Loyalty Programs: Lead Us Out of This Economic Mess!
by David Rosen | Senior Vice President, Strategy and Channel Development
In the January 9, 2009 issue of the NYT, Your Money columnist Ron Lieber advocates looking to your loyalty programs as a great way to extend your spending and continue to enjoy some of those old-school luxuries that were routine pre-meltdown.
As we used to say in business school, “let me build on Ron’s point:”
- Don’t be a point hoarder. Use your rewards, you’ve earned them. And when award thresholds are met, and rewards are used, you see the value and you likely want more.
- Treat yourself and your family. Many of us are cutting back on splurges. Redeeming your points or miles allows you a guilt-free endulgence and break from self-imposed austerity.
- Extend your spending. Generally, some thing free leads to something more. A free flight often is tied to a hotel. A retail reward redemption only covers a portion of the purchase price. The economy is built on the back of consumer spending, so think of your loyalty programs as your personal stimulous bill.
- Earn more. Maximize your flight and hotel miles/points with focus; shop online with loyalty partners like MyPoints, American Express or the online malls attached to your other programs; take advantage of double and triple accrual offers from your retail programs.
Marketers have annointed 2009 “The Year of Consumer Loyalty.” Be sure that you are being reaping the benefits of the relationships that you have with your favorite companies.
