Gap Inc. Streamlines Loyalty Programs
Gap Inc. is simplifying its loyalty programs by folding four brand initiatives into a single system.
Including the Rewards programs from Gap, Old Navy, Banana Republic and Athleta, the new system enables consumers to accumulate and redeem rewards across all four brands, whether they’re an existing member or not. They can also donate rewards to five charitable funds.
“We heard from our customers that they wanted a more streamlined way to earn and spend rewards across our four brands, and they value brands that are a force for good in the world,” a Gap Inc. spokesperson told RIS. “With this in mind, we designed a program that simplifies earning and spending rewards and gives our members the opportunities to us their points to support worthy causes.”
The new program enables the company to learn about their customers and create personalized and seamless experiences that will make it easier for them to shop, earn and redeem rewards across their brands, she added. “We know that our most loyal customers shop more and spend more with us, so our goal is to turn all our customers into lifelong loyalists with a more customer-centric rewards program.”
Gap Inc. relaunched its loyalty programs last fall and has enrolled more than 19 million new customers in less than 12 months. The company counts over 37 million Gap Inc. Cardmembers and Rewards members combined who have been automatically migrated to the new program.
The new program enables Cardmembers to earn 5 points for every $1 spent, while Rewards members earn 1 point for every $1 spent. Rewards can be redeemed in $1 increments vs. the previous 500-point increments.
The company has also established new membership tier levels based on annual spend: Core ($0 to $500 annual spend), Enthusiast ($500 to $999 annual spend or Cardmember), and Icon ($1,000-plus annual spend or 5,000 points).
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Core members can join for free and earn bonus points for quarterly cross-brand purchases. They also receive free 3- to 5-day shipping on orders more than $50 and access to community experiences through Athleta. Enthusiast members receive all of these incentives, plus other exclusive offers. Icon members can also receive free 2- to 3-day shipping on orders more than $50, as well as free basic alterations on Banana Republic merchandise.
Old Navy, Gap and Banana Republic Rewards members have the ability to convert their previous benefits to the new incentives, and all groups can donate points to five different funds: Imagine Mission Fund, DoSomething.org, BR x World Wildlife Fund, Power of She Fund and Equal Justice Initiative. Gap Inc. has also committed to match up to $1 million in member donations to the causes.
