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Latest / The CMO Podcast with Fexingo: Marketing Leadership, Budgets, and Executive Strategy

Why CMOs Are Marketing Through Loyalty Tiers

In this episode of The CMO Podcast, Lucas and Luna explore how CMOs are restructuring loyalty programs around tiered status systems rather than simple points accumulation. They dive into Delta Air Lines' SkyMiles program as a case study, examining how the 2024 changes created both backlash and better margin. The hosts discuss the psychology of sunk cost versus aspirational reward, and why brands from Starbucks to Sephora are betting on status-based loyalty to drive repeat purchases. They also touch on the risk of tier fatigue and how AI is being used to personalize tier thresholds. If…

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