Loyalty reflects relationship development and retention reflects relationship continuity. Customer retention is a crucial component of the customer relationship. The main aspect of customer retention is the emotions evoked by the customer experience combined with the organization’s strong reputation, consumers are asking for more and expect programs to deliver beyond the points. In return, loyalty program members display greater potential than the average consumer for a more substantial relationship.
Consumers’ biggest complaints with loyalty programs center on how long it takes to earn a reward and how difficult it is to get. Other negatives highlighted were that rewards or points expire too quickly and that the redemption process is too difficult.
The Key Findings of “Loyalty Barometer, 2019” Report:
Free products are ranked as the most reward type that surveyed online shoppers mentioned they like with a rate of 77%.
Online shoppers reported that they don’t like the loyalty or rewards programs that they belong to because rewards are taking too long to be earned with at a rate of 54%.
Receiving discounts or offers is the main reason for surveyed online shoppers to participate in a certain loyalty or reward program at a rate of 43%.
Purchasing history is the most type of information that surveyed online shoppers mentioned that they are comfortable with sharing it with brands to make rewards more relevant to them at a rate of 57%.
Surprising online shoppers with offers or gifts just for being a customer is ranked as the most important way that a brand can interact with surveyed online shoppers with a rate of 61%.
67% of surveyed online shoppers said that they like accessing their loyalty program information via mobile applications mostly.
A Graph Shows The Types of Rewards that Online Shoppers like The Most, 2019
The Content of “Loyalty Barometer, 2019” Report:
Evolution of the Loyalty Landscape.
What Consumers Expect from Loyalty Programs.
Personalization and Recognition.
Preferred Ways to Earn.
Driving Emotional Loyalty.
Emerging Technology & What’s On the Horizon.
Number of Pages:
This report is conducted by HelloWorld is a Merkle company, they surveyed over 1,500 male and female consumers in 2018 who were sourced outside of the programs that they manage for their clients. The age responses came from U.S. residents aged 18-65, allowing us to segment the data from Baby Boomers to Gen X to Millennials and Gen Y.
Merkle is a leading data-driven, technology-enabled, global performance marketing agency that specializes in the delivery of unique, personalized customer experiences across platforms and devices. For more than 30 years, Fortune 1000 companies and leading nonprofit organizations have partnered with Merkle to maximize the value of their customer portfolios. Merkle’s heritage in data, technology, and analytics forms the foundation for its unmatched skills in understanding consumer insights that drive people-based marketing strategies.Its combined strengths in performance media, customer experience, customer relationship management, loyalty, and enterprise marketing technology drive improved marketing results and competitive advantage. With 9,000+ employees, Merkle is headquartered in Columbia, Maryland, with 21 additional offices in the US and 33 offices in Europe and APAC. In 2016, the agency joined the Dentsu Aegis Network.