Loyalty: Not the best policy?

摘要

Research led by a Ryerson University industrial engineering professor reveals that some companies may benefit from not offering customer loyalty programs. Saeed Zolfaghari, director of the university's industrial engineering program, and Ph.D. candidate Amir Gandomi found that little analytical research has been done on such programs.They developed a mathematical model to measure how effective loyalty and point cards are at enticing people to become and remain customers. "Our model demonstrates that if average customer satisfaction increases over time there is less incentive for a company to offer a loyalty program," Zolfaghari said. "Essentially, your customers are already happy with you."