When the telecommunications industry was deregulated, companies like Sprint and MCI began to compete with AT&T. By offering savings claims of 20 to 40 percent on long-distance services, Sprint became highly successful in attracting new customers. But due to issues with billing systems, customer service support capacity and increasingly aggressive customer win-back efforts from AT&T, Sprint experienced significant customer churn -- at times losing
more customers than it was gaining from its very effective advertising and direct marketing campaigns.
To help Sprint retain more of its most preferred customers, RDO designed loyalty marketing programs to recognize, reward and retain residential/consumer and small business customers. By applying the relevant dynamics of frequent flyer programs and leveraging the partner/co-op marketing value of Sprint's large customer database, RDO devised the first successful customer loyalty program in the telecommunications industry.
The loyalty programs operated for over ten years. And Sprint has since employed the key attributes and high service levels of the Callers Plus™ and Sprint Rewards™ preferred customer marketing programs as their businesses and related technologies have evolved.