circle Gives Members What They Want

“We worked directly with guests to develop Target Circle, and the program includes the benefits and perks they told us were most important to them, from earning on every trip to having the opportunity to help Target make a positive impact in their local communities,” Gomez added.

A key aspect of the Target Circle program is it lets members get involved on the philanthropic side of their respective local communities.

The program’s benefits include:

  • Earning 1% on every Target run to redeem later
  • Having a positive impact in their local community by voting to direct Target’s giving initiatives
  • Receiving personalized deals and perks, including a birthday surprise
  • Getting early access to special sales throughout the year

Target officials have always been committed to giving back to communities, an area of keen focus in Target Circle.

Target Circle members will have an opportunity to cast votes to help direct Target’s giving to approximately 800 nonprofit organizations in their local communities.

Millennials are attracted to loyalty programs that include giving back and being connected to charitable causes.

Millennials want to find ways to make an impact when they need to be tighter with their cash compared to other generations.

That’s why it’s so important for brands to stand for something and create loyalty on a deeper, emotional level.

Besides the national expansion of Target Circle, Target is integrating its popular Cartwheel savings tool into the program and renaming its deals as “Target Circle offers.”

Target Circle is designed to complement Target’s RedCard program by offering perks and special deals for all members, including those who currently may not be interested in acquiring a new credit or debit card.

 

Target Circle Has Already Received Overwhelming Results

According to company officials, Target Circle has already reaped overwhelming results.

Members are saving more and spending more than guests who are not enrolled in the program.

To date, more than two million guests have enrolled in the program and completed more than 14 million transactions, while casting votes to donate more than $500,000 to local nonprofit organizations.

The most critical element of a successful loyalty program is to strike a balance between transactional and emotional benefits.

Target has clearly recognized this and created Target Circle to fit the bill. It’s a prime example of how a loyalty program can look when you listen to your customers.

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