22/03/2007

Point Card Programs -- Their Evolution and Prospects

Keisho Komoto 

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More businesses are awarding points to customers who purchase qualifying merchandise or services. While point cards are intended to reward loyalty, consumers have complained about the difficulty of accruing points. In response, partner programs and point-card alliances have emerged that issue common points or allow point conversions across programs. Ironically, these programs interfere with the original aim of building customer loyalty. We predict that point systems will undergo consolidation as businesses seek more cost-effective ways to promote sales.

Keisho Komoto

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