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The Business Case for a Consumer Loyalty Program
The document discusses the significant impact of customer loyalty programs on business profitability. It highlights that increasing customer retention by just 5% can boost profits by 25-95%. Loyalty programs enhance customer engagement, with loyal customers spending more frequently and being more willing to share data. The report underscores the importance of metrics like Customer Lifetime Value (CLV) to measure the program's success, showing that a well-crafted loyalty program can lead to substantial revenue growth, reduced marketing costs, and stronger customer relationships.