David C. Cook Canada Cancels Music Loyalty Program with Only Six Weeks Notice to Consumers
The company that controls distribution of well over 90% of the recorded Christian music sales in Canada, David C. Cook Canada, has canceled its Buy-5-Get-1-Free loyalty program, a staple of music sales and every bit as much a tradition in this country as Hockey Night in Canada. The company claims that “changes in the marketplace” force this and that “some of the record labels we represent no longer support the program.”
But in a letter which begins, “Dear Retail Partner,” the company is asking us to spread this word to customers, who have only until April 30th to redeem the stickers. With a diverse, scattered customer base, it is totally impossible to inform the number of people who will be impacted by this, and they will in turn vent their frustration on us, the front-liners. Retail partnership indeed.
Dealers are going to have people coming in all summer and into the fall, walking up to the counter with CDs and reaching in their pocket for coupons which were obtained and retained in good faith.
As of mid-week, our bookkeeper informed we have about 48 such coupon sets sitting in a drawer, and absolutely nothing urgently needed that would cause us to redeem them anytime soon. But we’ve already given away the product. Even at a lower price of $14.99, that’s nearly $750 in retail tied up in little bits of paper and plastic, not to mention the cost of shipping the original units we gave away, plus the cost of shipping replacements.
This sudden move lacks grace, and grace is the hallmark of our faith.
Furthermore, with stores known to “buy around” the Canadian distributor, eliminating the consumer loyalty program effectively ends any hope of vendor loyalty. But that’s if you decide to stick with music at all. The second time around redemptions are actually a Buy-4-Get-1-Free because the customer kept the coupon from the free item. That means it’s at least a 25% saving in the mind of the customer, even more so, if they bought less expensive discs, but redeemed the scrip for a more costly one. So basically, you’re eliminating the advantage at a time when physical music sales already face fierce competition.
Christian music sales in Canada will drop significantly.
Any company that would do this to the very consumers who have stuck with and supported physical music shows absolutely no respect for the people who have supported it all these years. While I know I will be told, “you don’t know all the factors that went into this,” I do know that the manner in which this is being carried out is just mean.
You can hurt me, do anything you want to me; but when you hurt my customers, you cross a line. Six weeks is insufficient notice.
…Tonight we started the information process:
UPDATE: With no previously published expiry date, or any posted terms of service, pulling the plug on this program without actually shutting down the company may contravene Canadian consumer law.