IGA, SUPERVALU LOYALTY PROGRAM TO GO LIVE IN 50 STORES

CHRISTINE BLANK

CHICAGO (FNS) -- The new "Hometown Perks" loyalty-card program, launched last month by IGA here and managed by Supervalu, Minneapolis, will go live in at least 50 IGA stores by December.

The first IGA independent retailers scheduled to roll out the frequent-shopper program are supplied by the Midwest division of Supervalu. The wholesaler will keep customer data, run data reports and help retailers to provide targeted promotions, said Ron Saurer, manager of loyalty marketing at Supervalu.

"IGA independents in this area wanted a loyalty card that would promote the IGA name," said Larry Willis, president and chief operating officer for IGA. Brand awareness will be established by linking the loyalty program to IGA's name, the wholesaler's red and white oval logo and its signature word, "Hometown," according to Duane Martin, vice president of retail for IGA.

The program, is based on Supervalu's "Preferred Perks" loyalty program, provides customer-specific marketing, mailed incentives and support material such as point-of-purchase displays and T-shirts.

Individual retailers will decide to what extent they will use the Hometown Perks program. For example, some will use it for product discounts, while others plan to reward top customers.

Programs that offer rewards "tailored to the lifestyles of consumers" offer real value, according to IGA. "Such rewards keep your bottom line and price-value relationship intact," according to an IGA statement.