Don't create a loyalty program to make a profit.
Posted: Thu Mar 27, 2025 5:45 am
You may have noticed that some businesses set the points to expire and will hold the value of the points or credits that are accumulated if they are not redeemed according to the specified conditions. For a loyalty program to be successful, it should be done from the customer's point of view, not just looking at the loss or profit of the business. Because today, your customers can tell whether you are sincere or not.
Reward only those who are loyal. Having a loyalty program in the form of cash back, redeemable points, or allowing customers to redeem points with other brands or competitors may seem appealing and customers ebay database like it, but it is not good for business.
For example 1, your business joins a program with a "points app". The points earned from purchasing products from store A can be redeemed for money to purchase products from store B. Most customers who are not loyal will benefit from this program. Or , for example 2 , customers can use the points earned from your business at restaurants or coffee shops to redeem discounts.
Reward only those who are loyal. Having a loyalty program in the form of cash back, redeemable points, or allowing customers to redeem points with other brands or competitors may seem appealing and customers ebay database like it, but it is not good for business.
For example 1, your business joins a program with a "points app". The points earned from purchasing products from store A can be redeemed for money to purchase products from store B. Most customers who are not loyal will benefit from this program. Or , for example 2 , customers can use the points earned from your business at restaurants or coffee shops to redeem discounts.