TK Maxx Case Study

Overview

  • TJX Companies were founded in Framingham, MA in 1988. The company has expanded to include 652 international locations across Europe and Australia.
  • TK Maxx is a subsidiary of the TJX Companies and first launched in the United Kingdom and Ireland in 1994.
  • Beginning in 2007, TK Maxx continued to expand into Europe, opening stores in Germany.
  • Soon after, in 2008, TJX brought its sister company, HomeSense, to the UK.
  • The following year, TK Maxx launched the tkmaxx.com online platform for UK-based customers, as well as opening stores in Poland.
  • European expansion continued in 2015 with TK Maxx stores opening in both Austria and The Netherlands.

Challenge

  • TK Maxx loyalty solution required a flexible API driven platform that would work in conjunction with multiple providers as part of a larger ecosystem.
  • This platform would become the central repository of loyalty accruals while interfacing with multiple vendors for customer identification and communications, POS transaction clearing, online transaction processing, and reward redemption.
  • GDPR privacy regulations required the loyalty solution to reside on Europe-based servers.
  • TK Maxx also required a dedicated vs multitenant environment for their loyalty solution.
  • Security is a high priority for TK Maxx along with the capability to white label the loyalty program.

Solution

Cloud Payments StickyStreet® provides TK Maxx with:

  • A dedicated environment within AWS’ Ireland data center
  • Multiple levels of redundancy
  • Offsite data replication for disaster recovery.
  • Dedicated version of the loyalty platform along with customized business rules specific for TK Maxx.
  • Customer Service Representative portal and website for customers to log in and manage their loyalty account or claim their rewards.
  • Ingestion of daily transaction data feeds from each store.
  • Outgoing activity reports to assist with customer communications, fraud detection, and integration with external systems.
  • With our StickyStreet® platform high degree of flexibility in 2019, TK Maxx was able to launch its enhanced Loyalty v2 offering.

This offering includes:

  • New business logic centered around TK Maxx’s key and treasure earning functionality
  • Integrations with new vendors
  • Consumer loyalty website and its functionality incorporated into tkmaxx.com creating single access, seamless experience for their customers

Result

  • 2014: Deployment of TK Maxx loyalty pilot to 10 retail locations.
  • Pilot expanded to over 50 locations in the first 6 months.
  • Onboarded and serving over 100,000 customers within year one.
  • 2015: With the success of the pilot and its expansion, Cloud Payments completed the TK Maxx loyalty roll out to all TK Maxx UK and Ireland‘s 400+ store locations
  • The bespoke loyalty platform provides the ability to scale seamlessly to cover additional load and currently serves over 1,750,000 customers spanning over 20 million transactions.
  • The 2019 v2 upgrade of Cloud Payments StickyStreet® solution provides TK Maxx with an increased scope and additional customization through complete Dev-QA-Testing-Acceptance-PreProd-Production release and continuous integration/continuous development process, while maintaining a zero-downtime approach and network architecture.

Success = Win+Win

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