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Progress in Loyalty Program Research: Facts, Debates, and Future Research

For decades, customer loyalty programs have been a distinct avenue to enhance long-term customer relationships. Their efficacy and viability have been widely discussed in the literature. With a focus in the hospitality industry, this article draws on nearly 100 articles on loyalty programs and extant reviews of this research to describe how this field of research has evolved. This article proposes four research themes for classifying this body of work: (a) customer relationship management in loyalty programs, (b) the merits of loyalty programs, (c) the drawbacks of loyalty programs, (d) the advancements in loyalty programs. Using this classification the article identifies areas for future research and formulates unanswered questions. The classification organizes the research for practitioners looking for guidelines for managing loyalty programs.