Abstract
Customer retention programme is a marketing strategy that aims to increase customer loyalty by giving benefits. This study aims to analyse the advantages and disadvantages of the types of customer retention that may help to foster business among small and medium enterprises (SMEs) future development. This study reveals that advantage card is the most preferred programme, being the most common retention programme used by retail store operators worldwide and the most suitable to be implemented in the retail store operation. It can concluded that, customer retention programme is crucial to customer loyalty, and the retailer should take this opportunity to improve customer loyalty and repurchase behaviour.