New York
CNN
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Bed Bath & Beyond Coupon Shoppers Beware: If you have a lot of big blue 20% off coupons in your drawer or inbox, it’s a good idea to use them right away.
The struggling home goods retailer released dire forecasts on Thursday, calling into question its ability to stay in business longer and said it was exploring ways forward, including filing for bankruptcy.
A bankruptcy filing could reportedly be filed in the coming weeks, potentially ending its iconic coupon program. We are pursuing a bankruptcy process that involves liquidation, not just restructuring.
“If Bed Bath & Beyond files for bankruptcy, retailers may receive a 20% coupon for 30 days. You wouldn’t want to allow them to take advantage of a 20% off coupon on top of the 70% off the price,” said Bert Frikinger, retail expert and managing director.of retail consultancy Strategic Resource Group
Other retailers are following similar game plans after bankruptcies and store closures.
Toys “R” Us honored gift cards, store credit and coupons for 30 days after filing for bankruptcy in 2017 before liquidating its U.S. business. , opened its first post-bankruptcy store under new owners in 2019.
Creditors aren’t the only ones challenging stores that honor coupons in addition to liquidation discounts. Ali He Besharat, co-director and associate professor of marketing at the University of Denver’s Center for Consumer Insights and Business Innovation, said: Daniels College of Business.
Bed Bath & Beyond Introduces Oversized Coupon With 20% Off One Item 30 years ago.
Over time, oversized postcard-like mailers and digital coupons with eye-popping purple-blue borders, According to Flickinger, promoting the font “20% off in store or online” has gained a cult following and has been a successful marketing ploy to attract repeat customers.
The coupon became synonymous with the home goods chain, earning it the nickname “Big Blue.” new york times report. It then evolved into a pop culture reference, as celebrities and late-night talk show hosts incorporated pop culture into their conversations on the air, the report said.
Weekly coupons have expiration dates, but rumors swirled on various social platforms that Big Blue coupons never expired.
Then the pandemic hit the retail industry and hit hard. Bed Bath & Beyond’s sales and profits took a hit as stores closed for months and consumers rethought their non-essential purchases. In late 2020, the retailer said it would scale back its popular coupon program to boost business.
Two years later, company management called the move a “huge mistake” and admitted that it had misjudged the number of shoppers who had come to embrace the normal cadence of Big Blue coupons.
And now, Big Blue’s future could really be in jeopardy. It depends on what comes next.
“The survival of Bed Bath & Beyond’s loyalty program also depends on whether the company goes through a Chapter 11 bankruptcy, known as restructuring, or a Chapter 7 bankruptcy, or liquidation,” said Chandan Ja. said. He studied finance at Le Moyne College in Syracuse, New York.
“In the former case, it is very likely that the rewards program will survive and the company will honor existing rewards and coupons. Ti Rewards is built to retain customers,” said Jha.
However, it is unclear if these reward points and coupons will be honored if the company goes through the liquidation process.
“It is quite possible that the points simply become useless because the company no longer exists. rice field. “Either way, if I’m a customer who has points or coupons and the company is facing Chapter 7 bankruptcy, I’ll use it before it’s worthless.”
