Internet preferred method for loyalty redemption, states survey

Internet preferred method for loyalty redemption, states survey

By HMA Staff 19 January 2011

 

Internet is the preferred medium by travellers for loyalty programs, according to the finds of the latest survey by loyalty technology solution provider Loylogic. 

According to the firm's annual frequent travellers survey, more than half (58%) of travellers prefer to earn and redeem points or check loyalty program balances online, rather than use other methods such as mobile (20%), instore (11%), SMS (4%) or Facebook (3%). 

In today's technology-based society, being connected "anytime, anywhere" is an everyday part of consumers' lives, so it only makes sense that online is the preferred method of interacting with their loyalty programs,” commented Loylogic.

 

Other results from the 2010 Frequent Traveler Survey included:

 

−        Survey takers indicated it was either very important (41%) or nice to have (45%) the ability to earn miles or points with online merchants within their own country or region.

 

−        While 75% of travellers are satisfied they can use their points or miles on what they want and when they want, 22% would like more redemption options and 3% indicate they can never use their points or miles on reward options that appeal to them.

 

−        With responses dominated by members of US-based loyalty programs, 2 out of 3 voters would like to have the ability to redeem for items that can be shipped anywhere in the world.

 

Regarding the future of loyalty programs, a ‘one-size-fits-all’ approach no longer suffices, said Loylogic.

 

“Consumers have more options and more control than ever and it's vital for businesses to provide consumers with rewards they want to earn in order to maintain customer engagement and encourage repeat business. The next generation of reward programs must offer unique, desirable and, importantly, attainable reward options. In order to increase the participation rate of businesses' loyalty programs, they must offer lower level redemption offers, to encourage earlier engagement in the loyalty program, and increased revenues over time,” it said. 

 

 

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