Loyalty programs are more popular than ever. According to a report from COLLOQUY, more than half of consumers have signed up for new loyalty programs within the past year. And there are even some new styles of loyalty programs, like those that utilize mobile apps, that are grabbing customers’ attention. So how many currently belong to loyalty programs for various businesses? And what types of programs are most important? We asked 1,000 respondents about their thoughts on loyalty programs and how those programs might impact their buying habits.
In Ask Your Target Market’s latest online survey, 39% of respondents said that they currently belong to many different loyalty programs. And 42% belong to at least one or two. Kroger, CVS, Walgreens, Starbucks, Amazon, Safeway, Kohl’s and Panera were some of the most popular brands mentioned by respondents that have signed up for loyalty programs.
In addition, 89% of loyalty program consumers said that they’ve signed up for programs that work through loyalty cards. 53% have signed up for online loyalty programs. And 52% have used mobile apps that are part of loyalty programs.
Looking forward, 69% of respondents said that they are at least somewhat likely to sign up for a new loyalty program of some kind within the next year. And of those respondents, 87% are likely to sign up for retail loyalty programs. 78% are likely to sign up for loyalty programs for restaurants. And 32% are likely to sign up for travel loyalty programs.
According to Personality Radar, those who are likely to sign up for new loyalty programs within the next year tend to be established professionals who are active and socially conscious. They also tend to be interested in value over just getting the lowest possible price.
More specifically, 89% of respondents said that when looking for loyalty programs to sign up for, they mostly look for discounts. 73% like getting cash back. 63% care about ease of use. 62% look for programs that are convenient. 58% said they’re interested in programs with no upfront cost. And 53% like programs that offer free gifts with purchases.
It seems that loyalty programs are likely to get even more popular over the next year. And while traditional loyalty cards are still the most popular with those consumers, more than half of them have also used online or mobile loyalty programs. So it could be beneficial for companies to at least offer a choice for those consumers, especially since loyalty program users are likely to be active professionals, so it’s likely they have mobile devices and internet access that they use regularly anyway. In addition, discounts seem to be the biggest driving factor that brands can use to entice new customers. But it’s important that brands put more of an emphasis on value than on price. So for example, calling attention bulk discounts could appeal to those customers even if it means spending a bit more up front, as long as it’s a better deal overall.
You can view the complete survey results in the widget below and be sure to click “Open Full Report” to take advantage of all the chart and filter options.
What do you want to know? If you need some consumer insights on a particular topic, let us know in the comments below and we’ll consider it for an upcoming survey post.
Results were collected on March 13 via AYTM’s online survey panel.