Consumers Belong to More Loyalty Programs than Ever
As brands look to increase consumer engagement many are turning to loyalty programs to do help spur excitement and action among their shoppers.
COLLOQUY, a publishing, research and education firm, has recently released a new census that indicates U.S. customer loyalty program membership have topped 3 billion for the first time.
The new report shows the average U.S. household belongs to 29 loyalty programs spread among various sectors of business, yet, is only active in 12 of them. While U.S. households belong to more loyalty programs (on average) than in 2013 (29 opposed to 22) and are active in more (12 as opposed to 9), the active membership rate for loyalty programs has dropped from 44 percent to 42 percent.
Interestingly, when compared to COLLOQUY’s 2013 loyalty program census, drugstores saw the second highest rate of membership growth rising 88 percent to a total of 268 million memberships, trailing only restaurant programs, which grew 107 percent.
“Think of the U.S. loyalty market in terms of a crowded party where half of the party-goers are standing in the corner without mingling,” said Jeff Berry, COLLOQUY research director and census report author. “Companies and brands that understand the key touchpoints in the relationship, pay attention to how best customers respond and optimize the overall experience can turn the party up so that people will join in the fun and never want to leave.”