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Food Lion rolls out new brand strategy to 268 stores

BY Katherine Boccaccio

Salisbury, N.C. — Grocery chain Food Lion, a subsidiary of Delhaize America, said Wednesday that it has rolled out a previously announced new brand strategy to 268 stores in Virginia, West Virginia and North Carolina. These markets are the first stores in 2012 to unfurl the new strategy, which is based on customer feedback.

"As part of our new strategy, we are committed to being recognized as a price leader, making our stores easier to shop, offering the greatest value in store brands and providing fresh produce,” said Cathy Green Burns, president of Food Lion. “We believe our new brand strategy enables us to better serve our customers in these markets."

The strategy combines lower pricing with a new shopping experience focused on ease and convenience. In tandem with the brand strategy rollout, Food Lion remodeled 20 stores, and transitioned eight Bloom and six Bottom Dollar Food stores to Food Lion stores.

In January, the company announced plans to accelerate the rollout of the strategy to an additional 600 to 700 stores by the end of 2012. The just-announced 268 locations are the first step in the rollout.

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Study rates Starbucks as most socially engaged company

BY Marianne Wilson

Los Angeles — Starbucks Coffee Co. has been rated number one in a study of the most socially engaged companies by PhaseOne, a leading analytical-based research firm that helps companies to improve the quality, content and success rate of their marketing communication materials.

Conducted between July 2011 and January 2012, PhaseOne’s social media engagement study looked at 75 top brands across six vertical markets and analyzed the social media engagement of more than 20 top brands.

According to the study, being consistent across all platforms – a brand’s web pages, Facebook page and advertising — are keys to being successful at social media engagement. For example, Starbucks has integrated its appeal to a personalized experience across all consumer touch points, including its television advertising.

In addition to Starbucks, the study’s most socially engaged brands across three distinct engagement metrics are Audi, McDonald’s, Red Bull and American Express.

For more, click here.

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Report confirms strong connection between customer experience and loyalty

BY Marianne Wilson

New York — Customer experience is highly correlated to loyalty in both the United States and the United Kingdom, according to a new report by Temkin Group.

According to "The ROI of Customer Experience" study, a $1 billion U.S. company can generate between $141 million and $382 million over three years if it makes a modest improvement in the customer experience it delivers.

In the United States, where Temkin Group analyzed 18 industries, fast food chains, retailers, and supermarket chains experience the largest gains from customer experience improvements.

The research compared customer experience leaders — those companies that significantly outperform their industry peers — with customer experience laggards that have poor customer experience ratings. Companies that are customer experience leaders in both countries enjoy at least a 16 percentage point advantage over customer experience laggards in key loyalty areas like the willingness of consumers to buy more products from them, the reluctance of consumers to switch business away from them, and the likelihood of consumers to recommend them to friends and colleagues.

The report can be accessed from the Temkin Group website at Temkingroup.com.

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