Be honest now. How many loyalty cards have you got? I know that I have too many to carry around in my wallet. If I tried then my wallet would look like one of those comedy wallets with about 30 credit cards stuffed in randomly.
I hate going to stores where I do actually shop frequently and hearing them ask for my loyalty card only for me to reply that I forgot it. The real reason being that I didn’t plan ahead to be in the shop so I didn’t carry the card with me. The shop assistant always assures me that I can return with my receipt and card to add the points, but I know that I never will because it is too much to organise.
Forrester research has found that only 16 per cent of customers actually use and redeem loyalty points in shops. It seems that just a card and some points doesn’t make anyone very loyal at all.
There are different ways to encourage loyalty though. This Retail Gazette article details how Pets at Home utilise the fact that almost all of their employees have pets in a way that allows staff to offer pet advice. The games retailer GAME has (of course) gamified their loyalty scheme so the more loyal you are, the more status you get as a customer.
And as companies start switching their loyalty schemes over to apps or web-based tools the days of the forgotten card will be over. I might walk into a bookstore and pick up some books without my loyalty card just because I have an extra 15 minutes to kill when waiting for a friend. Now I would expect the store assistant to be able to credit the points directly to my phone – that’s something I rarely forget.
Have you found any loyalty schemes that are moving beyond the typical card and points? Let me know here on the blog or get in touch via LinkedIn.
Photo by Karen Bryan licensed under Creative Commons