The ability to retain clients is of para­mount importance in a marketplace which is characterized by increasing competition among businesses offer­ing a wide range of products and ser­vices. Loyalty programs shouldn’t be used exclusively as the only method of glamorizing offers to win new cus­tomers, but such programs do give businesses the means to manage cus­tomers and reduce the costs involved in retaining them. A loyal customer base allows firms to establish long-term strategies which can facilitate stable business development. The short-term advantages of launching a loyalty program are equally important, and include increased profits and a decrease in the cost of acquiring new customers.

Besides an increase in sales and the generation of additional income, the trademark of launching a loyalty cam­paign, from a marketing perspective, is perceived as particularly appealing to customers. Loyalty programs give businesses the opportunity to gather information about their customers’ behavior, preferences and needs. It also ensures enhanced customer rela­tions. Without manipulating custom­ers, loyalty programs should entice them to participate by offering useful benefits. Customers who are invited to take part in a loyalty care program should feel valued and inclined to take advantage of the special offers avail­able to loyalty program members, including easier access to, ordering and usage of telecommunication ser­vices.

Most airlines have their own Frequent Flyer Programs for loyalty management. Many of them include flights on other carriers forming the alliance, such as Star Alliance or One World. So if you are traveling through the affiliated carriers, such as lines Lufthansa, Brussels Airlines, or SAS, your account will be credited within one loyalty program – Miles & More is always in the same way.

Usually the points in the loyalty program is obtained on flights from airlines or use the services of the partnership. But that’s not all. Even ownership of the loyalty card in FFP can mean benefits, such as a right of access to a special lounge at the airport, available only to members of the frequent flyer program, or in the form of reservation of seats in the aircraft available only to holders of loyalty cards.

To return to one of the aspects mentioned above, namely choosing the ERP system with a view to the company’s future development, a fully justified question comes to mind: how can one predict the future of the company, say, three years in advance? Although it is relatively easy to foresee how the company will do throughout the next year, a three year forecast may be doubtful, especially due to the economic crisis. Numerous companies have experienced such a dynamic development within only a few years that very soon their ERP systems have become incapable of handling the processes within the company. The best, and least costly, way out of this predicament is to modify and extend the existing ERP system so as to make it work with higher speed and efficiency. The point is to avoid replacing the system with a newer version due to the enormous costs this would involve. Such a solution leaves a lot to be desired, though. First of all, these rough-and-ready solutions cope only with current problems which are bound to be followed by new ones. If one continues making the system a patchwork, users themselves become totally lost in the labyrinth of additional functions and modules improvised to make the system more effective, whereas in fact the efficiency falls rapidly. Secondly, the ERP user cannot draw on the most recent technologies and IT solutions offered, for instance, by the provider from whom the ERP system was purchased. Thirdly, the maintenance costs rise and the company may be forced to rely heavily on the programmers who have been adapting the system to the ever-changing current needs. These are blind alleys which can be avoided if one applies appropriate criteria when choosing the ERP system.

They use cutting-edge technology and surpass the older systems in terms of functionality. As a result, many entrepreneurs are in two minds about it. Either they can purchase the most recent and advanced system (although the implementation of their present system was already a large investment) or they can stick to the older system which remains functional despite somewhat outdated software functions. Sometimes companies invest in new systems and continue to use the older ones. However, this usually results in the overlapping of similar functions from the two systems. Employees do the same work twice and precious time is lost. The way to avoid such problems is to integrate the different versions of the IT systems. The service of system integration is provided by many IT companies. Integrated systems, e.g. CRM, EDI, ECR, invoicing software and many others, operate in close cooperation, which makes the company work like a well-oiled engine. Once the systems have been integrated, the data entered into them will be automatically present in those remaining. The benefits are evident for all.

Nevertheless an IT system will be fully functional only if it is effectively implemented. The implementation must comprise all principal activities aiming at maximization of system efficiency, i.e. definition of user needs, adaptation to individual requirements, collection of information necessary for the system configuration and the installation itself along with configuration and optimization. The last stage is the training of employees who will use the system. For those reasons every implementation is unique since it requires an individual approach to the requirements and structure of the given company. Depending on individual cases, this multi-stage process may also be time-consuming. The stage of user training is more crucial than it is often admitted. Even the most advanced and intuitive system will remain useless if none of the employees knows how to operate it and realize its full potential. All system users should be provided with software instructions, descriptions of particular functions and modules, methods of navigating the applications as well as all other necessary guidelines. Moreover, the software producer should ensure permanent support with regard to system operation. The majority of Polish IT companies provide the required assistance. Otherwise, the operation of the system, especially immediately after implementation, might involve insurmountable obstacles for the users.

Finally, IT companies have arrived at a practicable solution, which was made possible by the development of the Internet infrastructure in Poland. Fifteen years had to pass since the Internet made its appearance in Poland before the full potential of the Web EDI systems could be realized. EDI systems operate through an Internet connection with the system center installed at one of the partner offices. Such a solution means benefits for all the partners. First of all, data can be entered into the system by each supplier or recipient. Internet-based electronic document interchange provides each of the partners with immediate access to the information stored in the system. The system reduces the workload by allowing each partner to provide current information about the order status, invoices and warehouse inventories.

There is only one “but”. The investment in ERP systems will be profitable and will yield return on condition that a detailed analysis precedes the choice of the ERP system. Only then will it be able to perform its function effectively and bring considerable financial benefits. Therefore, a number of aspects related to the features of the ERP system should be considered prior to the purchase. When the company’s expectations are specified beforehand, it is much easier to communicate with ERP providers as to the type of system that the company actually requires. Firstly, the expectations with regard to the ERP system should be well-defined. Its profitability is taken for granted. The point is to go into details. One should consider the methods of competing with other companies, since that will be one of the crucial criteria for determining the features of the required system.
Secondly, one should obtain information regarding the clearing method of the entire project consisting of the purchase and implementation of the ERP system. It is a large investment, and so the completion of the project should guarantee that the system operates without flaws and that the first step towards concrete benefits has actually been taken. The providers should specify the offer and what it includes besides the installation itself. Do they provide personnel with training with regard to the operation of the system? Will they provide the technical support and for how long? What is the actual quality of that support?
Thirdly, implementation of ERP systems entails risks. One should have the risks specified beforehand along with the most effective method of their minimization. It is vital to ask the provider for detailed information concerning the risks taken, otherwise it may turn out that following the implementation the operating costs have increased and the investment yields no return whatsoever.
When choosing an ERP system in accordance with definite criteria, one should focus not only on the technical aspects, but also on the credibility of the provider and the exact terms of the contract.

The crucial process is sales and the choice of its channels that will transmit the product or the service to potential customers.
In the olden days the sales channel was made up of two elements: the sales person and the delivery car. The 21st-century sales strategy comprises a wide range of combinations of various marketing and sales channels which allows for reaching the maximum number of customers and selling the offered products. One must determine the channels that connect to the market which the company wants to enter. Sales channels may be owned exclusively by the given company, but they also may be indirect or altogether independent of the company. As a beginner, each company bases its activities on independent sales channels, i.e. agents, distributors and partners. Such state of affairs is determined by financial limitations which are inevitable at the early stage. However, as the company develops, it has to invest into new sales and distribution channels in order to avoid the phenomenon called “bottleneck”, i.e. not sufficient throughput for the offered products or services. The sales costs will surely increase, but so will the number of sold products and the general turnover. This, in turn, will allow for quicker responses to customer needs and full control over the entire sales process.
Specialist IT systems for sales channel management can come in very useful with regard to monitoring and realization of the process. The present-day IT market abounds in companies that offer solutions supporting the marketing and distribution channels which form an integral part of the overall sales strategy. Comarch and its sales management system (ECOD) can serve as the best example in this case. Two modules of the system can prove to be particularly useful. They are ECOD Agent, which provides comprehensive support for points of sale and mobile sales representatives, and ECOD Distribution, which handles communication and reporting within distribution channels.

The following aspects are worth considering in particular:

• the implemented ERP system should increase the quality of actual functionalities. However, it is often the case that a new ERP system does not bring in anything new, and the offered functionalities are not actual improvements. Many ERP systems implemented in various companies are exact imitations of the former system with its processes and functions. What is the result? If the former planning of business processes was ineffective, the ERP system will continue the same processes but in an automated mode, which might have a negative impact upon the efficiency of the company.
• the ERP system should create new possibilities for the company’s development and open up new areas for its activities; it is not responsible solely for systematization of the present processes and activities. A wrong choice may result in the system imposing technical and functional limitations that will impede the development of the company. This might in turn require further investment in new systems when the recently implemented system still has not yielded as much as it cost.
• the third aspect involves training in operating the ERP system. If the ERP software provider conducts thorough training, company personnel will be able to learn how the new system can facilitate their work. It is often the case that employees are not enthusiastic about advanced solutions because they have become accustomed to older systems. Therefore, they need to be convinced that the new software is a crucial step forward and not just a technical state-of-the-art curiosity.

Its greatest merits are scalability, i.e. adaptability to a wide range of enterprises (various sizes and various business lines), and high efficiency. Analysis of the market forming the commercial environment of the given company is a prerequisite for implementing loyalty programs. The market and the business line are important factors which must be taken into account in order for the loyalty system to succeed and bring profits to the company. The process of implementing loyalty programs also requires an appropriate infrastructure. For instance, if a company decides to use loyalty cards, it will be necessary to create the infrastructure of terminals and applications for that purpose.

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