Loyalty programs are a very common practice among international brands. Such programs are available at Sephora, Lego, Starbucks, Nike, and many others.

A loyalty program is an opportunity to give users added value in a product, for partners to attract new users and increase sales. And for a brand, it is an opportunity to increase loyalty, generate additional orders, and even optimize marketing budgets. They are designed to encourage users to stay with the product longer and purchase goods or services.

Loyalty Program Mechanics and Types

Probably one of the most popular is point-based—users receive points for performing certain actions, such as filling out a questionnaire, providing feedback, or making a purchase.

Subscription—when a user pays a certain monthly fee but receives additional value. These can be closed meetings, merch, first access to new products, etc.

Affiliate—when brands team up and offer customers joint benefits. This allows them to attract an additional audience and share budgets.

Source: https://mmr.ua/