This document discusses different types of loyalty programs and analyzes their strengths, weaknesses, opportunities, and threats. It outlines several common loyalty program types including point-based programs, tier-based programs, price-based programs, and experience-based programs. For each type, it provides 1-2 strengths, 1-2 weaknesses, 1-2 opportunities, and 1-2 potential threats to consider when designing a loyalty program. The overall message is that loyalty programs should be tailored to encourage repeat purchases, increase customer lifetime value, and build lasting customer relationships.

1. SamridhiSharma
InnovativeIncentives&Rewards
marcom@innovativeincentives.in
BEST
TYPES OF
LOYALTY
PROGRAMS

2. These Programs are
designed by keeping in
mind that
“CUSTOMERS ARE THE
KING”

3. S.W.O.T
Strengths Weaknesses
Opportunities Threats
1. Encourage Repeat
Purchases.
2. Personalization
1. Can be complex
2. Rewards may
not be valuable
1. Cross Promotions.
2. Increased Customer
Lifetime Value
1. Competition
2. Cost
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4. S.W.O.T
Strengths Weaknesses
Opportunities Threats
1. Sense of
exclusivity.
2. Encourages
Spending
1. Limited
redemption options.
2. Limited benefits
for lower tiers.
1. Cross –
Promotions.
2. Up Selling
1. Complexity
2. Competition
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SILVER
GOLD

5. S.W.O.T
Strengths Weaknesses
Opportunities Threats
1. Clear Value
Proposition.
2. Simplicity
1. Lack of
personalization.
2. Overemphasis
on price.
1. Upselling and cross-
selling
2. Partner
collaborations
1. Changing
consumer
expectations
Providing
Value to your
customers.
Creating
lasting
relationships
with your
customers.

6. S.W.O.T
Strengths Weaknesses
Opportunities Threats
1. Increased
Engagement.
2. Sense of
achievement.
1. Complexity
2. Limited Appeal.
1. Integration with
other platforms.
2. Incentivizing
desired behaviors.
1. Technological
advancement

7. S.W.O.T
Strengths Weaknesses
Opportunities Threats
1. Exclusive Benefits.
2. Enhanced Rewards
1. Limited
Customer base.
2. Cost
1. Loyalty Program
tier.
2. Increased
engagement &
Profit.
1. Value
perception.
2. Customer
Churn Rate.
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8. S.W.O.T
Strengths Weaknesses
Opportunities Threats
1. Customer
Retention.
2. Motivation
3. Tangible rewards.
1. Lack of
differentiation.
1. Surprise &
delight.
2. Partnerships &
collaboration.
1. Increased
competition.
2. Shifting
customer
preference.
Rewards
Gifts
Incentives