Can such programs ever create “loyal” customers?
Barnes: Of course they can, because some customers who are drawn back to a company over and over again because of the rewards may over time get to know the people involved and build what I call genuine relationships. But that’s not the short-term purpose of so-called loyalty schemes. Most managers I know want short-term results. Griffin: Great question and comments from Jim! Loyalty schemes are just one method among many to consider for growing loyal customers. Loyalty schemes, alone, do not create loyal customers. In fact, offering too many customers rewards from loyalty schemes can detract from efforts to retain the best customers. There are many, many companies who effectively build customer loyalty without a loyalty scheme.
