Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/149032 
Year of Publication: 
2016
Citation: 
[Journal:] jbm - Journal of Business Market Management [ISSN:] 1864-0761 [Volume:] 9 [Issue:] 1 [Publisher:] Freie Universität Berlin, Marketing-Department [Place:] Berlin [Year:] 2016 [Pages:] 564-596
Publisher: 
Freie Universität Berlin, Marketing-Department, Berlin
Abstract: 
Loyalty programs are a widespread marketing tool whose contribution to a company's economic success is still being questioned. From a marketing relationship perspective, they cannot be terminated easily and their elimination has to be reasoned. This qualitative study examines why companies end their loyalty programs and how their termination is processed. In five different cases that I present, results reveal that conflicts with partners and unfavorable cost-benefit ratios are determinants of the program terminations. Customer information and regulatory issues on reward validation characterize the process of withdrawal. The exit strategy "phase out slowly" is adopted most commonly.
Subjects: 
Loyalty Program
Exit Strategy
Relationship Marketing
Persistent Identifier of the first edition: 
Creative Commons License: 
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Document Type: 
Article

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