The top online incentive programs accomplish at least one, if not both, of these. Some are looking to cash in as incentive infomediaries, offering goodies to consumers in exchange for detailed personal and shopping information. Other programs are more oriented toward cultivating customer loyalty. If you can keep 'em coming back, those nutty Net valuations might not seem so out of line. Forrester Research believes that the LTV, or lifetime value of a customer, justifies those skyrocketing stocks.
Incentive programs are very popular, both online and offline among upscale consumers.
Users are more inclined to complete site registrations when offered affinity points. This suggests tremendous future potential for online coupons. According to a Jupiter survey of 82 top e-merchants, the use of loyalty programs varies by site type. While marketers can develop their own online incentive programs, it's usually more effective to use a network-based service provider. The company claims 2.5 million registered members and is ranked among the Top 10 most frequently visited shopping sites by Media Metrix.