Thursday, February 24, 2011

Ebay Loyalty Reward Program: Bucks

Summer 2010 Ebay launched its loyalty reward program named bucks. The concept is simple, but has an interesting feature: You earn 2% of your purchases in dollars which you can use for your next purchase.

What is new is that you have 3 weeks to spend it. And this is what is interesting in terms of CRM. Indeed, it aims customers to come back, and to buy more often. Hence it is totally completing its customer relationship management goal.

Now it is not sure it will work: If customers tend to buy a product in more than three months on average, maybe they would be reluctant to actually pay attention to their money. I don’t actually now what is the average frequency of purchase on Eay.

What do you think about it?