Does Loyalty = Profitability?
by Joshua Tretakoff | EVP, Services
A controversial post out of Harvard Business today, as the authors ask the question if customer loyalty can be a bad thing. While the statement, on it’s surface, is outlandish, the authors make a well reasoned case that it’s equally as important that you set up the economics of a loyalty program to reward the best customers who’s behavior you want to encourage, while not making the program reward those that are perhaps less profitable customers or worse, encouraging profitable customers to become less so.
Thought provoking, and worth a read.
