The US-based loyalty marketing firm ProLink Marketing has announced a customised loyalty rewards programme that will be made available free to one lucky company selected from a number of candidates. Here's the catch: entrants must have never before launched a loyalty programme of their own.
By making such an offer, ProLink hopes to illustrate to businesses in all industry segments the opportunities and benefits that loyalty programmes can provide in improving customer retention and growth.
"We believe that business leaders don't yet understand the important role that loyalty programmes can play in customer retention, customer growth and, ultimately, profit," said ProLink Marketing's vice president, Kari Sezonov.
The company is inviting businesses to visit its web site to register their interest, examine the opportunity to have their own loyalty programme created and customised, and to discuss loyalty scheme ideas and development strategies. On June 1st, 2005, ProLink will announce the name of the company that is to receive the free loyalty programme.
According to a recent Harvard Business Review article, the average US-based company loses 50% of its customers every 5 years. Consequently, Sezonov argues that it is vital for every business to plan for such customer base leakage. "There is certain customer loss that no company can avoid, such as a customer going out of business or a customer moving into a different market," said Sezonov. "Companies who use loyalty programmes, such as the major airlines and hotel chains, have been believers for years and continue to reinvest resources in establishing a rewards programme that keeps its profitable, loyal customers coming back."
Loyalty scheme benefits
According to ProLink, some of the key benefits of a customer loyalty programme include:
· Higher customer retention rates
· Customer growth
· Increased brand loyalty
· Increase in buying frequency
· Improved revenue and profits
ProLink believes that, through its current promotion, many companies that were not previously aware of or interested in customer loyalty programmes will become more open to incorporating them into their marketing and promotional plans.
Up for grabs
The free loyalty programme that will be awarded in June includes: a proprietary programme web site, marketing collateral, an e-catalogue, programme promotion, a participant database, and analysis, support, and programme reward points.