While loyalty programs often focus heavily on transactions, the real opportunity lies in engaging members during the “in-between” moments. Kobie’s 2024 Consumer Research Report explores how brands can drive engagement outside of transactions, creating meaningful connections that foster long-term loyalty.
The Power of Engagement in the In-Between
Members often think about their loyalty program membership when making purchase decisions (79%) and stay up to date on their rewards (80%). These statistics highlight the potential to engage members beyond transactions. However, only 42% would stop buying from a brand if the program ceased to exist, indicating that loyalty programs are just one aspect of overall brand loyalty.
Creating Meaningfulness, Joy, and Fulfillment
The best loyalty programs create a sense of meaningfulness, joy, and fulfillment. The report shows that 69% of members find joy and fulfillment in their programs, and 77% perceive their membership as meaningful. These emotional connections are amplified when multiple emotional loyalty drivers, such as status and reciprocity, are in play. Brands should aim to understand these emotional states and leverage them to drive deeper engagement.
Engagement Opportunities
- Effective communication: The first key to unlocking engagement is through smarter communication. 72% of respondents believe that effective communication keeps their attention. Personalized, relevant messaging that invites engagement outside of transactions is key.
- Gamification and game science: Gamification has evolved from tactical elements like badges and leaderboards to a strategic approach based on game science principles. Techniques such as surprise opportunities to earn, member panels for feedback, and progress tracking towards goals can drive engagement. The report shows that 86% of members would engage with surprise earn opportunities, and 76% want to be informed of their progress towards higher tiers.
How Frequently Should You Engage?
Members prefer frequent engagement, with 85% indicating that monthly contact is optimal, and 33% desiring weekly interactions. Brands should consider these preferences when designing engagement strategies, ensuring regular, meaningful touchpoints that keep the program top of mind.
Looking to explore even more loyalty insights? Access Kobie’s full 2024 Consumer Research for four additional sections packed with valuable findings and actionable strategies, including:
- Understanding Program Health and Member Disengagement
- Boosting Loyalty Through Personalized Experiences
- The Power of Tiers in Loyalty Programs
- Navigating Loyalty Program Innovations
Read the full report to supercharge your loyalty strategy with insights that keep your brand ahead of the game!
Written By: Dr. JR Slubowski
Dr. JR Slubowski, Kobie’s Associate VP of Strategic Consulting focuses on creating engaging data-driven experiences for brands that customers love. His commitment to craft critical thought-out strategies allows him to perform complex customer analytics and to drive results with relevant data. He specializes in customer analytics, marketing communications and strategic planning.
