Many companies have to alter to be client oriented in this progressively competitory environment like presents ( Kotler, 1997 ) . Particularly in this period of economic uncertainness, alternatively of pulling new clients, major retail section shops such as Central and The Mall Group have emphasized on establishing new trueness selling plans to promote current shoppers. The cardinal enterprises like Customer relationship direction ( CRM ) and client experience direction ( CEM ) are used in advancing an impressive shopping experience for their current clients.

The trueness card seems to be a good pick as a tool to heighten CRM of the retail section shop.This paper will function to look into the function of trueness card plans in set uping the trueness towards a big retail section shop likes Central Department Store.

Statement of Research Problem

The intent of research paper is to take to analyze the function of loyalty card plan in order to better client satisfaction and clients ' redemption purpose toward Central section shops.

Company Profile

The Central Retail Corporation and Central Department Stores have been established for 62 old ages. Central Retail has gross revenues gross of more than 1.5 billion US dollars per twelvemonth.

The company has more than 30,000 employees. Central Retail presently operates and entirely owns more than 200 shops in assorted sizes and formats throughout Thailand.Cardinal Retail Corporation is comprised of:Department Stores - Central Department StoreRobinson Department StoreZen Department StoreForte Stores - Top MarketPower BuyB2SHomeworksOffice DepotSuper SportJoint Venture - Big C Super centreWatson 'sMarks & A ; SpencerOnline Business - Central OnlineCardinal Department Store has been recognized to be an first-class retail merchant in Thailand for more than 6 decennaries. Much study of shoppers show that Central is Thailand 's favourite section shop, and it is besides the continual figure 1 in section shop gross revenues.With its richness and prosperity, Central supplies to all Thai 's urban population, including exiles and tourers.

Not merely spread outing subdivisions in Bangkok, Central expands other four subdivisions in big provincial country which are Chiang Mai, Hadyai, Phuket Island, and Pattaya Beach. Both local and international reputes of Central Department Store are its firm committedness to outstanding ware choice, first-class ocular presentation, first-class shop environment, and matchless services. Central has been honouring by many Alliances with legion desired awards. In 2003, the Global Innovator Award from the United States of the best house ware trading in the Asia-Pacific part was given to the company.Asia 's Top 1,000 Brands Report by Media Portfolio ranked Central Department Store to be 175th out of the 1,000 trade names surveyed in September 2006. In the section shop class, the Central Department Store is voted figure two after Sogo of Japan.

Furthermore, the Reader 's Digest 's graded Central as the victors of Trusted Brands Gold Award for the Department Store class in Thailand in 2007.

Central 's Loyalty Card Background

Sometimes power can be a large job. Initially Cardinal Retail Corporation operates a assortment of concerns and each concern has its ain rank card. This makes client can non unite the advantages and benefits of each rank card together. Since each section of the market varies, it is better to synchronise the clients ' informations in all databases. As a consequence, clients can utilize merely on trueness card at every mercantile establishment of Central.

Mr. Tos Jirathivat, President of Central Retail Corporation suggests the construct of sharing market among affiliates under the card. Similarly to all clients under the Group along with regular clients to alter behaviour to pass more on every concern of Central Retail corporation under the name of The 1 Card. To perforate mark rank recognition card, the company issued in the name of the group affiliates, Robinson Card, and Central card to both current and new clients.

Back to the late of the twelvemonth 2003, the company tried to distinguish its selling and client relationship run in the retail concern particularly in supermarkets and hypermarket by establishing The 1 Card to all Central shoppers. Initially the company focused merely on spread outing subdivisions to cover all country and cut downing the monetary value to less than rivals. The company differentiates its run by utilizing Loyalty Program via The 1 Card and Spot Rewards Card rank for clients who come shopping for all of the mercantile establishments of Company.Cardinal Retail Corporation chooses to concentrate on clients of The 1 Card rank, which the yesteryear has developed in analogue with the spread outing client base. Nowadays the current rank of The 1 Card has about 2 million less than the original mark was placed at 2.

8 million, even though all 2 million itself did non hold active position. 90 % of the current members are active and another 10 % are non-active. If any member is non active for good, it would be removed from the system because these informations have no benefit to analyse. But if the former active members so disappeared, they will be seen what to make to pull these clients back into active rank as same.

The 1 Card

With The 1 Card, clients can roll up points when they shop at the following mercantile establishments of Central Retail Stores such as Central Department Store, ZEN Department Store, Robinson Department Store, PowerBuy, SuperSports, B2S, and Homeworks.

There are a sum of over 230 locations throughout Thailand. Customers can demo The 1 Card every clip they make a purchase and acquire points. The points accumulated in the card can be redeemed for many benefits such as hard currency vouchers, gift verifiers, and particular gifts. In add-on, The 1 Card members on a regular basis receive particular privileges to accommodate your life style.

aˆ?A A A Every purchase gets wagess

Simply show The 1 Card when you make a purchase, or retrieve the member ID so demo it to the gross revenues individual to acquire your points and wagess. Customers will acquire 1 point for every 25 Baht purchase.

The point earned is limitless. The paying method is limitless excessively. Customers can pay in any manner them want: hard currency, recognition card, gift verifier, or hard currency voucher.

aˆ?A A A Everyday Enjoyment

The 1 Card 's Everyday Enjoyment plans provide particular events and privileges to accommodate your life style. There are many categories such as make-up application techniques, baking, interior ornament, and seminars on IT merchandises, provided for The 1 Card members for free.

Furthermore, the Everyday Enjoyment Partners plan such as eating houses, watering place, and other spouse companies provide The 1 Card members with privileges at a broad array of take parting.The 1 Card members can utilize their points to acquire particular salvation opportunities.A The 1 Card members can acquire a 100 tical hard currency voucher by salvation of 800 points in The 1 Card. This hard currency voucher can be used at every subdivision of Central Department Stores, ZEN Department Store, Robinson Department Store, PowerBuy, SuperSports, B2S, and Homeworks.

Customers can look into current salvation specials and point aggregation at the client service counter.Ms. Sawanya Pholkhan, manager of the strategic client relationship direction company Central Retail Corporation Limited said `` The 1 Card today continued its leading in client relationship direction. By the figure of endorsers than 2.5 million which card is on a regular basis over 80 % of disbursement through the card in the past twelvemonth, stand foring 75 % of entire gross revenues in the Central Retail Corporation and the rate of points.

The 1 Card for more than 80 % to the advantages of The 1 Card at cognizing and understanding client demands and respond with the same purpose. ''

Research Methodology

Research Questions:

What are the motor factors act uponing The 1 Card member to shop more at Central Department Store?

Research Aims

- To happen the most motivative factors act uponing The 1 Card member to shop more at Central Department Store.- To analyze factors those affect The 1 Card member to shop more at Central Department Store.- To analyze if repute affects the motor factors act uponing The 1 Card member to shop more at Central Department Store.- To analyze if sale publicity affects the motivation factors act uponing The 1 Card member to shop more at Central Department Store.- To analyze if Convenience affects the motivation factors act uponing The 1 Card member to shop more at Central Department Store.

Conceptual Model

The conceptual model is drawn from the literature reappraisal to develop. It shows the relationship between the independent variable and dependent variables toward buying purpose at Central Department Store. The factors that affect the purpose to buy at Central Department Store.Figure 1: The Role of Variable Factors toward the Purchase Intention at Central Department Store

Oliver 's Four-Stage of Loyalty Model

In this paper, The Oliver 's four-stage trueness theoretical account can be used to explicate the function of loyalty card plan. This theoretical account is produced in 1997 in a simplified signifier.

It consists of 4 phases which the first 1 is cognitive trueness ; which consumers base on costs and quality, the 2nd 1 is affectional trueness which consumers base on satisfaction, the 3rd one is conative trueness which consumers make redemption and urge to other people, and the last 1 is action which consumers have trueness and do their shopping at the shop often.The first phase of Oliver 's trueness theoretical account is identified as cognitive trueness. In this stage, trueness is directed toward the monetary value and services or merchandise 's quality. Consumers still back up one shop alternatively of others based on valuable grounds.

For illustration, if one shop has lower monetary values or better service than other shops, clients will non alter to purchase merchandises from others. At the same clip, trueness may non be really strong because it is entirely inflowing by functional features and consumers ' committedness towards a shop. In instance that another shop offer more attractive monetary values or better service, the consumer may be easy alteration to shop at that shop. Because they are witting of the shop readying on cost and benefit, consumers may exchange when faced with noncompetitive public presentation.The 2nd phase of Oliver 's trueness theoretical account is affectional trueness. The affectional trueness has developed on the footing of cumulatively fulfilling chances and there is a linkage and attitude toward the trade name.

Oliver sets that a procedure of cognitive can be lead by emotional determinations. In add-on to knowledge, this is a stronger signifier of trueness in that trueness at this phase is driven by anterior attitudes towards that shop and at a ulterior phase by satisfaction. This phase of trueness is stronger in that `` counter-argumentation '' entirely will non free the trueness of a consumer since it is based on affect besides. At this phase the consumer 's trueness is a map of both attitude and satisfaction. We, hence, utilize consumer rating of comparative attitude and satisfaction to mensurate affectional trueness.

Committedness at this phase is referred to as affectional trueness and is encode in the consumer 's head as knowledge and affect. Whereas knowledge is straight capable to counter debate, affect is non as easy dislodged the merchandise or services exhibited is directed. At the grade of affect for the trade name is similar to cognitive trueness. However, this signifier of trueness remains capable to exchanging, as is evidenced by the informations that show that big per centums of trade name deserters claim to hold been antecedently satisfied with their merchandise or services.

Therefore, it would be desirable if consumers were loyal at a deeper degree of committedness. In this phase we will utilize consumer rating of satisfaction to mensurate affectional trueness from the consumers.The 3rd phase of trueness of Oliver 's theoretical account is conative trueness. At this stage the consumer holds a committedness to purchase. This phase is illustrated by repurchase purposes and via actions like urging the shop to others.The concluding phase of trueness is action trueness in that `` action is the necessary consequence of the meeting of the predating three phases.

'' Our step of trueness ( the portion of visits to section shops accruing to the shop in inquiry ) is a step of action trueness. Figure 3 presents the theoretical account that is being tested here.

Consequence

During the many participants in the retail section shops concentrate on invention to back up the issue of rank cards to new clients including the creative activity of the run and assorted publicities to pull consumers to register to be a member, but for Central Retail Corporation and Central Food Retail subordinate are observing the success of trueness cards, including two rank of The One Card and Spot Rewards Card.As a innovator, this is the wages they received from the scheme of constructing trueness in the retail concern in Thailand with the member of 4.

1 million people and bring forthing gross revenues for the company up to 82 % on rank card and Spot Rewards Card. Central Food Retail 's executive store supermarkets under the Central Food Hall, Tops Market, Tops, Tops Supermarket and Deli.