The Mother of Invention: The Power of Merchant-Funded Rewards in a Recession
Published 6/30/2009
Author: Marc Caltabiano and Rick Ferguson
Summary
If there is truth in Plato’s maxim regarding “necessity, who is the mother of our invention,” then the coming months should be innovative times for marketers operating in the current economic climate. Faced with plummeting consumer confidence, increased competition, and wary, budget-conscious shoppers, marketers are in desperate need of new strategies to engage and retain customers.
Fortunately, there is hope. The loyalty-marketing industry was born during the dismal recession of the early 1980s, and in the years since, has evolved into a critical tool for marketers to maintain profitable relationships with their best customers. One progressive model for enhancing the loyalty value proposition, merchant-funded rewards, has proven effective in delivering value to consumers, program operators and merchant partners.
This paper explains the challenges, roles and benefits of adding merchant-funded reward solutions to your loyalty-marketing arsenal.
© 2009 COLLOQUY
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COLLOQUY
AMA Content Partners
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