Hudson’s Bay hopes to engage customers with a revamped loyalty program that includes a new app and personalized offers.

The Toronto-headquartered department store chain announced Tuesday that changes to its rewards offering are intended to refresh the program to better reflect current shopping habits.

“Hudson’s Bay was one of the first companies to offer a loyalty program in Canada, and since then consumer habits, shopping prioritization and expectations of these types of programs have continually changed,” said Kevin Parry, vice president of credit and loyalty at Hudson’s Bay, in a press release.

He adds that the company wanted to improve its rewards program.

This program comes against a backdrop of high and persistent inflation, which is increasingly encouraging consumers to shop for bargains.

The rewards program consists of three tiers that customers can climb, allowing them to earn faster and more points with each tier.

Shoppers start at the Hudson’s Bay Rewards tier, which gives them one point for every dollar they spend in store or online at Hudson’s Bay and Zellers and for using their Hudson’s Bay Mastercard. hudson

If they’ve spent $400 in a year, they upgrade to Rewards Plus, which gives them 1.5 points for every $1 spent. The final tier, VIP Rewards, is accessible from $1,200 in purchases per year and offers two points for every dollar spent.

Points can be redeemed from 1000 points, which gives you a $5 discount and can be applied to taxes, shipping and the item itself.

In addition to purchases, customers can earn points through personalized in-app offers based on individual preferences, shopping habits, and “missions” completed by the user.

For example, a mission might ask a buyer to create an entire ensemble from a Hudson’s Bay item.

There will also be bonus events where shoppers can earn double or extra points by shopping on specific days or by redeeming fewer points for a higher discount.

A way to boost sales

Revisions to such rewards programs are becoming more common as banks and retailers increasingly look for ways to increase sales and membership bases to weather the current economic turmoil. Data on when and how people spend money is also valuable for businesses.

Cineplex, Scotiabank and Empire Company Limited overhauled the Scene program last year and BMO Financial Group bought Air Miles in Canada last June.

In early August, the Royal Bank of Canada expanded its Avion program to include all Canadians, regardless of banking institution, offering members an exclusive package of tickets to upcoming Taylor Swift concerts in Toronto to attract registrations.

The overhaul of Hudson’s Bay’s loyalty program comes as the company works on several initiatives to streamline its operations and increase enthusiasm for its offerings.

In recent years the company has launched a new Forever 21 collection, opened boutiques for outdoor retailer MEC in select stores and partnered with baby goods startup Rebelstork for a resale program brand.

Probably the most noticed change came in March, when the Zellers discount chain was re-established ten years after most branches had been closed. The return of Zellers has come in the form of pop-up stores in Hudson’s Bay stores, selling a mix of housewares and other private label products, and competing with some products you’ll find at Ikea and Walmart.

However, the company also laid off around 250 employees in January and another 250 in May. The job cuts are intended to help the company withstand “significant external pressures,” the company said in January.

Tara Deschamps, The Canadian Press