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Are loyalty programs profitable for an online store?

Asked 3 years ago

I have recently started my own e-commerce store selling sporting equipment. I have been told that it may be beneficial to offer a loyalty program for my customers. I don't really see how this would help my business, as offering exclusive deals and customer discounts seem like it would lose me more money than it would gain. Is the idea that the growth in returning customers would cover the lost revenue of offering these deals?

Abeeha Qasmi

Sunday, October 31, 2021

Yes, customer loyalty programs help increase profit for online stores in the long run. When you offer customers valuable customer loyalty programs, you build a positive relationship with them. It not only drives them to buy regularly from your brand, but they will also start marketing your products. Their words of mouth will bring you more loyal customers. Consequently, your brand can generate high revenues.

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