http://www.adweek.com/aw/content_display/news/agency/e3i9f631ea10a4997bc68b6e958b04c9b69

A recent article in Adweek highlights the importance of loyalty programs and the need for brands to deliver on their programs and keep their customers engaged. Loyalty building programs have been found to create significant word of mouth. In a period when consumers are suspicious of advertising and peer-to-peer has become a preferred way of getting recommendations, this would signify a very important strategic opportunity for manufacturers and service providers. A study of MyCokeRewards and BestBuyRewardZone found that 70% of individuals engaged in the rewards program were likely to recommend the brand to others.
Participating in a reward program can allow consumers to feel ownership of the brand. A study on word of mouth and reward programs found that 55% of members consider themselves brand champions.
Understanding this is a tremendous opportunity for manufacturers who can use the rewards programs not only as a retention tool, but an acquisition vehicle as well. With this kind of information, couple with testing the effects of growth from peer-to-peer recommendations can now create a lifetime value rewards members with a very different ROI.