A study published in Advances in Consumer Research reveals that price promotions, loyalty points, and experiential rewards can effectively enhance customer loyalty. Researchers surveyed 520 consumers through retail partners and social media, using a Likert scale to gauge emotional attachment and loyalty. The findings show that customers who received price discounts reported higher loyalty scores compared to those who didn’t. Loyalty points and experiential rewards were also effective, outperforming buy-one-get-one offers. While the research supports using discounts as a means to boost brand loyalty, caution is advised. Mark Ritson, founder of MiniMBA, points out significant downsides to discounting. He argues that price promotions often pull forward sales that would occur later at full price, potentially damaging brand image. Discounting can also create a habit in customers to wait for lower prices, which undermines perceived product value. Brands should balance the short-term gains from promotions with the long-term impact on customer perception and loyalty.