When Reward Systems Fail to Reward On a recent trip, I used rewards to pay for part of a hotel stay, purchase a quick lunch at McDonalds, and pay for my wife’s jacket at Sam’s Club. Some reward systems work better than others. We also stopped at a place X for hot drinks. Alas, my reward had expired. Yesterday I stopped by my local X and was told I was one visit away from a reward. I smiled and thought they don’t know how to do rewards. It’s not just that the rewards expired too soon but they don't always offer rewards on items I particularly like. Give me points toward things I like and I will come more often. Effective reward systems must actually reward someone for their loyalty. That’s hard to do when people have different tastes. However, companies like McDonalds, Subway, and Firehouse Subs get it right. Loyal customers earn points on a tier system. You can select from a variety of low cost items or save points for better items--things you would actually buy there l...
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