By invitation only: Merchants push brand loyalty -- one party at a time

Jessica Massey couldn't pass this up: an evening in a suite at Boston's swank Beacon XV Hotel sipping free apple martinis, munching on cheese and crackers, and trying on clothes. For just showing up, she got a free pair of Gap jeans.

The host of the invitation-only party? The Gap. The soiree was one of 100 such parties the clothing chain threw across the country last fall for its best customers and their best friends as part of an effort to lure new shoppers.

''It was a really nice setup," said Massey, who had never owned Gap jeans until she attended the party. The 27-year-old Boston lawyer has since returned to the Gap to buy more jeans. ''We had one-on-one treatment. The Gap people really knew their stuff."

In the past year, a growing number of merchants from Giorgio Armani Cosmetics to Toys ''R" Us has introduced invitation-only shopping events as a way to promote their products with offers of free food, discounts, and exclusivity. It's a way to build loyalty when stores can't compete with the convenience of the Internet or low prices at discount stores. Retail analysts say they expect stores to adopt more aggressive strategies such as hosting exclusive events to boost sales, especially after a sluggish holiday season.

''Very successful brands are like clubs," said Nathan Coyle, a senior strategist at marketing consultancy Faith Popcorn's BrainReserve in New York. ''It creates a sense of something a customer wants to belong to."

How do stores decide whom to invite to their exclusive shopping parties? New sophisticated software makes it easier for merchants to track their best customers by frequency in stores, dollars spent, and items and brands purchased. Armed with this information, stores can target customers with events tailored to their interests, whether it's cashmere or makeup, and send invitations to their homes and e-mail accounts, according to Mike Tesler, president of Retail Concepts, a Norwell consulting firm.

The Gap, for instance, identified some of its best customers in the company's top 10 markets, based on sales and community profile, and anointed them as ''Gap ambassadors." Then, the Gap mailed invitations for its jeans party to friends selected by ambassadors last fall, as the company pushed its new denim selection. The get-togethers, merchants believe, get customers in a buying mood.

''Shopping for jeans can be such a pain," said a Gap spokeswoman, Erica Archambault. ''But these invite-only events create a party atmosphere, with goody bags, refreshments, and experts to help people find the perfect-fitting jeans."

The Gap also hands out coupons that guests can give to their friends and family, making the parties a powerful word-of-mouth marketing tool, Archambault said. Gap, which saw sales at stores open more than year drop 10 percent in December, plans to hold more invitation-only events, most likely with GapBody products later this spring.

Smaller merchants are also teaming up for exclusive shopping parties. Last month the Hotel Commonwealth in Kenmore Square hosted three invitation-only events at the boutique shops attached to the hotel, featuring valet parking, complimentary cocktails and appetizers, live jazz, and free massages.

The events targeted the hotel's top customers, local movers and shakers, nearby Boston University employees, and the Longwood medical community. Several of the small shops offered special sales.

Audrey Coulter, an assistant to the chief of psychiatry at Beth Israel Deaconess Medical Center, scored an invite to the hotel when her boss couldn't attend. She had walked by the shops many times but had never gone inside. Coulter spent several hours that evening sipping red wine and browsing through shops, including jeweler Persona and fragrance boutique Nantucket Natural Oils.

She didn't buy anything -- Coulter doesn't like to spend when she's drinking -- but she's planning to return.

''The fellow at Nantucket Oils was very convincing on the price," Coulter said. ''I'll be back soon."

Attracting new consumers such as Coulter, while reinforcing loyalty with best customers, makes these exclusive events pay off for retailers. The invitation-only shopping parties have guest lists, but merchants often admit guests' friends, family members, and substitutes.

Eve Kohlman, owner of fashion boutique Fanny and Delphine in the Hotel Commonwealth, said her sales for the three private shopping events in December were 85 percent higher than an average three-day sales period.

A few years ago, several Toys ''R" Us stores began holding exclusive shopping affairs, inviting local colleges and companies. And recently, the struggling chain began a nationwide initiative, offering exclusive access during the holiday season with free door prizes, refreshments, special values, and toy demonstrations. A store in South Portland, Maine, that launched invitation-only parties three years ago now features up to 10 throughout the year.

''It's an opportunity for groups to have the stores to themselves, and during the holidays, that's very attractive. They don't have to fight the crowds, and they get much more attentive services," said Kathleen Waugh, a spokeswoman for Toys ''R" Us, which has been struggling to succeed with its traditional market and recently disclosed plans to close 75 stores and eliminate 3,000 jobs.

Marshal Cohen, chief retail analyst at NPD Group, a market research firm in Port Washington, N.Y., said merchants must be cautious when offering exclusive events, ensuring that customers are getting a unique, valuable experience, and not some promotional gimmick.

If done right, Cohen said, shopping parties create tremendous customer loyalty and foster a bond between consumers and retailers that's been lost over the last generation.

''It makes me feel like a store gives a damn about me once again," Cohen said.

Jenn Abelson can be reached at abelson@globe.com.