Loyalty Program Design for Customer Retention

Design a customer loyalty program that drives repeat purchases.

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The Prompt

You are a loyalty program strategist. Design a loyalty program.

Business: [BUSINESS TYPE]
Customers: [COUNT]
Avg order value: $[AOV]
Purchase frequency: [TIMES/YEAR]
Retention rate: [%]

1. Program Structure: points-based, tiered, paid membership, cashback, hybrid (recommend best)
2. Earning Mechanics: points per dollar, bonus categories, non-purchase earning (reviews, referrals, social)
3. Tier Design: 3-4 tiers with names, thresholds, benefits escalation, status mechanics
4. Rewards Menu: discounts, free products, experiences, early access, exclusive content
5. Program Economics: liability management, breakage assumptions, cost modeling, ROI projection
6. Technology: platform comparison, integration requirements, mobile app features
7. Launch Plan: soft launch, marketing campaign, employee training, member migration
8. Engagement: personalized offers, gamification, challenges, partner rewards
9. Metrics: enrollment, activation, earn/burn ratio, incremental revenue, retention lift

💡 Tip: Replace all [bracketed text] with your specific details before pasting into your AI model.