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Loyalty Stats That Prove The Value of Loyalty Programs

Loyalty Stats That Prove The Value of Loyalty Programs

Using past years' gathered statistics is a crucial part of making your marketing plan for the upcoming year. Looking through the numbers and data collected will help your team know what trends are out and what’s new to implement into your program. There are three different ways to look at loyalty statistics, you can see why customer loyalty is important, how businesses are using loyalty programs, and loyalty program reward statistics as a whole. Here are three statistics we picked to showcase each of those sections: 


Why Is Customer Loyalty Important?

80% ​​of customers are more likely to purchase from a company that offers personalized experiences

Making sure that you are correctly marketing your customers is key to keeping them interested in making repeat purchases and avoiding customer churn. Customers don’t want their inboxes filled with promotions and offers that do not relate to them. If you are able to gather their likes and interests then you are able to better market your programs and service towards them. It is also important to look at their past purchases because that also gives you insight into what they look for in your products and how frequently they make a purchase. A little goes a long way when it comes to marketed emails, acknowledging something as small as their birthday will make your company stand out among the rest.


How Do Businesses Use Loyalty Programs?

79% of Americans are more likely to join a rewards program that doesn’t require them to carry a physical card 

Today, companies want to make everything easier for their customers and one way to do that is to make their loyalty program both digital and omnichannel. At one time carrying a physical card and earning stamps to gain points was accepted, but that isn't the case anymore. People want their transactions to be quick and easy (which means automated) and having the option to just download an app or scan a QR code is much more practical. 

For some customers, convenience is a large factor when choosing and sticking with a specific loyalty program. According to the National Retail Federation, 83 percent of consumers say convenience while shopping is more important to them now compared with five years ago. It is important for businesses to be conscious of their customers' time and stay on top of what they can do to make their programs run as seamlessly and efficiently as possible. 


Loyalty Program Statistics

57% of consumers will buy from a brand they trust even if it is not as cheap as other options

This statistic is a great example of how building brand trust is important from the very beginning. When a customer and a brand don’t have mutual trust then it becomes more unlikely the customer will make repeat purchases or promote your brand organically through word of mouth. This will make it more difficult for your brand to prosper and grow. To build brand trust it is important to do three things: be transparent, have good customer service, and listen to your customers. Making sure your company focuses on those three things is a great step in keeping your customers around even when there are cheaper competitors. 


If you're interested in finding out more about the different values a loyalty program can provide for your business, reach out to us today