• Sign up
  • ‎What is Shvoong?‎
  • Sign In
    Sign In
    Remember my username Forgot your password?

Summaries and Short Reviews

.

Shvoong Home>Business & Economy>Marketing & Sales>the problem with loyalty problem Summary

.

the problem with loyalty problem

Article Summary by: k317ny     

Original Author: k317ny
one of the common use marketing ways to increase customers is by using loyalty customers. By giving special offer, packages
to customers, the company hope that they can increased their sales. However, the things with the loyalty programs are that it won;t increase the customer''s database, it will only increase the sales amount of the existing customer. In pareto law, it stated that 80% of our sales is from loyal customers. Thus with loyalty programs, customers tend to become picky/ choosy with the program itself. They will switch to another brand right away if there is more interesting offer by that brand. And it just increase the comeback customer/ loyal customer to buy from that brand.
Published: May 11, 2007
Please Rate this Review : 1 2 3 4 5

Bookmark & share this post

.