Reasons to have a loyalty/frequent buyer program for your business:

• Increase your brand awareness among your customers.
• It costs as much as 5 times more to find new customers than to keep a current customer.  Give your customers another reason to keep coming back to you.
• Reward your most loyal customers.  Give them something they want in return for their continued business.
• Target marketing efforts using your customer's purchases and purchasing patterns. 
• Your competitors are rewarding their customers, you should also.