MARKS AND SPENCER LAUNCHED CREDIT CARD SERVICE

[MARKS AND SPENCER LAUNCHED CREDIT CARD SERVICE]

ACKNOWLEDGEMENT

I would take this opportunity to thank my research supervisor, family and friends for their support and guidance without which this research would not have been possible.

DECLARATION

I, [type your full first names and surname here], declare that the contents of this dissertation/thesis represent my own unaided work, and that the dissertation/thesis has not previously been submitted for academic examination towards any qualification. Furthermore, it represents my own opinions and not necessarily those of the University.

Signed __________________ Date _________________

Table of Contents

CHAPTER # 1: INTRODUCTION5

Background5

Problem statement5

Purpose5

Rationale of the study5

Significance of the study6

Research Hypothesis6

CHAPTER # 2: LITERATURE REVIEW7

Products and Packaging10

Store Improvements11

The Marks and Spencer Chargecard now has 2 95 million cardholders11

Customer Service13

Communications Strategies14

Media Relations15

Events15

60% of all adults in the UK buy from Marks and Spencer each year15

Publications15

Advertising16

International Communications16

M&S emphasizes internal communications within the Group to build up corporate spirit18

CHAPTER # 3: METHODOLOGY20

Mixed Methodology Research20

REFERENCES24

Chapter # 1: Introduction

Background

One of the UK's best renowned department shops Marks & Spencer (M&S) has commenced a new borrowing card, in a roll out that is set to become the biggest ever credit card launch in Europe. The MasterCard branded &more card will furthermore have an affiliated loyalty scheme, which the shop wants will tempt customers to use the card both in the shop and elsewhere. This will advance their financial services class and will expand their services and products. (Brennan 2001 423)

Problem statement

The problem statement will study the issues related to this topic and the problems that Marks and Spencer will face when they launch their new financial service i.e. the credit card service and its associated loyalty scheme.



Purpose

The purpose of this paper is to study the reason for Marks and Spencer to increase cutomer loyalty by allowing them to avail loyalty schemes. Their credit cardservice will provide the customer with a satisfaction after availing the loyalty scheme.



Rationale of the study

The new cards will support the international EMV benchmark as part of the UK's chip-and-PIN events for credit and debit intelligent cards. However, the PIN will not be triggered until the retailer rolls out chip-and-PIN compliant POS terminals. Prior to the nationwide roll-out, M&S accomplished a pilot phase in nine stores in South Wales with 40,000 holders of the company's personal mark ascribe card migrating to the new borrowing card. According to M&S, the merchandise directed to rises in spend and balances and an direct affinity to the loyalty scheme. (Bozzolan 2003 558)

Significance of the study

New statistics have disclosed that the total number of artificial cards constructed worldwide in 2002 strike 10.7 billion, just over 10% more than in 2001, when 9.7 billion cards were produced. This increase wasn't echoed in the income image, although, as farthest cost force in 2002 intended that the market rose by just US$100 million from US$4.7 billion in 2001 to US$4.8 billion. The numbers, made by the International Card Manufacturers Association, encompass artificial cards of all thicknesses, encompassing customary cards with and without magnetic band of colour, and chip ...