Last reviewed: 17 November 2025 Quick answer: Traditional loyalty incentives like points, punch cards, and cashback rarely build repeat buying. Modern customers respond to value, trust, and advocacy, not delayed rewards. Table of Contents Why Loyalty Program Alternatives Matter Why Legacy Loyalty Incentives Fall Short Points vs Loyalty: The Behaviour Gap Cashback, Punch Cards, and…
Last reviewed: 14 November 2025 Quick answer: Most point-based loyalty programs fail because points delay value, drop engagement, and create liability. Referral rewards drive higher repeat rates and stronger ROI. Table of Contents Why Loyalty Program Points Matter The Problem With Loyalty Points Do Points Increase Loyalty? The Real Cost Problem: Liability, Breakage, and Discounts…
Loyalty programs aren’t anything new. They’ve been around for literally hundreds of years. And they remain popular — the average household participates in at least 14 loyalty programs. Tactics for building customer loyalty have changed over time, but there are glimpses of the past even in today’s modern reward programs. So let’s take a look…
Identifying and satisfying customer needs is the best approach for your brand to boost its profitability. It may feel great when you have an amazing idea for a product. Perhaps you may have even spent some time nurturing your idea and refining it and you are certain it’s going to be a hit. If you…
You can never have enough customers for your small businesses. That’s because your business’s growth and stability depend on having increasing those customers. Especially customers that come back to you after their initial purchase for more. Customers bring in other customers with them by sharing their positive experiences. Building and growing this customer base is…
More than 90% of companies have some sort of loyalty program. All your big brands- Starbucks, Amazon, Sephora, Walmart have one. Even small businesses now implement some form of a loyalty program. Your local spa probably has a point collection system. Why? Because they bring you good business. They encourage your customers to come back to you…
33% of customers will choose your competitors over you — if they experience even one instance of bad service. What makes one business’ service better than the other? How can you create that impression? And what can make the service you render to your target audience irrelevant? The clear answer is that every business handles different…
Starbuck Rewards is often touted as the gold standard of loyalty programs. Since 2009, Starbucks Rewards has been a whopping success with 22.9 million members and counting. But there’s a new champion in town: 21 million fans have signed up for the Chipotle Rewards program — since March of 2019. So how did Chipotle manage to build such…
Customers are the backbone of every business – that’s why the key to profitability is engaging your most loyal customers. On the CandyBar blog, we’ve written extensively about how businesses use loyalty programs to engage customers. After all, a 5% increase in customer retention can increase profits by between 25% and 125%! Here are some ideas for…
Loyalty is a great quality to have, and brands seem to agree with this. And one of the easiest ways to build loyalty among your customers is through rewards programs. The market is competitive and there are many brands out there trying to stay on top. In this case, loyalty will keep the customers connected…