Why Targeted Marketing Often Backfires — and How You Can Win the Game

You’ve probably seen targeted marketing in action. When you receive a coupon in your email because you subscribe to a company’s newsletter, or when you get a discount code from your favorite resort, you’re seeing targeted marketing. Targeted marketing extends discounts and special offers to customers based on their prior history with a company or some other qualifying tidbit such as living in a certain zip code or working in a certain profession.

Targeted marketing has become rampant. This past Christmas season, Best Buy gave some of its Reward Zone Members $20 or $10 in reward certificates based on their prior purchasing history. Some members received nothing. Some resorts


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2 Responses to Why Targeted Marketing Often Backfires — and How You Can Win the Game

  1. madcom says:

    But surely members of a loyalty program getting offers is not going to upset the rest of the customers?

  2. RyanLoos says:

    While targeted marketing does work, why are consumers do you think that just because someone else got a discount we have to have one too? I would love to get a $10 or $20 gift card in the mail from Best Buy but is does not mean that I am going to go spend any extra money at the store just because I have a gift card. I buy because I need something (not a want but a need) a gift card would help with the cost but it is not going to make me rush out to store to spend it.

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