Abstract
The aim of the research was to examine how customers perceive subscription based loyalty programmes and if it influences their behaviour in respect to frequency of visits, increase spend during these visits or social status with a secondary objective to find their expectations for such programmes. The research design was descriptive and cross-sectional which used a quantitative research methods. There were 85 participants and the survey method was used for data collection which captured basic demographics, loyalty programme membership, perceptions and expectations. The results showed that the respondents mostly perceived economic value, and a strong influence on their purchase behaviour, while only perceiving little interactional value and no psychological value. Results also showed the importance of price, a high preference for cash rewards and immediate reward timing where expectations were concerned. The findings were discussed and the implications for academia as well as applications for business practice were detailed.
