#loyaltyprograms #loyaltymarketing #redemption #forcedredemption #brandvouchers #saksfirst #carrefourmyclub #harrodsrewards #neimanmarcusincircle #nordyclub
There’s something to be said for forced redemption of loyalty currency. Wipes liability off periodically and tremendously good for the member. Take a look at premium retail loyalty programs worldwide – Saks First, Harrods Rewards, Neiman Marcus Incircle, Nordstrom Nordy Club, Carrefour MyClub – all offer currency – and when it accrues to a specified level, it is converted into either a voucher or credit in the member’s loyalty account for use during the next purchases. What happens when you have a Saks or Neiman Marcus or Carrefour voucher floating around at home? Very unlikely you let it expire. That would be criminal right? And what happens when you go to redeem the voucher? You want to utilise the entire amount, and you will probably end up spending more… Benefit to member – positive feelings towards the brand, stronger affinity to the program, renewed behaviour metrics. Benefit to brand – more bonded members, ultimately better program economics. Drive redemption actively. Maybe force redemption. Motherhood statements? True nevertheless…..and worth keeping in mind. How many retail programs in India do this?