Time for another loyalty program tip. Newsflash: Points are a pain.
Yes, when we think of rewards, we usually think of points. OK, so technically they are “currency” programs, but ever since the airlines created their point-based programs, this strategy has become synonymous with rewards. However, points-based program come with inherent complexities that can be a burden to many companies. Just ask the CFO.
While it has become much easier to track and manage points, you still need to track all purchases across channels, deal with returns and discounts, manage points accounts accurately, and comply with accounting practices regarding liabilities. Points have excellent benefits and may be the right strategy. However, here are a number of alternate rewards program strategies that you may want to explore.
Reminder…this is not trying to steer you away from a points-based rewards program. It is simply meant to provide alternative strategies that may be…
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