FlyerTalk Forums - View Single Post - I'm Probably in the Minority, But I Like the New Program
Old Jan 24, 2015 | 2:55 pm
  #141  
gooselee
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Originally Posted by k2
Yes with two caveats: 1) the 75k cap means you earn zero rebate once you cross a certain spend threshold (I'm not aware of other rebate programs that do this); and 2) some would argue (debatable) the elite program is a loyalty scheme.
Plenty of rebate programs impose a cap. Many cash back credit cards only provide the rebate up to $X per category or the like. Mail-in rebates for merchandise often have quantity limits. Not a new concept.

The elite/loyalty/rebate program is a MARKETING scheme, first and foremost. Let's not lose sight of that. Under the new RDM structure, one of the perks of elite status is a higher rebate rate (this becomes even more direct under a PWM-style redemption scheme). Again, plenty of models in the retail world with actual % rebates - Best Buy and Staples both come to mind.
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