How game mechanics can make your loyalty program more compelling

I am a sucker for loyalty programs. I am one of those who will go out of my way to book flights or rooms with certain airlines and hotels because of the points. I am a Reward Zone Silver Member at Best Buy, and Gold on two airlines (which only means I fly too much). And I keep returning to my auto dealership because they are great about reminding me when I need to come back, and offer me discounts to do so.

And I am not alone. Loyalty programs work, which is why so many businesses use them. People get addicted to points, and because of it, they share (knowingly or not) tons of information with the loyalty program owners. Loyalty programs that work well encourage their users to check in frequently, record every movement and interaction and reward their users for doing so frequently.

Retailers and restaurants are starting to encourage “mayorships” by rewarding mayors and those close to being mayors on Foursquare reduced prices, free drinks, badges and the like.

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