An inconvenient truth about loyalty programs

Solar/Shutterstock
Solar/Shutterstock

Is your loyalty for sale?

Would you remain true to a company, no matter what it does, in exchange for a platinum card or the promise of “free” or discounted product?

Target is hoping so after more than 40 million customer credit-card numbers were compromised on Black Friday. Its response? A 10 percent-off bribe offered to holiday shoppers last weekend.

Perhaps the retailer knows its customers too well. Give ‘em a few bucks off — or better yet, something “free” — and they’ll overlook anything. (Never mind that almost nothing is free and that the definition of “free” we’ve come to accept is misleading, harmful and wrong.)
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“I feel like Starbucks is stealing money from me”

Katecorn/Shutterstock
Katecorn/Shutterstock
Question: I need your help with a problem I’m having with Starbucks. Over the years, I have regularly purchased Starbucks gift cards on eBay at a discount and simply transferred the balance to my loyalty card registered to my Starbucks account.

I recently discovered a website called Raise.com that was selling Starbucks gift cards at a 20 percent discount, so I purchased about $1,600 worth of cards from the company. I thought these could not only be used by my family and me, but would be great gifts for coworkers.

Realizing that I bought these from a third party, I tried to protected myself by transferring the balances to cards registered to my Starbucks account.
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