Loyalty programs are strategies used in marketing that benefit consumers in terms of rewards while attracting new customers for companies desiring long term commitment. This paper argues for an investigation into such factors as effects on buyer behavior predetermined by different forms of rewards. Using a variety of businesses in different sectors, the present paper examines how consumer retention, purchase behavior are influenced by different forms of loyalty programs such as tiered rewards, point-based systems as well as member discounts basing their findings on transactional data. The research utilizes an extensive review of data obtained through loyalty program subscribers on an annual basis over a period 12 months. Key factors include how often purchases are made again within set periods, amount spent during each visit/call made within one year and customer life time value (CLV) were taken into consideration so as to determine which among the structures was most efficient in enhancing repetition of transactions. (Jamali, 2008) suggests that customer engagement rates increase significantly when loyalty programs offer customized incentives. Additionally, programs like points, rewards offered at stages show strong linkages with more frequent buys or enhanced payments per individual customer. However, subscription discounts which work well for short periods do not ensure durable customer patronage. The paper provides a smart way of analyzing loyalty programs through the use of data for the purpose of establishing their efficiency in enhancing consumer’s commitment and also in order to identify ways of going about this. The findings also elaborate on the broader aspect of loyalty programs’ relationship with consumer behavior thus recommending consumer-driven design for tailored programs which should be made for various consumer segments.