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If loyalty programs are so important, why doesn’t Trader Joe’s have one?
['Michael Brady', 'Sam Silverstein']
Grocery Dive - Latest News
Please let us know if you have feedbackTrader Joe's has the highest loyalty among U.S. grocers, even though it doesn't have a loyalty program.
Rather than investing in a costly, complex loyalty program, Trader Joe's relies almost exclusively on its private-label products, high-touch customer service and everyday low prices to drive loyalty.
"You don't have to be part of a special club," Matt Sloan, vice president of culture and innovation at Trader Joe's, said on the company's "Insider Trader Joe's" podcast in 2023.
But Trader Joe's doesn't see that as a loss because such discounts often lead customers to chase deals rather than "engender loyalty," Tara Miller, vice president of marketing at Trader Joe's, said on the company's podcast in 2023.
Trader Joe's already has what many brands are buying when they invest in a loyalty program: customer touchpoints.