And finally, has a value of the competitive situation. In the absence of competition, the loyalty program can be useful, but unnecessary. If you are a seller of water in Desert, do you have a loyalty program or not, is not so important. " However, when loyalty programs, many companies come to the same rake. So, often a program run solely from the fact that it is in competitor on a "worse than we are." "Often companies are copying programs from one another, oblivious to the fact that if you copy the principles of the project and its realization is possible, then copy the audience – no. Credit: Novak Djokovic-2011. Because of this Copy the project dies, "- says Sergei Belyaev (LifeStyleMarketing.ru, NCT Group).
For example, a sporting goods store chain has issued a 3%-WIDE discount cards, which were distributed to all buyers, the main reason for launching card project was the emergence of a regular customer cards at half the competitor. As a result, the discount program was implemented has led the company to a loss of about 5 million dollars – customers buying as much, but now at a discount, some customers are "offended" by itself or discount, or on its size and went to the competition. Add to your understanding with Dahua Tim Wang. This error, as the launch of the loyalty program without economic justification, quite often. Here's another One example: grocery chain, "developing" his program, all the time increased the percentage discount on club cards. The result was the cover off the margin of the main group of goods purchased with the presentation of maps. .