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Let's get one thing out of the way now: Customers love discounts. After all, who doesn't like spending less money? There's something about the feeling of getting a good deal that makes people happy – and drives changes in behavior.
The trouble with a discount-driven retention strategy is that not all of these changes in behavior are positive for your business. If your marketing or loyalty program has been firing out blanket discounts for a while, you're probably well aware of the negative side....
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