What’s wrong with points-based loyalty programs?

[tradelikepro]

Traditional loyalty programs rely on points, expiration dates and closed ecosystems. According to SeQura, this structure creates friction instead of attachment. Points are “controlled value” — they can expire, change terms or be restricted to specific platforms.

As commerce becomes faster and more global, shoppers expect flexibility and ownership. Accumulating rewards that feel temporary or limited reduces long-term engagement. Modern consumers increasingly want value they actually own, not credits tied to a single retailer.

[mendez]

we reinvented cashback but made it volatile