Numerous brands across all sectors use loyalty schemes as a marketing tactic, both to encourage repeat business and to learn more about their customers. But just because they are so common, it doesn’t make them easy to get right.
In a new report, YouGov lays out key insights into the consumers that use these programmes the most, and how to maximise the value they give back to your brand. Here is a sneak peek.
The ‘holy trinity’ of loyalty – and how to achieve it
Just 13% of loyalty scheme members claim to exhibit all three of the key traits brands want: spending more, recommending more and feeling more emotionally connected. Making more purchases is the most common of the three.
Among those consumers who say loyalty schemes prompt all three behaviours, the most popular programme is Boots’ Advantage card.
Women are much more likely to be loyalty scheme members
85% of women are members of a loyalty programme, versus 70% of men, but women aged under 25 are more resistant to the idea than those aged above.
People who have have never joined one are more likely to shop with cash and prefer brands over private labels.
Consumers want money off and freebies, and not much else
Discounts are overwhelmingly the main draw of loyalty schemes, with 87% wanting a brand to offer reduced prices and 56% looking for rewards redeemable with other brands. Just over half want freebies.
Exclusive access and premium service have less appeal, with less than a quarter of people showing an interest in either.
Retail v restaurants: a question of age
In most sectors, age isn’t a big factor in determining whether people are loyalty scheme members – except in groceries, retail and restaurants.
The older consumers get the more they prioritise restaurants, coffee shops and supermarkets, while those under the age of 44 are more likely to be a member of a high street retailer’s programme.
Download YouGov’s whitepaper here to find out:
- Which other schemes outperform the average
- The ways consumers prefer to spend their points
- What brands can do better