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Posted: 6:00 a.m. Tuesday, Jan. 15, 2013

Store loyalty programs offer deals through data mining

By Clark Howard


Traditional supermarkets are hoping to use mobile apps to build loyalty and give savings to customers who might otherwise flee to non-traditional competition.

The apps are available for both Apple and Android and are usually advertised at the registers. Among the most common features you'll see in these apps:

 

  • Automatic download of coupons that are both manufacturer and store specific
  • Using tracking technology to monitor everything you buy and then offer customized deals specific to your shopping patterns
  • Organization of your shopping list based on the layout of a particular store

So much grocery market share is being taken by the non-traditionals. Wal-Mart is the No. 1 grocery chain in the nation. Aldi is taking market share left and right. And then there are Trader Joe's and the warehouse clubs.

In the past, Kroger has been so successful using technology at all their various brands they do business under. They were ahead of the game with older technology that was loyalty card based.

The downside is that all the deals both through apps and through traditional loyalty cards only come courtesy of extensive data mining. So there is a creepout factor here. 

Meanwhile, in another indication of the way the marketplace is moving, Decide.com  has a new subscription service where they tell you when there's a deal on something that fits the profile they've built on you.

 
 

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