Loyalty Customers Want Non-Transactional Rewards

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Consumers want to live better and be rewarded for it
Consumers want to live better and be rewarded for it

Customers are much more likely to engage with brands today than ever before; due in no small part to the democratizing effects of social media has had on communication. This goes double for loyalty customers—and now these hyper-engaged consumers are indicating that they want more creative and interactive rewards systems.

Consider this: 36% of consumers have joined loyalty programs that offer rewards for leading healthier lifestyles and other activities, according to a recent study by COLLOQUY, a loyalty intelligence company. Additionally, 87% of the 1,500 consumers surveyed for the study said they would join a loyalty program that offers rewards for activities other than spending. In fact, 84% said they would actually spend more with retailers that offer points for activities other than spending.

“Today's savvy consumers increasingly are interested in selecting loyalty programs that provide incentives for actions that fall outside the realm of purchasing transactions,” says Jeff Berry, research director at COLLOQUY. “That specifically includes non-consumption activities such as living a healthier lifestyle, sharing on social media, exercising more, and practicing energy conservation.”

Nearly all of the consumers surveyed (89%) said they would be more likely to visit a retail location of a retailer that rewards customers for non-transactional activity. For example, 86% said they were more likely to like a company on Facebook and 86% said they were more likely to do things to better the environment if they earned rewards for doing so. According to the study, 83% of consumers are motivated by incentives for non-transactional activities such as talking about a company on social media or checking in to stores.

“Savvy entrepreneurs recognize that rewarding good behavior makes good business sense,” COLLOQUY's Berry notes. “Businesses have learned that information about daily activities outside their brand can be used to better understand what motivates and inspires their best customers.”

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