Frequent-flyer program tag
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Thinking Twice About Loyalty Programs
Developing customer loyalty through card/membership programs is a good idea, in theory and for the meantime in practice. Yet is this a short-term gig, about as effective cash/gifts/other goodies-based performance incentives, with the same inherent flaw?
If companies spent more time and resources on the latter--delivering rightpriced items and experiences--reinforced by quality customer care including easy-to-navigate web sites and IVR menus and well-trained and attentive contact center and in-person i.e. retail, ticket counter, checkin staff--at the right price than on gimmicks like the cards, cutting out the programs' expenses and profits to the middlepeople--they may amaze themselves in seeing how loyal customers can be.
