Personal Business -- The Wall Street Journal Sunday. -
[Cached Version]
Published on: 11/24/2002
Last Visited: 11/28/2002
Vicki James, director of consulting services at Waukesha, Wis.-based NuEdge Systems, which designs software that manages customer-relations and loyalty-program systems, describes some of the common complaints she hears.
First, she says, consumers say rewards are sometimes too complicated to redeem, especially those managed online, which turn off people who don't want to use a computer for that task.It also takes too long to accrue points and claim benefits, some customers say.
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But, according to Ms. James, fee or no fee, consumers say they are often disappointed that they don't get "special" treatment.For example, at the checkout counter, the cashier doesn't recognize them by name as a club member, or inform them they've accumulated enough points for a reward. (They only find out later on their receipt.)
Companies, meanwhile, have been known to use loyalty cards to track purchases and buying trends as a way to target promotions to individual shoppers.This is a worry for those consumers who fear there could be a misuse of their personal information.
It was all much easier in the early 1980s, when American Airlines highlighted rewards programs in launching its frequent-flier plan.