Bed, Bath & Beyond Launches Paid Loyalty Program
Bed, Bath & Beyond is launching a paid loyalty program, Beyond+. The home goods chain launched the program in an invitation-only pilot last year, and is now opening it to all consumers. The program costs $29 annually, and provides members with 20 percent discount on purchases (with some exclusions) both online and in-store, as well as free shipping. Beyond+ doesn't yet apply to the company’s many other sister locations such as BuyBuy Baby and Cost Plus World Market.
Total Retail’s Take: Bed Bath & Beyond is going to a paid loyalty program in the hopes of easing margin hits from its popular direct mail coupons. The retailer has a loyal customer base — one could argue that may go away without coupons — and as such is hoping to monetize that audience through Beyond+, following Amazon.com's lead with Amazon Prime. Charging under $30 a year for free shipping on most every item ("oversized" items are excluded) could pay for itself in just a few purchases, and is hopefully attractive enough to get customers to sign up for the program.