Big changes are coming to Bed Bath & Beyond (and its affiliate brands). The company recently launched a new rewards program across its flagship brand as well as buybuy BABY and Harmon. Additionally, the company is making several leadership changes.
The brand has named a new EVP and chief merchandising officer, tapping Mara Sirhal for the role. Sirhal will be driving the company’s omnichannel merchandising, planning, and owned brands efforts. She previously served as the company’s general merchandise manager of health, beauty, and consumables. She will retain her prior role as general manager for Harmon as well.
Additionally, Sue Gove, an independent director on the company’s board of directors, has been named interim chief executive officer. Sirhal will be reporting directly to Gove.
“Top-tier execution, careful management of costs, greater supply chain reliability, prudent capital spending, a stronger balance sheet, and robust digital capabilities will all be important to our success,” said Gove. “I'm eager to start working more closely with our leaders and our associates across all banners to make the necessary strategy adjustments and create a brighter future for Bed Bath & Beyond Inc."
Doubling Down on Loyalty and Cross-Brand Promotions
Bed Bath & Beyond's new "Welcome Rewards" loyalty program. Credit: Bed Bath & Beyond
As part of the company’s commitment to digital capabilities, Bed Bath & Beyond has launched a new rewards program that will allow consumers to redeem points across all three retail banners on every purchase. Tracking and redemption capabilities, as well as birthday rewards and promotions, will be available across the three brands’ websites and mobile apps.
Bed Bath & Beyond expects to add early access to new products, sales events, exclusive events, and expert reviews as well.
The new “Welcome Rewards” follows a traditional, tiered approach — but only the first tier is free to join. With the introductory benefits, consumers earn 10 points for every dollar they spend, and if they sign up by July 31, they automatically accrue 5,000 free points. Additionally, benefits include free standard shipping for all online purchases within the first seven days (no minimum purchase), and free standard shipping for orders $39 and more thereafter.
The second tier, “Welcome Rewards+,” is available with a $29 annual fee, but benefits are increased:
15% off total purchases
An extra 5% off by receiving 50 points for every $1 spent (5,000 points = $5 reward)
10,000 free points by signing up through July 31, 2022
Free standard shipping for all online purchases
4 times per year free same day delivery (no minimum purchase)
The last tier is attached to a “Welcome Rewards” credit card (no annual fee). By signing up, consumers receive a free year of “Welcome Rewards+” benefits as well as an extra 10% off by receiving 100 points for every $1 spent at Bed Bath & Beyond, buybuy BABY, or Harmon.
"Our new “Welcome Rewards” program allows our customers to get even greater value, benefits and perks whenever and wherever they shop with us," said Rafeh Masood, EVP and chief customer officer at Bed Bath & Beyond Inc. "More than 80% of our customers shared that they would be excited for a program that would allow them to earn rewards across all of our banners. Now, they can do just that, and without any exclusions on earning points, customers can also quickly gain rewards that will make shopping for everything from special occasions to everyday essentials even more affordable."
A New Way to Pay, a Familiar Benefit to Stay
Everyone knows the Bed Bath & Beyond experience is tied to couponing. Consumers don’t have to worry — the company’s iconic 20% off coupon will still be available and applicable to purchases while still accruing points through the rewards program.
Some things are changing, however. With Welcome Pay, a new pay-in-four solution, consumers will be able to pay more flexibly over time without fees and at zero interest. This payment option will be available across all sites and mobile apps as well. Members paying with this option will receive an additional 10 points per dollar.
Tying it all together will be an “open the door to more” integrated marketing campaign that will promote across all channels: in-store, online, email, social media, video, texting, and more.
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