Bed Bath & Beyond Introduces: A Customer-Centric Overhaul

What’s in this article: 

  • In the next few years, Bed Bath & Beyond plans to launch ten private labels in the kitchen/dining, storage/organization, home décor, bed and bath categories 
  • The brand is delivering a significant transformation (asides from its new product assortment) 
  • BB&B is doubling and tripling down on customer centricity, proving that for this company – thoughtful relationship with consumers and making considerate choices is the strategy of choice when it comes to adjusting to the changes in customer behavior 

Bed Bath & Beyond plans to deliver a significant transformation of product assortment in the next six months by launching six of its own new brands just in time for the busy back-to-school/college season. 

Another four brands, overall, 10 new Owned Brands, are to be created within the next three years. 

The first to launch will be Nestwell at the end of the month – a brand that sells bed and bath goods. Haven, a bath brand that helps customers create their own personalized bathroom will follow. Then Simply Essential a brand that will include over 1000 household items. The idea is to have all the items available for customers, from the new Owned Brands, both instore and online – providing customers with inspirational Owned Brands allows BB&B to create even stronger relationships with shoppers who trust the quality of what the big-box retailer has to offer. 

Growing Through Existing Customers 

“Customers are open to new brands, exploring new brands, from trusted resources and retailers that they have a great relationship with. … We believe Bed Bath and Beyond is well poised to be one of those,” the Company writes. 

Private label brands make for just 10% of the home goods retailer’s sales – compare that to Target’s owned brands, for instance, that make up one-third of sales – that’s relatively low. Within the first three years of the brand launches, BB&B forecasts its sales penetration from private labels to grow to approximately 30% and drive gross margin improvement. 

As part of its accelerated data-driven growth strategy, BB&B plans to remodel 450 stores. In a recent press release, Bed and Bath announced that its 360-degree approach to marketing and customer engagement, would be launched too. 

“Truly Customer Inspired 

In the words of Mark Tritton, President & CEO at BB&B, “In 2020, we rebuilt and stabilized the foundations of our business while creating growth. As we enter our Company’s 50th year, we look forward to welcoming our customers to the new Bed Bath & Beyond, with a truly customer-inspired assortment, reimagined stores, an enhanced omni-always, digital-first shopping experience, and exceptional value across every price point.” 

Bed Bath’s Owned Brands are just the latest transformation they have instituted. The brand is quick at adapting to the new reality in other ways too. For instance, it has already rolled out features like same-day shipping and other contact-free shopping methods. 

Like we’ve said before and before, asides from its outstanding transformation program, the brand is checking plenty of crucial boxes when it comes to doing CRM right nowadays, showing a clear strategic understanding that growth through existing customers is a major staple in the company’s plans. 

 

The post Bed Bath & Beyond Introduces: A Customer-Centric Overhaul appeared first on Post Funnel.

tomas

Online enterprenuer. Lean leadership consultant.

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