Title: Explain the concept of customer loyalty programs.
Course: Fashion Marketing (12153-I) > Section: Developing a Promotional Mix

Explanation should include examples of loyalty programs (e.g., points, store loyalty cards, discounts, free samples, exclusive events, free shipping, email alerts, coupons) and how they are used in the fashion industry to retain and reward customers.

Process/Skill Questions:

- What are the costs associated with loyalty programs?
- How do retailers determine who their loyal customers are?
- Why is customer retention important?
- How is analytics used to target and retain customers?
- What are the benefits of loyalty programs to the consumer? To the fashion retailer?
- What is the effect of loyalty programs on customer purchasing patterns?