Loyalty programs: The client does not want more physical cards
One of the goals of omnichannel is to add value to the business and the customer through personalized experiences that increase engagement with the brand. Loyalty programs are one of the ideal tools to achieve this end. But if we look at the most common loyalty programs, we find a significant gap between customer expectations and what they actually get.
Según un study Conducted by digital analytics firm Incisiv and Punch, a loyalty service provider, half of US customers find loyalty programs do not add much value. If we take into account that customers who subscribe to these programs interact with the brand up to 70% more than those who do not, it becomes clear that it is an important instrument in customer retention and satisfaction and defense of the brand. brand and that, therefore, we are faced with a major problem.
What customers expect from loyalty programs
Among the data from the Incisiv and Punch report we can highlight the following:
70% of customers prefer to manage their loyalty programs through apps. By contrast, only 26% of the top 150 retailers and restaurant chains have a dedicated loyalty app.
67% of customers expect surprise gifts. But only 28% of retailers and restaurant chains send gifts, offers or discounts on special occasions.
75% prefer instant discounts or refunds. This is perhaps one of the least met expectations, with only 16% of retailers and restaurant chains offering instant discounts on purchases instead of reward points.
And finally, 72% expect personalized rewards. Here the sector responds with 48% offering some type of customization.
Physical cards vs virtual cards
The truth is that the public is fed up with physical loyalty cards. And it is not something new, it has been happening for years. Hardly anyone likes to carry a purse or wallet full of different cards from all the shops we visit. In fact, according to Incisiv and Punch, 43% of US shoppers say that physical cards are the biggest obstacle to claiming rewards. And it is that, in reality, 57% like to participate in loyalty programs on their mobile phones, with virtual cards or with applications.
Of course, if you are thinking of implementing a virtual card for your loyalty program, remember that it should incorporate more possibilities than a simple physical card. Omnichannel offers more opportunities, customers will appreciate it and so will your business. In reality, it is very likely that, based on the data from the study, more than 70% of users participate in a loyalty program that provides access through virtual cards.
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