Effect of Loyalty Program Structure and Benefits on Customers' Perceived Status

The effect of loyalty program structure and benefits on customers' perceived status was studied, the method of experimental design was used to collect customer perceived data and compare different loyalty program structures, on the basis of previous research about loyalty program structure and benefits. The results reveal that a three-tier program is more satisfying to all customers involved than a two-tier program, and the increasing of the scaling of the second tier will not affect the perceived status feeling of the top tier. At the same time, for the top customers of the loyalty program, soft benefits such as special treatment and special services can make them more superior relative to hard benefits such as providing reward and integral.