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TAG | loyalty programs

In past issues of Direct Marketing Update, I’ve encouraged readers to fight the recession with a rewards program. Here’s proof that it works…

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I recommend starting or boosting a loyalty club in a recession.

Loyalty programs are getting a lot of attention in this economic climate—and that’s because customer loyalty is more important than ever for the success of your business. (Read last week’s article here: Build real value into your loyalty program.)

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This recession has launched price wars in some industries (like the airlines, for example). Many other businesses are suffering from dramatic cuts in consumer spending. Many more struggle with declining brand loyalty to others.

But there are some smart marketers out there who are still finding ways to compete.

Loyalty programs have been one of the most successful tactics. For example, although Talbots Inc. has faced trouble with some brands in this economy, its Talbots Classic Awards program could be a bright spot.

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