The loyalty business model is a business model used in strategic management in which company resources are employed so as to increase the loyalty of customers and other stakeholders in the expectation that corporate objectives will be met or surpassed. A typical example of this type of model is: quality of product or service leads to customer satisfaction, which leads to customer loyalty, which leads to profitability.
Customer loyalty can be defined as an ongoing emotional relationship between you and your customer and is manifested when the customer repeatedly interacts with and buys from you, instead of your competitors.