Best Buy’s changes were designed to offer customers a free alternative to Amazon Prime and Walmart+, both paid membership plans, and it was also aimed at getting them to switch to its branded credit card. Around 25% of Best Buy’s sales are transacted using one of its credit cards, and research shows that customers with store credit cards spend more money than customers without them.

But some customers were more frustrated about reward points ending for non-Best Buy credit card holders than excited about free shipping.

Customers on Twitter and Reddit criticized the changes to the points system and said they did not want to be forced to take out another credit card to earn rewards. Some said they plan to stop shopping at Best Buy as a result of the changes.

[. . .]

Mary Pilecki, who leads loyalty marketing research at Forrester, said there are risks to changing loyalty programs and brands will lose some customers.

But loyalty program changes usually are not fatal for brands and are just one factor out of dozens that go into customers’ decisions about where to shop, she said.

Her research indicates that the largest consumer reaction comes in the first month or two after a company announces changing. After that, it dies down significantly.

Best Buy plans to expand some of its backroom spaces by reducing selling square footage. Barry said one reason for this change is because 80% of SKUs on display on the sales floor sell one or fewer per week.

“Our stores have multiple purposes now and a larger backroom provides better support for other capabilities like our high rate of in-store pickup of online orders.