Reduce Price to Improve Revenues and Margins
CHOICE 1 OBJECTIVE: ATTRACT CUSTOMERS
CHOICE 2 SEGMENTS: AFFILIATED MEMBER SEGMENT / CUSTOMERS WHO BUY OTHER PRODUCTS FROM THE COMPANY
CHOICE 3 COMPONENT: PROVIDE A FREE OR HEAVILY DISCOUNTED PRODUCT FROM A THIRD PARTY
| No. | SIC | Year | Notes |
| 1 | 6021 | 2005 | Wachovia plans to roll out a loyalty program where customers can rack up points and earn rewards for using its services. Points, which expire after 36 months, can be used for rewards such as airline tickets, hotel stays and merchandise. As retail banking is becoming increasingly competitive, banks are boosting efforts to attract high-income clients. Wachovia is targeting affluent clients, hoping that they will boost their accounts. |
| 2 | 6021 | 2005 | While smaller banks have launched programs that reward customers with multiple services, Citibank is the first large corporation to launch a rewards program based on the use of banking services. Bonuses are related to the type of bank account and the number of Citi products and services they use. Points can be spent on airline tickets, concert tickets and travels. This program is aimed at boosting consumer loyalty, if a customer has multiple services from the bank, defection is much more difficult. |
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