What is the difference between a Coalition Loyalty Program and a Proprietary Loyalty Program?
A coalition loyalty program will partner two or more businesses, possibly with different ownership, to participate in the same program. From a customer’s point of view, they can join at one business and can possibly use the card at other locations. This increases the perceived value and usefulness of the membership to the consumer. A proprietary loyalty program is sponsored by a single business with one or more locations. A customer can earn rewards when they patronize this business. Some companies like the simplicity of this type of program.