No more free coffee on your birthday? Companies rein in customer rewards programs - here's why

  • 📰 CTVNews
  • ⏱ Reading Time:
  • 42 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 20%
  • Publisher: 99%

Business News News

Business Business Latest News,Business Business Headlines

Reward programs, including birthday freebies and discounts, have long been a way for brands to build loyalty and incentivize spending. But now some companies are becoming a bit more stingy -- and customers are taking notice.

Last fall, for example, many balked at Dunkin's decision to stop offering a free drink on their birthday and instead give them triple loyalty points on their purchase. On June 1, Sephora started requiring a US$25 minimum purchase for online customers looking to claim a free gift and 250 loyalty points during their birthday month. And Red Robin added a dine-in only and US$4.99 minimum purchase requirement for customers to get their free birthday burger.

"While we're assessing our own personal expenses, so are businesses," Marshal Cohen, chief industry advisor of Circana and retail expert, told The Associated Press. "Businesses have to look and say, 'Are these programs working? Are they working to full capacity? ... is there another way of doing this that wouldn't cost us as much money?'"

Still, the announcement felt off-putting for many Dunkin' customers, who shared frustrations online. In the months following Dunkin's announcement, dozens of Twitter users have expressed disappoinment over learning that the free birthday drink was gone. Some joked that they "no longer run on Dunkin,"' a dig at the chain's slogan, and others suggested that they might take their future business elsewhere.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 1. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Opinion: If companies want to stop quiet quitting they need to take burnout seriouslyMany Canadians are still feeling burned out at work. Companies can help by being more accommodating of their workers' needs and addressing some of the root causes of burnout.
Source: BurnabyNOW_News - 🏆 14. / 77 Read more »

No more free coffee on your birthday? Companies rein in customer rewards programs - here’s whyWASHINGTON (AP) — Reward programs, including birthday freebies and discounts, have long been a way for brands to build loyalty and incentivize spendin...
Source: TorontoStar - 🏆 60. / 55 Read more »

Do you agree with the federal government that Google and Facebook should pay Canadian media companies for using their content?Click to vote!
Source: sudburydotcom - 🏆 6. / 89 Read more »

Six forestry stocks benefiting from climate change mitigationWe are looking for North American-listed forestry companies positioned to be the sustainable wood suppliers of the future
Source: globeandmail - 🏆 5. / 92 Read more »