Most Popular
LOYALTY REWARDS
Loyalty programs are structured marketing efforts that reward, and therefore ...
CASH BACK REWARDS
A Cash back reward program is an incentive program operated ...
CASH BACK
Cash back can refer to two different kinds of card ...
LOYALTY REWARDS
Rated: 
, 0 Comments
, 0 Comments
Total visits: 233
Posted on: 19th Jun 2014
Loyalty programs are structured marketing efforts that reward, and therefore encourage, loyal buying behavior � behavior which is potentially beneficial to the firm.
Various loyalty cards
In marketing generally and in retailing more specifically, a loyalty card, rewards card, points card, advantage card, or club card is a plastic or paper card, visually similar to a credit card, debit card, or digital card that identifies the card holder as a member in a loyalty program. Loyalty cards are a system of the loyalty business model. In the United Kingdom it is typically called a loyalty card, in Canada a rewards card or a points card, and in the United States either a discount card, a club card or a rewards card. Cards typically have a barcode or magstripe that can be easily scanned, some are chip cards or proximity cards. Small keyring cards (also known as key tags) which serve as key fobs are often used for convenience in carrying and ease of access.
By presenting the card, the purchaser is typically entitled to either a discount on the current purchase, or an allotment of points that can be used for future purchases. Hence, the card is the visible means of implementing a type of what economists call a two-part tariff. Application forms usually entail agreements by the store concerning customer privacy, typically non-disclosure (by the store) of non-aggregate data about customers. The store uses aggregate data internally (and sometimes externally) as part of its marketing research. These cards can be used to determine, for example, a given customer's favorite brand of beer, or whether he or she is a vegetarian. Where a customer has provided sufficient identifying information, the loyalty card may also be used to access such information to expedite verification during receipt of cheques or dispensing of medical prescription preparations, or for other membership privileges (e.g., access to a club lounge in airports, using a frequent flyer card).
Loyalty programs can be viewed as a form of centralized virtual currency, one with unidirectional cash flow, since reward points can be exchanged into a good or service but not back into cash.
For complete article: http://en.wikipedia.org/wiki/Loyalty_program
Comments
There are still no comments posted ...
Rate and post your comment