77 percent of French consumers participate in at least one loyalty program offered by retailers, reveals the study by Nielsen*. Over half of them declare that they shop more often and spend more in the stores with loyalty program on offer.
Only 11 percent of those surveyed joined loyalty program via the retailer’s mobile app, 7 percent use third party application, while 5 percent access loyalty program via mobile payment and digital wallet systems. Mobile apps remain most popular in Asia, particularly in Thailand, Vietnam and China, among others.
Timeless appeal of promotions
What perks do fans of loyalty program expect? It comes as little surprise that monetary benefits, such as product promotions, checkout discounts, free products and free delivery, are on the top of consumers’ wish list. 62 percent of respondents claim that they joined the loyalty program for this reason alone! Non-monetary incentives seem much less attractive, with fewer French consumers likely to be seduced by a status of a privileged client or personalization of certain products and services.
Flexibility and personalization in strong demand
Among functionalities sought by loyalty program members, flexibility seems most important. A whopping 77 percent of consumers would like to have an option to earn rewards on in-store purchases, as well as shopping online or via mobile. Also, 77 percent of consumers expect promotional offers to match their shopping habits.
While promotional leaflet seems yet unthreatened, stores will have to modify their approach to promotion by placing more focus on expectations of individual clients, claim experts.
*Nielsen Global Retail Loyalty Sentiment Survey 2016