Loyalty Programs: Retaining Customers and Creating Brand Loyalty

Exploring the Impact of Loyalty Programs on Customer Relationships and Business Revenue

Abstract

Loyalty programs become a major influential factor in increasing the profit of the company. A loyalty program is an advanced marketing action system designed to make customers more loyal. These programs aimed at enhancing relationships with customers by providing high importance to profitable market segments. This improved relationship results in an increment in customer loyalty causing repeat purchase, further buying, persuading other prospective customers to initiate purchase through words of mouth, preventing existing customers from switching, causing the sales increase and thus causing overall revenue and total profit to boost. This is an article of review based on research papers.