As many as 57% of shoppers leave a loyalty program because it takes too long to earn rewards, and 53% leave because a program did not provide rewards they were interested in, according to a COLLOQUY study. While retailers have long sought to drive customer retention and repeat business with these programs, it’s increasingly apparent that there is a disconnect between what shoppers want out of a retail loyalty program and what most retailers are willing to offer.
The next generation of loyalty isn’t about simply trading dollars for points — 61% of brands offer both experiential and monetary benefits, a big jump compared to the 47% that did so in 2017, according to Gartner L2.
This Retail TouchPoints special report will provide examples of how loyalty is evolving, while highlighting the growing impact these changes have on shopping frequency, average spend, advocacy and referrals. It also will examine ways retailers are trying to meet changing customer expectations, including:
- Why human interaction is still the most important aspect of building customer loyalty;
- How lululemon and Lilly Pulitzer use “loyalty-like” elements, such as personalized content, to bolster their site and email experiences;
- Why events can create a sense of “special access” to a retailer; and
- How identifying the most profitable customers leads to increased brand advocacy.
