The popular “Kohl’s Cash” discounts will be the star of Kohl’s Rewards program. Through the initiative, customers get 5% Kohl’s Cash for each purchase, with no spending minimum or required pay method. The program works online or in-store and launches just in time for the holiday shopping season.
Kohl’s Rewards replaces the previously established Yes2You Rewards system, which had 30 million registered customers. Shoppers will transfer to the new loyalty structure, which includes new perks, such as birthday deals and personalized discounts. With Kohl’s Rewards, loyalty members will also receive digital reminders about new and almost-expired coupons, which could incentivize members to shop. Each month will bring new coupons and discounts, with reward balances converted into increments of $5 Kohl’s Cash at the beginning of each new month. As an added bonus, the Kohl’s Cash redeemed through Kohl’s Rewards does not have brand exclusions, meaning shoppers can spend it on anything from the store.
To ensure Kohl’s Rewards is simple and accessible to customers, the department store will print member balances on the end of their receipts for every purchase. Additionally, a shopper’s Kohl’s Rewards balance can sync across shopping channels, keeping them in the loop whether they are shopping online, through the Kohl’s app or in-store. Kohl’s Rewards functionality could encourage shoppers to sign up and shop more frequently, according to a Gartner report. As the department store recovers from a 23% sales decline during the Coronavirus pandemic, launching a new rewards program before the start of the seasonal shopping period could bring in new customers and potentially boost sales. Kohl’s social media innovations over the past year, such as styling a digital wardrobe on Snapchat and selling beauty products through Instagram Checkout, could help it set the stage for converting young, digital shoppers into Kohl’s Rewards members.
Through Kohl’s new simplified loyalty program, customers can rack up rewards to redeem on virtually any product sold by the department store. The plethora of products could appeal to variety shoppers looking to make the most of their rewards benefits and allow Kohl’s to build a loyal customer base.