How a Loyalty Program Works
Market research strongly suggests that loyalty programs are successfully communicating and building relationships between the buyer and the seller. The ultimate goal of the company is to get to know the buyer, their habits, their demographics, and how they relate to the company’s sales of specific products. Most loyalty programs require the customer to ‘sign up’ for rewards/ coupons ect. and in order to do so they must provide us with a valid email address and answer a series of questions that help to find their nearest store locations, provide them with upcoming sales that suit their preferences, and suggest new products. This benefits us as a company by providing us with a databank of information about the customer and their purchasing habits. This data would allow our marketing department...
... middle of paper ...
...n to build lastly relationships with our customers. It will also increase the lifetime value of our customers, which takes into account their projected lifetime as a customer. The main goal of the loyalty program will be to increase sales and improve our marketing techniques. The program will encourage customers to make frequent purchases for which they will gain rewards and redeem for a specified dollar value. We will lose some profit when the customers redeem their points however they will only be able to redeem the points in increments of $10 and will be required to pay the tax difference. All in all we will not lose enough to affect our profit on a large scale because our sales will be increased as a result of our loyal customer base. In conclusion we would request that the loyalty program be implemented into Tech Garden locations everywhere to maximize profits.
Need Writing Help?
Get feedback on grammar, clarity, concision and logic instantly.Check your paper »
- ... But when new stores pop up that can provide a competitor to appear, the corporation created a loyalty program in home to keep their customers. They created the Optimum card in hope to keep the customers loyal. This card rewards program allows the customer to reactive points when they make purchases in the store. Which then when they accumulate enough points can either trade it in for a prize or a cash coupon. The factor of being to receive gifts and coupons has create a steady stream of loyal customers who daily make purchases in hopes to raise their own points.... [tags: Shopping mall, Retailing, Incentive]
711 words (2 pages)
- In 2012, Boonying Kongarchapatara & Randall Shannon in their paper, ‘Investigating the Effectiveness of a Loyalty Program Through the Relationships of Program Design, Implementation, and Customer Loyalty’ emphasize on the factors which affect the customer loyalty programmes through their design and implementation phases. The study focusses that a well-designed structure of the loyalty program helps in gaining a strong hold on customer loyalty and makes a positive impact on the minds of the customers.... [tags: relationships, management, marketing]
1703 words (4.9 pages)
- Customer managers apply different perspectives to their work with strategic customers. Relationship marketing is a tool that is used to sustain the loyalty between customer and organization by developing a level of “trust.” One characteristic of “loyalty programs” aims at creating strong lasting relationships while developing a commitment to their company. 2. Describe in detail the 4 buying influences and their characteristics in B2B marketing B2B buying influences consist of supplier Web sites, infomediaries, market makers, and customer communities (Keller, 2012, p.... [tags: loyalty programs, relationship marketing]
1446 words (4.1 pages)
- ANALYSIS The goal is to increase awareness and number of people that are involved in charity fundraising programs. The loyalty aid points program is adopted from private enterprises’ loyalty rebate programs where consumer patronizing their products gets rebate points. The system will be done with the use of a smart card that they need to present when making purchases. The purpose of the card is to have standard conversion of amount purchase to point and to store the points until it is needed to be use by the owner.... [tags: Loyalty Aid, donation, personal money]
2759 words (7.9 pages)
- ... In the case of Starbucks, company divide its customers in different segments not only to increase the loyalty but also increase productivity. Productivity would increase when customers would satisfy with their desire goods. Basically the purpose of division of segments is to satisfy customers (Barro, 2016). Starbucks set up different criteria for specific customers, company would pay more attention to the regular customers and would arrange a separate segment for those customers to increase productivity.... [tags: Marketing, Marketing research, Coffee]
896 words (2.6 pages)
- ... 2. What is the customer behaviour towards the loyalty program in terms of: 2.1. Discount; and 2.2. Loyalty Card. 3. What is the level of customer loyalty on shopping malls; 4. Is there any relationship of customer program to customer loyalty on shopping malls; and 5. Is there significant difference in the customer loyalty when evaluated according to their profile. HYPOTHESES Ho1The null hypothesis of the study was tested at 0.05 level of significance states that there is no significant difference in the customer programs to the customers’ loyalty when evaluated according to their profile.... [tags: problem and its setting]
2283 words (6.5 pages)
- The Customer loyalty has been a major and unanimously acknowledged as a valuable asset in competitive markets according to Srivastava, Shervani, & Fahey, 2000. As a result, it becomes more important to give power to in loyalty panel particularly when the consumers faces very low switching or moving cost to other product or service, because they are not locked in by a contract (Shapiro & Vivian, 2000). It is also become important in competitive markets due to availability of more lucrative and easily available options.... [tags: Business, Customer Relationship Management ]
2200 words (6.3 pages)
- Introduction Consumers have many choices when air travel is required. Therefore, to be the consumer’s first choice, a company must do everything in their power to gain customer loyalty. Southwest Airlines is a leader in creating customer loyalty, progressing to creating customer evangelists. The four leading factors in creating this customer loyalty are durability, affordability, customer relations, and corporate citizenship. The first two, durability and affordability, speaks to the economic concerns of the consumer, while customer relations and corporate citizenship speaks to the psychology or experience of the consumer.... [tags: Southwest Airlines, Airline Industry]
670 words (1.9 pages)
- East Memorial is an elementary school consisting of grades K through fifth. The school is a part of Weld County School District Six (WCSD 6). The following information will identify how WCSD 6 and East Memorial Elementary School (EMES) build and keep stakeholders loyalty. This is an important part of any school organization. According to Baldrige, one organizational goal should be “…achieving such a degree of loyalty that the student or stakeholder will advocate for your organization and your programs and services” (2012, p.39).... [tags: Education]
1552 words (4.4 pages)
- The cut throat competitive era has put every company on its guard. They are well aware of the fact that customers tend to be very disloyal. The focus on the customer retention and loyalty has been increased because companies are realizing the dire importance of customer loyalty and they are focusing more in retaining the customers (Hill & Alexander, 1996). According to Kumar and Shah (2004) the brand loyalty is one of the most widely studied marketing concepts by the researchers and it is also the most implemented marketing initiative by practitioners.... [tags: Business, Marketing]
2257 words (6.4 pages)
- The Pod Cast By A Sociologist Kid Who Were A Part Of Their Fathers Experiment Speak
- Niccolo Machiavelli 's Influence On The World
- The Relationship Between Race, Poverty, And Educational Achievement
- The Inca And The Incan Civilization
- National Security Law And International Law On War And Peace
- `` Just Say No About A Gas Tax Hike ' By Tom Borelli