How to Overcome the Pain of Loyalty Points for Consumers
Consumers have spoken, and the time to innovate loyalty programs is now. One way to improve a brand’s loyalty program is by implementing real-time data. Implementing this into any loyalty program is a great way to overcome some of the most typical complaints like: “rewards take too long to earn”, “is my information secure?”, “program sends too many emails”, and many more. We would like to introduce some of the most common “don’ts” of loyalty programs, as well as tips for overcoming these issues.
“Rewards take too long to earn”
Consumers nowadays are used to instant gratification, and not providing that gratification is no longer acceptable to them. Fifty-three percent of consumers state that a major setback for any loyalty program is the fact that rewards take too long to earn (globalnewswire). One way brands can overcome this inconvenience and boost brand loyalty, is to show value from the very beginning, like for example offering an instant incentive at the time of sign up. In addition, the implementation of professional data can used to reshape your loyalty structure and avoid consumers waiting too long to receive their next reward. You can implement consumer lifecycle analyses to determine how long it takes for customers to receive a reward. This analysis can then be used to optimize and restructure your loyalty program accordingly.
“Rewards aren’t personally oriented”
Personalization plays a major role when it comes to the structuring of a loyalty program and data is a secure way to make sure your brand is clear of cookie-cutter offers. Seventy-seven percent of consumers agree that a brand should make their loyalty programs more personalized and the rewards more unique to each consumer (globalnewswire). A good way to make rewards more personal is to take into account their preferences and purchase history. This data can then be applied to create unique offers and experiences for different consumer and demographics making sure each customer receives a one of a kind experience.
“Is my personal information safe”
Security is another major concern for consumers, as 32% of consumers worried about the safety of their personal information when opting into loyalty programs (globalnewswire). Consumers nowadays are aware that companies and brands use data to analyze trends for marketing purposes, but brands should behave professionally and avoid going outside its comfort zone. To begin with, a brand loyalty program can start with basic information such as birthdays, locations, favorite products/services and contact information, all of which can be used to create unique rewards that are tailored to each customer individually.