Former Starwood Hotels CEO (and ex-marketing chief at United Airlines and Hyatt) has shared some fundamental points about loyalty programs:
- Loyalty programs will spread to more industries, not contract.
- The basics are Recognize and Reward — he found that was just as true in skiing, cruise lines, and filling sports stadiums as for airlines and hotels.
- Frequent flyer programs replaced expensive, less targeted, and far less nimble forms of marketing.
The basics of recognize and reward make sense across industries. I’ve written about what happens when a blood bank runs a frequent flyer program.
Here’s another example: an on-demand medical marijuana and munchies delivery service has a rewards and referral program.
- one point per dollar spent, redeemable from their rewards catalog
- a free eighth for participating in their refer-a-friend program
Text Mary is available throughout Southern California. You need a medical marijuana card to order, but they can help you with that too. It is, after all, a mere formality — landing in Denver this week the Prius I Ubered smelled of pot.
If Text Mary is your primary caregiver, we will happily pay for your recommendation card renewal fee
So, there’s that.