Developing the Right Loyalty Program

We've been doing a lot of work helping companies like Neiman Marcus and Hilton HHonors get the most out of their loyalty programs and spent a good part of last week debating the merits of meritocracies (you give more, you get more) vs. democracies (everyone gets the same benefits) and the correct use of hard (physical rewards/cost savings) and soft (special treatment) benefits.

So I was intrigued by my waiter at TGI Friday's this weekend when she introduced me to their new "Stripes" program by explaining both the hard - a free appetizer for every $30 spent - and soft -an introductory of a one-time "cut the line" pass.

Needless to say, I am now a member and looking forward to jumping the line to get my free appetizer. I just hope I have the chance to earn more VIP benefits with my wings and fingers!

Especially in this economy, its really important to build programs that actually drive incremental dollars. I have to assume Friday's spent the time and money to really understand what would work and be realistic to put in place. Good work!


Popular posts from this blog

Wait, when did I become the "slow down" guy?

Nine Rules for Building a Powerhouse Team at Your Company

The difference between social posting and social media marketing