An interesting posting technique - take something in marketing that is being impacted by the writeable web/interactive web/Live web/ Web 3.0 - and amaze people by predicting how different the coming customer-fueled future will be.

(I am surprised we are already at Web 3.0. This term was invented in 2006 by the New York Times according to Denise Shiffman in her book "The Age of Engage" - a good read. Positively ancient.)

Well, I am going to join the fun and compare Loyalty Programs 1.0 to the next generation; let's be daring and call it Loyalty 2.0. I borrow heavily from Karen Webster. Credit card loyalty programs will serve as an example.

Loyalty 1.0 is a lot like mass media. It rewards all business, has the same offer for everyone who enters the program, encourages all and sundry to enrol. It is almost impossible to be sure the program is causing customer loyalty or that you are not just paying more for business you were going to get anyway - because no customers are held back as a control group.

For credit card program bonus partners it is even worse.

Casual shoppers, blissfully unaware they are in a bonus partner store still get points. It is extremely difficult for the card issuer to prove any of the customers costing bonus points came to the store because of them. And the reward redemption takes place somewhere else, on a web site or in a call centre. No credit from the customer to the partner for the thrill of getting something for nothing; the partner's investment builds loyalty to the card, not their store.

Direct marketing has moved on from this. We now look for the differences in our customers so we can market to these differences - often more actively than we market to their common needs. We see smaller and smaller customer segments and concerted efforts to treat different customers differently.

Loyalty 2.0 should do the same - these programs are, after all, rich marketing channels if used thoughtfully.

Loyalty 2.0 - focuses on your advocates as they are many times more likely to promote you, and with digital reach this promotion can now be dramatic. Reward them for their business and their word of mouth advocacy.

Loyalty 2.0 - does not reward passive customer behaviour, it was business you were going to get anyway. Build some relevant 'earning' hurdle into the program to ensure customers are thinking when they earn.

Loyalty 2.0 - matches buying behaviour to rewards, it personalises.

Loyalty 2.0 - carries out a conversation with customers, talks with them, not at them. This means we should build a place for advocates to gain a sense of community - this means integration with social media and an operator that is taking notice of what the members are suggesting and requesting.

Loyalty 2.0 - is multi channel and data driven. Use program data to give a more personal and relevant experience to your customers, not just in the program but through all touch points

Loyalty 2.0 - includes partners in the redemption process (points redeemed at the cashier perhaps)

Amazing predictions aren't they (logical really).