Kohl’s Launches Newly Revamped Loyalty Program

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Kohl’s launched a newly revamped loyalty program called Kohl’s Rewards, with plans to pilot it across 100 stores in eight markets.

The markets include Phoenix, Raleigh, Indianapolis, Minneapolis, Austin, San Antonio, Buffalo and Rochester. The full program is expected to roll out in 2019.

“This program is designed to drive traffic and sales through further engaging existing customers and acquiring new customers,” said Michelle Gass, CEO of Kohl’s in an earnings call.

Gass said it simplifies the program into a single rewards currency based on the power of Kohl’s cash. It will also broaden access to some of the store’s key sales events which historically have been limited to Kohl’s charge card holders.

According to its web site, Kohl’s Rewards members earn 10% Kohl’s Cash with every purchase with a Kohl’s charge. Customers also earn 5% Kohl’s cash without a Kohl’s charge. Kohl’s will offer its customers the opportunity to earn Kohl’s cash, 5% for members and 10% for Kohl’s charge card holders.

“Through the loyalty program we will be personalizing offers and experimenting with additional benefits including free shipping for elite members,” said Gass.

As the pilot progresses Kohl’s will learn which aspects are resonating with customers and which aren’t and course-correct accordingly. Gass said it equally addresses both new and existing customers.

“I think new customers will see the simplicity,” she said. “And for our most loyal customers, especially those that have our charge card, we’re adding the benefit of earning 10% Kohl’s cash every day, which is a lot of value add. So overall, we’re going to learn a lot but I think we’re feeling very, very good about what this will mean to our customers.”



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