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Stew Leonard’s is a little-known grocery store chain based in Connecticut.

It has only four


stores. But its small number of locations doesn’t begin to illustrate what customers experience
when they visit what has been called the “Disneyland of dairy stores.” Since opening its first
dairy store in 1969, the company has been known for its customer-centric way of doing business.
In fact, founder Stew Leonard’s obsession with the concept of customer lifetime value made him
determined to keep every customer who entered his store. The Stew Leonard’s shows how the
retailer has delighted customers for more than

40 years. With singing animatronics farm animals, associates in costume, petting zoos, and free
food and drink samples, this chain serves as many as 300,000 customers per store every week
and has achieved the highest sales per square foot of any single store in the United States. After
viewing the video, answer the following questions about the company.

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Answers the following Questions

1. What is Stew Leonard’s value proposition?

The store Stew Leonard is very obsessed with the concept of customer lifetime value and
lays much stress on building consumer value and equity. His store has been called as
“Disneyland of dairies” and customer enjoys shopping from it.

2. How does Stew Leonard’s build long-term customer relationships?

Stew Leonard’s main aim to build long-term customer relationships by servicing them
quickly and need to ensure that they are always treated well. The delight customer bounded
to create an emotional relationship with a brand and it is assured the customers coming back.
Stew Leonards gained the reputation for special customer service for both international
identity and profits.
3. How Stew Leonard has’s applied the concepts of customer equity and
customer lifetime value?

Thus Stew Leonard obsessions with the concept of customers life time value has made him to
capture and manage consumer value and delight.

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