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

WASHINGTON — 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.

People are also reading… Some experts say the cost of maintaining loyalty programs, as well as recent impacts of inflation and changes in consumer behavior since the start of the COVID-19 pandemic, are among the reasons why companies may be pulling back. Listen now and subscribe: Apple Podcasts | Google Podcasts | Spotify | RSS Feed | Omny Studio | All Of Our Podcasts Dunkin' argued that its new rewards program would give its customers more flexibility and a larger variety of food and drink options — and in a statement to The Associated Press last week, the company said the new program lets"members celebrate their birthday even longer," pointing to the three-day window within which customers can triple their loyalty points on...

Red Robin, which said it began the dine-in only and $4.99 minimum purchase requirements to its free birthday burger"to maintain the integrity of the promotion" and give guests"the best possible experience" by celebrating in restaurants — also introduced a half-birthday treat in 2023"as an added gesture of appreciation."

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