Impact of loyalty programs on building long-term customer relationships in Georgia: an empirical analysis
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Date
2026
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Council of Industrial Innovation and Research (CIIR)
Abstract
The research presented in the article examines the role of loyalty programs in establishing long-term relationships with customers. In particular, the nature, goals and role of loyalty programs in establishing long-term relationships with customers are studied. Loyalty programs are a powerful tool that serves not only to retain customers, but also to manage their behavior and steadily grow the business. Since satisfied customers have a positive effect on maintaining and growing company revenues, attention is increasing towards relationship marketing. The issue of selecting effective means to retain existing customers has become increasingly relevant. The theoretical part of the research is based on marketing concepts, theories and principles, the main of which is relationship marketing. The practical part of the article includes an analysis of loyalty programs of companies operating in various sectors of the Georgian market. The main emphasis is placed on customer attitudes towards various types of loyalty programs and their tools, the benefits they receive and changes in their behavior. The research uses quantitative research methods. The results of the study indicate that properly planned and technologically sound loyalty programs significantly increase customer engagement, satisfaction, customer lifetime value (CLV) and strengthen their emotional connection with the brand. The work is of practical importance for marketing specialists and companies that aim to achieve greater success in the market and develop customer-oriented strategies and tactics. The study showed that not only material incentives, but also emotional motivators, such as status, exclusivity and individual approach, have a significant impact on customer behavior. It was proven that properly designed loyalty programs reduce the likelihood of a customer switching to another company.
Description
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Citation
International Journal of Multidisciplinary Innovative Research (IJMIR), Vol. 6 No. 3 (2026), pp. 96–104