Skip to content

Loyalty programmes

A loyalty programme organises benefits or recognition to encourage an ongoing relationship with customers. It may use points, tiers or other forms of participation

What it means, how it is used and where it comes up, with its related concepts.

What it is and how it works

In customer loyalty, repeating a purchase because of an incentive does not necessarily equate to brand preference. Comparing participants with non-participants does not demonstrate the programme's effect either, because the groups may have differed from the outset. Evaluation should consider this selection, the cost of benefits and relationship quality, as well as sign-ups.

Also known as

Loyalty scheme, Rewards programme, Loyalty program

Related concepts

Loyalty programmes: what it is and how it works · Zorraquino