Loyalty business model

Hello there little one! Today we are going to talk about something called the "loyalty business model". This is when a company tries to keep you as a customer by giving you special rewards if you keep coming back and buying more from them.

You know how sometimes when you go to a place like a toy store or a restaurant, they might give you a stamp or a sticker on a special card? That's part of a loyalty program! Each time you come back and buy something, they give you another stamp or sticker. Once you have enough stamps or stickers, you might get a free toy or a free meal!

This makes you want to keep coming back and buying more because you want to collect more stamps and stickers so you can get more free things. The store or restaurant wants you to keep coming back too, because the more you buy, the more money they make! So it's a win-win situation for both of you.

Some companies have really cool loyalty programs that give you even bigger rewards. For example, some airlines have frequent flyer programs that give you points for every flight you take. Then you can use those points to get free flights in the future!

So that's the loyalty business model in a nutshell. Companies want you to keep coming back and buying more, and they'll reward you with special prizes so you'll keep doing it. It's a way for companies to keep their customers happy, and for customers to get some cool free stuff!