Why your loyalty program isn't enough anymore
According to research from Strategy Analytics, around the time we’re heralding the dawn of the ‘20s, we’ll be living among some 33 billion devices connected to the internet—that’s roughly 4.3 devices per human on the planet.
Even today this connected world is drastically shifting the way in which we interact with brands. Switching to a competitor is easier than ever before as we can search online and find the same product through a competitor at a better price or with a more favourable service offering. We’re taking our research, our advocacy and our loyalty to the streets, with a bigger audience and more dynamic knowledge base than at any time in history.
Having this type and volume of information available at our fingertips is fragmenting the path to purchase, giving more control to the consumer to choose how and when they want to interact. In turn, this forces brands to rethink the way they do business in order to retain customers and create long-term engagement.
Loyalty trends analysis from across the globe has highlighted similar findings, indicating consumers’ interest in loyalty programs is starting to dip as we move away from seeking rewards that are based on transacting with the brand to participate in a point-based system. The 2016 Bond loyalty report found that only 50 per cent of consumers actively use the loyalty programs they join and just 22 per cent felt programs were personalised to them.
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