![]() ![]() Where a customer has provided sufficient identifying information, the loyalty card may also be used to access such information to expedite verification during receipt of cheques or dispensing medical prescription preparations, or for other membership privileges such as access to an airport lounge using a frequent-flyer card. ![]() Over time the data can reveal, for example, a given customer's favorite brand of beer, or whether they are a vegetarian. The store uses aggregate data internally (and sometimes externally) as part of its marketing research. Application forms for cards usually entail agreements by the store concerning customer privacy, typically non-disclosure (by the store) of non-aggregate data about customers. Hence, the card is the visible means of implementing a type of what economists call a two-part tariff. Cards may have a barcode or magstripe to more easily allow for scanning, although some are chip cards or proximity cards.īy presenting a card, customers typically receive either a discount on the current purchase or an allotment of points that they can use for future purchases. A loyalty program typically involves the operator of a particular program set up an account for a customer of a business associated with the scheme, and then issue to the customer a loyalty card (variously called rewards card, points card, advantage card, club card, or some other name) which may be a plastic or paper card, visually similar to a credit card, that identifies the cardholder as a participant in the program.
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