Family Bundles, the loyalty co-op that unites independently owned businesses under one umbrella, is making plans to “re-launch” in Kitsap County, the original location where the program began test marketing in spring of 2000.
From 2000 through 2007, extensive testing in Kitsap County, West Seattle and Everett, as well as several communities in Southern California resulted in many revisions to the firm’s proprietary software program, in order to increase the benefits to businesses and consumers alike.
According to Kim Vogler, founder and CEO, “We had no idea when we began developing this concept, that it would require such an enormous amount of time — as well as investment capital — to get to the level of growth and development that we are now at,” she stated. “Now that we are coming out of our first primary launch in the Sequim-Port Angeles-/Port Townsend areas, we are prepared to “re-launch” at the original test sights, and begin to duplicate the program throughout the rest of the state, and into six other states.”
The basic business model has maintained much of the original profile. Family Bundles basically pays consumers to shop at local businesses, and then pays the participating members when their own customers shop at other businesses in the co-op. In order to reduce overhead for Members, 14 percent of all revenue is spent on advertising, on behalf of the members. Some of the more recent benefits includes a new software application that allows the loyalty cards to double as gift cards.
“The biggest difference between Family Bundles as a gift card, and other similar programs, is that we don’t charge monthly service fees, or transaction fees, and the dollar value of the gift cards never decreases, plus they have no expiration dates,” Vogler explained. “Another big advantage to members is that when consumers redeem the credits they earn, it’s like a cash sale, with no transaction fees or processing fees, so when that function replaces credit card transactions, and it’s an even greater saving to the merchants.”
During the first phase of the primary launch in Clallam and Jefferson Counties, over $660,940 ran through the Family Bundles loyalty co-op — with a membership of just 19 active businesses, and a relatively small cardholder audience of 985 active consumers. The financial gain for all participating was substantial. In Phase two, the focus will be to increase the Members to 150 active businesses, in multiple categories, and an active cardholder audience of 30,000, which includes new and existing members, and cardholders in Kitsap County.
“The past eight months have proven that the program is extremely attractive to consumers and businesses alike,” Vogler said. “The more a business rewards customers, the more they receive in the way of benefits, and the less the program costs to maintain. As one of the members put it, this is like our own ‘self generated’ stimulus program that actually makes sense, and doesn’t increase our taxes.”
Family Bundles will begin the re-launch of Kitsap County this month, starting in South Kitsap and working up towards Bainbridge Island. Currently, consumers are earning up to three percent back on all purchases, in the form of credits that spend just like cash, at all participating locally owned businesses.
For more information contact Vogler at (888) 209-0077.
