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e-Gift Cards Offers a Way to Redeem Reward Points Instantly TMCnet Contributor Many firms widely use reward programs as a means to engender customer loyalty. These reward programs can be given in two categories -- timing (immediate vs. delayed) and type (direct vs. indirect) -- of rewards. However, the effectiveness of reward programs is still not clear.
In order to build and sustain customer loyalty, RewardsNOW, a provider of turnkey loyalty programs and one of INC 5000's fastest growing companies the past six consecutive years, has recently launched e-Gift Cards as a redemption option for its loyalty program participants.
e-Gift cards are sent by email for easy redemption online. These cards allow participants to redeem points for the e-Gift Card when they want. They receive a confirmation email with a link to the e-Gift Card which then allows them to access it immediately through any electronic device. "Consumers today want to be able to receive more information digitally; it eliminates the hassle of having to keep track of plastic cards," said in a statement, Anne Gaudette, Director of Product Development. "In the future they will be able to access these e-Gift Cards through a mobile app and pay on the spot," she continued. "Our clients' loyalty program participants now have a lot more gift card options to choose from with e-Gift Cards available from a variety of retailers including JC Penny, Best Buy (News - Alert), and Starbucks - to name a few - along with restaurants, hotels, and even Travelocity. There's something for everyone."
According to reports by First Data, gift cards represent close to $100 billion in annual sales in the United States. More than 50 percent of retailers offer e-Gift card options. Consumers like e-Gift Cards because they are easy to access and use. They can also be personalized and make great gifts.
Loyalty programs generate incremental profits from increased customer retention and acquisition, increased product usage, and a higher level of customer engagement. Edited by Rich Steeves |