The practice of Loyalty Accounting has become increasingly important as programs have matured and the value of deferred financial liability on corporate balance sheets has grown.
The key offset to the balance sheet liability is breakage. It is the word used to describe the value of the accumulated points that go by the wayside and is [...]

Loyalty Truth has been giving a lot of thought towards the shaping of loyalty and rewards programs to engage the interest of Millennials and the broader digital consumer group we are calling Consumer 2.0.
With many merchandise offerings lacking imagination as well as value, and airline miles tough to redeem given capacity restraints on available reward [...]

Breakage is the classic crutch of loyalty marketing financial models. As I mentioned here in a recent post, attitudes towards breakage are changing, both from perspective of the loyalty supplier community and consumers.
Brands aren’t missing the boat on breakage, in fact recent moves by Delta Airlines and Points.com over the past two weeks signal additional [...]

The loyalty supplier business is full of contrasts. Go-to-market strategies, and business models cover the spectrum. Looking East to West across the range of choice for brands operating traditional points-based loyalty programs, the offerings can be categorized somewhere  between old-school and ground-breaking. One key area of difference boils down to a single word – breakage.
By [...]

The loyalty supplier business is full of contrasts. Go-to-market strategies, and business models cover the spectrum. Looking East to West across the range of choice for brands operating traditional points-based loyalty programs, the offerings can be categorized somewhere  between old-school and ground-breaking. One key area of difference boils down to a single word – breakage.
By [...]

I recently shared a story in the Toronto Globe & Mail about how Canadian parents would rather talk with their children about sex, drugs or alcohol than money.
Sometimes when I talk with stakeholders responsible for loyalty program operations, I get the feeling that the question draining their complexion is not far from that mark. “Who [...]

When I sat down to write about managing the financial liability generated by customer loyalty programs, I naively thought it was suitable for a post to Loyalty Truth. In terms of subject matter, it is right on target, but in terms of complexity, program liability is not something you can adequately discuss in a few [...]

Watching the Vice Presidential debates, there was a lot of talk from both sides about bolstering the hopes and fortunes of the middle class. This struck a chord as I reflected on my shopping experiences that same day and realized that retail marketers rely on several promotional tactics that, in our opinion, aren’t truly designed [...]