The different types of savings promotions / loyalty programs

The Netherlands is a real country known for the fact that its inhabitants are frugal and real savers. The latter is certainly true, given the number of savings promotions, or with another nice word, loyalty promotions, there are nowadays. Almost every Dutch person has a savings card or something similar in their wallet. Just think of the savings promotions of the supermarkets and the regular savings cards of the gas stations. These so-called loyalty promotions are purely aimed at customer loyalty. In this way, a company tries to keep customers coming back and thus generate more sales. Whatever the consumer receives as a reward, for example in the form of points, can certainly benefit the company. This is because the consumer will come back to make a new purchase. It is also often interesting for the consumer, because people have to go shopping and the car has to be refueled every time. It is often seen as a win-win situation. Savings promotions/loyalty programs come in different forms. They can be divided into the following five variants:

  • Savings campaign
  • Benefit program
  • Affinity program
  • Club program
  • Integrated loyalty program

Savings campaign

With savings promotions, people save for free products or for products with a certain discount. These promotions are collected via stamps, coupons, stamps or premiums. These types of promotions are ideal for everyday purchases. Consider, for example, retail products, or consumer goods. Savings programs, on the other hand, are actions that work in the longer term. People save through stamps, newsletters or savings cards. The consumer can save for, just like with savings promotions, free products or discounts on products, but also for services. As a service, for example, you can see the haircut card at the hairdresser. That is why savings programs are extremely suitable for retail and therefore also for services.

Benefit program

This type of program also applies for a long term. It often works with the help of a discount card, a catalog or newsletter. If a consumer participates in this, he or she saves for discounts and other benefits, for example direct or exclusive delivery. These savings programs are ideal for customer loyalty at magazines or book clubs, etc.

Affinity program

These are actions that are not based on the short term, but also not on the long term. In fact, they are somewhere in between in terms of duration. If consumers participate in these types of promotions, they often save for entrance tickets to certain events. These savings promotions are very suitable for articles with information.

Club program

These are long-term savings programs. It often works through a membership, but it can also be done through a catalog or newsletter. The consumer who uses this saves for, among other things, credits, discounts or multiple facilities. A savings program like this is extremely suitable for luxury goods and/or services.

Integrated loyalty program

This is a very long-term savings program. It often works through membership cards, but can also be done through bonus points, premiums or, for example, relationship magazines. The customer saves for discounts, privileges or other facilities. These very long-term programs are most commonly implemented by credit card companies and aviation companies.