Promotional Currency

The promotional currency approach allows you to leverage that other embedded consumer loyalty code: shopping. When customers are ready to spend their program savings and cash in their figurative certificates of deposit, their expectations change dramatically: They cease to think of the program as a bank and equate the loyalty experience with a shopping trip—and they expect to delight in all the fun, choices and excitement that this metaphor implies. At this point, loyalty marketers must step out of the role of banker and into the role of dream merchant.

COLLOQUY contributing editor Caroline Papadatos is Chief Knowledge Officer of Alliance Data Loyalty Services.