Discuss the five (5) characteristics of the loyalty programme that makes it an effective programme.


2000 word report

Question 1

(a) This is a two-part question.
For the first part, describe succinctly, the loyalty programme you have chosen. Identify five (5) factors that help the loyalty programme stand out among its competitors. You must address how the loyalty programme responds to customer concern for environmental and social responsibility (ESR).

Factors to consider may include:
• Background (year of inception – industry – company headquarters – industry –primary products and services)
• Customer reach within Singapore and beyond if applicable.
• Features of the programme.
• Strategic alliances formed.
• Online platforms used.
• Corporate social responsibility initiatives.
• Other essential points of consideration specific to the loyalty programme.

For the second part, analyse the three (3) conditions in the competitive landscape that makes a trusted agent necessary. Explain how your chosen loyalty programme tries to increase the value of its customer base in the face of these prevailing new conditions. (30 marks)




  • Briefly describe a possible member profile of your selected loyalty programme. Determine how this member displays attitudinal and behavioural loyalty. Examine one (1) example of each type of loyalty as exhibited by this member.
  • Discuss the five (5) characteristics of the loyalty programme that makes it an effective programme.
  • Propose two (2) improvements that would make the loyalty programme more effective. Justify your recommendations.
    (40 marks)

(c) Building Learning Relationships with customers is a sustainable approach to growing a profitable customer base. A Learning Relationship aims to remember prior interactions with a customer in order to provide increasingly relevant value to that customer.

Appraise the three (3) benefits of a Learning Relationship with supporting evidence from the loyalty programme. Evaluate how well the loyalty programme achieves the three (3) benefits of Learning Relationship.
(30 marks)