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Loyalty programs come in a variety of flavors and stretch across many industries. Regardless if you are supporting a consumer-facing program or a business-to-business initiative, the one commonality shared across the majority of loyalty programs is points liability - the accumulationon of member points that can be redeemed in the future at a cost to the business.
While accounting for and managing points liability must be carefully considered, strategies exist to help you better manage and relieve the financial burden on your books. Enter the concept of low liability programs—reward structures that allow you to keep your balance sheet liability to a minimum while engaging customers and delivering incremental value by developing a well-crafted strategy that features the options outlined in this whitepaper, you can decrease your overall program liability and maintain customer value with your brand
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