March 8, 2005

Getting The Most Out Of Retail Loyalty Programs

by Carrie Johnson

with Charles P. Wilson, Sharyn Leaver

Executive Summary (This is a document excerpt)

Consumers are increasingly disloyal, and most current loyalty programs — especially those focused primarily on discounting — won't help. But a loyalty program can be a powerful instrument to reach previously ignored aspects of loyalty, such as a customer's trust or emotional connection with a retailer. A program that benefits both customers and retailers will segment customer behavior to inform marketing, assortment, and store layout decisions.

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