Consumer Rewards System (CRS) will be targeting personal contacts as the prospective customers. This is an ideal market segment because a positive relationship already exists with the personal contacts, making extra job of selling the products significantly easier.


As a rewards system, the company has an unusual market segment that it is targeting. With rewards system, sales and recruitment are done through personal contacts. Once these people are users, salespeople try to convert them from consumer to salespeople for the products. This is also called multi-level marketing.  A company sells a product to a consumer (typically personal contacts) via direct selling methods, and recruits new people to help sell. The salesperson is then being rewarded for the sales made as well as the sales of the people recruited.  

Because of this unusual business arrangement, the market will be segmented into personal contacts. Personal contacts typically take the form of the following groups (not an exhaustive list): past classmates, current and past neighbors, officemates, landlords, tenants, club members, sport partners, children’s teachers, children’s playmate parents, spouse contacts, and fellow congregation members.

This market segment that will be targeted will be called “personal contacts,” and makes up the majority of the market.


CRS is focusing on this portion of the market because to some degree a trust relationship has already been developed between the personal contacts. Due to the nature of this business, where you sell directly to the consumer, it helps considerably to have already established a relationship. With a relationship already established, it is far easier to then sell the product because the prospective customers skepticism has been lowered. This then creates an opportunity when CRS can explain the cost advantages of the CRS products.

Additionally, this market is targeted because once the prospect is a customer, it is then easier to convert them into a Consumer Associate for CRS products. The advantage to the company of having Consumer Associates is an extra income stream of reward system. The advantage to the customers becoming Consumer Associate is a lower cost for their own product and a revenue stream from the sales of CRS products to their clients.  If their clients then become Consumer Associate, the customers then get a second level of revenue. 

Lastly, for every recruit that Consumer Associate recruits bring in, Consumer Associate gets a Reward. So, Consumer Associate would get a reward for his sales, a reward for the sales of his recruits, and if they recruit someone, Consumer Associate will get a rewards off of them as well.


Almost all companies worldwide are now engaged into loyalty programs. They are now starting to experience the positive results of customer retention and realize its importance. In fact, great efforts are now directed to specifically develop initiatives for customer loyalty.

But what exactly is a loyalty program? While the specifics of each program may differ, the premise remains the same: a loyalty program is a marketing system instituted by a business that rewards purchasing behavior, thus increasing the customer’s urge to stay loyal to the company. A loyalty program may offer convenience, store credit, prizes, or any other benefit that would entice the loyalty of a customer. These are also called as direct or active rewards.

Of course, like all other marketing efforts, a well-crafted loyalty program maybe costly for an individual business to engage in, and eventually not be able to sustain it.

Understanding the fundamental value of a loyalty program; the essence of a marketing strategy; and with a careful study on its feasibility and efficacy, the CONSUMER REWARDS SYSTEM (8-Rewards) was developed.