Marketing boost: Isetan Mitsukoshi to team with T Point operator in customer data analysis

Marketing boost: Isetan Mitsukoshi to team with T Point operator in customer data analysis

TOKYO — Isetan Mitsukoshi Holdings will partner with Culture Convenience Club, operator of the T Point reward program, to analyze customer data and strengthen development of products and services.

     The two companies plan to set up a joint marketing venture as early as the start of next year. They will bring together massive amounts of customer data to conduct detailed analyses of consumer behavior. The tie-up will likely be announced on Friday. 

     Isetan Mitsukoshi’s MICARD has some 2.8 million members, many of whom are older shoppers who buy high-priced items.

     CCC’s T Point reward program, widely available at convenience stores and other outlets, has 55 million members. T Points are earned and redeemed at more daily shopping sites such as FamilyMart convenience stores, so the memberships of the two programs do not overlap much. Many T Point members are younger consumers, the demographic Isetan Mitsukoshi hopes to attract.

     Through this partnership, shoppers at Isetan Mitsukoshi group stores will be able to earn and use T Points. While Isetan Mitsukoshi gets to lure more customers, CCC will be able to expand its T Point membership.

     When customer data is analyzed, the information will be in the form of statistics and thus not linked to any specific individuals.

     For instance, Isetan Mitsukoshi could take into consideration the colors and designs popular among young T Point members when it develops private-label apparel and household items. If items enjoying strong demand from T Point members are not readily available at Isetan Mitsukoshi, the department store operator will consider strengthening such offerings.

     Japanese department stores are logging solid earnings thanks to brisk demand from foreign shoppers visiting Japan. But in women’s apparel, which accounts for some 20% of overall sales, they face intense competition from fast-fashion retailers.

(Nikkei)

Marketing boost: Isetan Mitsukoshi to team with T Point operator in customer data analysis