Statistics on customer loyalty programs

Loyalty programs help businesses drive purchases and sales through building relationships with their customers while establishing customer loyalty. The key factor in an effective loyalty program is its mutually beneficial nature , where both the brands and their customers gain value out of it. For the brands, it helps with retaining existing customers and increasing the customer lifetime value.

For the customers, they are rewarded for shopping with the brand. Instead, word-of-mouth recommendations have become one of the key drivers of growing and retaining customers. Here are 15 customer loyalty statistics highlighting the importance and impact of customer loyalty on businesses and their customers.

Consumers who engage in high-performing loyalty programs are twice as likely to increase their frequency of purchases. Written by: Kendra Lusty. Products ». Read More ». Don't see what you're looking for? Contact us today to discuss custom solutions for your organization. Employers Make the workplace a better place with America's best employee discount network.

Associations Take your benefits from ordinary to extraordinary, and make membership a no-brainer. Alumni Organizations Attract and engage your alumni — no matter how far from campus life takes them. Previous Next. Contact Us. Trending Posts. Plus, these shed light on various loyalty programs that heighten the interest of the customers and prompt them to be a part of one.

The best part of having a customer loyalty program is to see how your customers promote your brand with their peers and relatives. And, positive word of mouth publicity can help your business expand and gain more benefits. Loyalty programs tend to help a business make more revenue because customers like getting good discounts. And when customers get their desired discounts and offers, they tend to purchase more from the same brand and spread the word amidst their known ones.

This tends to boost the revenues for a business. Loyalty programs have witnessed steady growth from because of the deals they have to offer to the customers of a brand. And more exclusive deals tend to boost the confidence among customers that their partnership with a brand is valued via these programs. Another study by Statista confirms that the reason why loyalty programs are a hit among customers is that they love getting good discounts on their purchase.

And this prompts them further to engage with a brand for future purchases. Takeaway: These customer loyalty and engagement benefit statistics help us to understand why loyalty programs are so popular among customers and how business owners end up receiving improved revenues.

Over a period of time, customer loyalty has become one of the top priorities for brand marketers to judge how a business is performing. Along with customer experience, the B2B industry is now focusing on improving customer loyalty programs to match the existing expectation bar.

Takeaway: Customer loyalty statistics on B2B industry help you understand that customer experience or satisfaction are not the only factor to determine how a business is performing amidst the competitive market.

Loyalty stems not only from the program that a brand starts. What close friends and family members say and spread tends to change what people think of a brand. And social media is increasingly becoming one such platform such customers share their thoughts expressively.

These customer loyalty statistics describe how customers would instead prefer to have exclusive offers than being approached through the information provided on social media or to their website.

Your brand should be transparent to increase loyalty among your customers. Such statistics about customer loyalty describe how consumers tend to readily rely on companies where CEOs are more transparent about the developments of the company on social media and are regular on keeping their followers updated.

To keep your customers engaged, it is important to keep your social media brand pages updated with new announcements and existing offers. This would especially work well with those who hold your loyalty card membership. Takeaway: Customers like it when brands are transparent with them. These customer loyalty statistics help us understand the growing relevance of social media for true brand loyalists and their increasing expectations in terms of transparency.

Your customers tend to take action in a fraction of a second. So just in case, they face a bad experience in terms of support or product purchase, they are likely to leave your brand and move on to your competitors. Another reason why it is hard to retain your existing customers is that they do not feel rewarded for their loyalty. This customer loyalty statistics for gives you all the more reasons to work upon improving your loyalty programs. This study from Kelton gives you all the more reason to learn why you should listen to your customers and customize your existing loyalty programs.

This study by Mckinsey helps you understand that customers who end up spending more might not be as loyal to those who shop once in a blue moon. Customers who end up paying more are more likely to check out your competitors too. The aforementioned customer loyalty statistics for focus on various reasons where customers are more likely to leave the brand and shop with your competitors.

Seeking customer feedback on how to improve the existing services or products is a great initiative to improve the customer satisfaction score. This also adds value to customer experience. This customer loyalty statistics focuses on how your brand loyalty can easily increase if you have convincing representatives at your organization. Share of consumers who see retail brands as trustworthy in the U. Other interesting statistics Disliked factors about loyalty programs in the U.

Business types with which consumers have loyalty programs in the U. Valuable features of loyalty programs according to consumers in the U. Canada: likelihood of consumers to enroll in a loyalty program at c-stores Ranking of Chinese global consumer electronic brands according to BrandZ Change in loyalty towards brands among U.

Main reasons for obtaining a loyalty or rewards membership among U. Customer satisfaction index of U. More interesting topics Related topics. Brand value. Brands on social media.

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