Paid loyalty programs are becoming increasingly popular in the restaurant and retail industries, with businesses offering exclusive perks and discounts to members in exchange for a fee. From family entertainment chains like Chuck E- Cheese to luxury shopping apps like Long Story Short, companies are betting on the idea that customers are willing to pay for a sense of exclusivity and special treatment.
For example, Target is launching a paid loyalty program called Target Circle 360, offering benefits like free two-day shipping and same-day delivery for orders over $35 for a yearly fee. Chuck E- Cheese has introduced a tiered membership program with various discounts and freebies for members.
While these paid loyalty programs can attract and retain customers, some experts warn that businesses run the risk of alienating customers who can't afford to participate. There are concerns about inequality and whether the extra benefits for members come at the expense of non-members.
Overall, the trend of businesses offering paid memberships as a way to boost customer loyalty and revenue is likely to continue as companies seek to differentiate themselves in a competitive market.
Comments