Loyalty Cards

Written by Michael Federico
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Loyalty cards are used as client perks by hair salons, spas, and a number of retailers. In order to reward particularly good customers, a store can give them loyalty cards and allow them to earn points toward future gift certificates or discounts. The loyalty card will track the points each time the customers shops at that location or uses their services.

Some stores utilize gift certificates in order to build up a client base. Many times, though, if a gift certificate is not fully used, the store will give cash to the customer to make up the difference. This can make drawer counts come out incorrectly at the end of the day. Using a loyalty card eliminates that problem and any confusion that might stem from it.

In contrast, clients must be consistent customers to really reap the benefits of loyalty cards. Even if another store has a better price on an item, a client with a good deal of points built up on a loyalty or club card for a more expensive store will probably buy the item at a higher price at the retailer with which they have the card. That way they can use their points to make the purchase at a discount, or increase their number of points with the purchase.

Giving Loyalty Cards When Opening

Loyalty cards can also be effective when opening a shop. In this case, cards are used to create loyalty as opposed to reward it. The cards are a great way to advertise, because they not only make people aware of the store, they usually get people to stop in. People who visit a retailer in its opening weeks and months can create the word-of-mouth buzz that any new store desperately needs.


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