Through a special arrangement, what follows is a summary of an article from COLLOQUY, provider of loyalty marketing publishing, education and research since 1990.
More than half of American loyalty program members (54 percent) are unhappy with the reward options offered by their favorite brands and 48 percent have experienced frustration during the reward redemption process, according to the 2014 Colloquy/FanXchange Customer Engagement Survey.
In another revealing finding, 93 percent of U.S. consumers said the type of reward offered is a "very important" or "somewhat important" factor in their decisions to join a loyalty program and to remain engaged with a brand.
Also from the research: American consumers rate live event tickets — concerts, sports or theater — as more appealing (56 percent) than airline tickets (44 percent).
"The competitive marketplace can leave programs scrambling for the best ways to entice members to join and stay engaged," Colloquy research director Jeff Berry said in a press release. "To combat this, savvy brands should consider offering experiential rewards, especially to live events that provide an opportunity to connect with members on a more emotional level."
"Americans are thrilled to see their favorite teams or bands perform live," FanXchange President Morley Ivers said. "It's a motivating and memorable experience that increases engagement with the rewards program making it possible."
Consumers said that in addition to unappealing rewards, the reasons for their frustration with the redemption process were expired points (43 percent), not enough points to redeem (39 percent) and the reward item not being available (37 percent).
Some other key survey findings:
- Once enrolled, 43 percent of American consumers have purchased more frequently because of reward offerings or customer loyalty program membership;
- Within the live-event ticket category, consumers ranked concerts (44 percent) and theater experiences (44 percent) highest, with sporting events being the top choice of 37 percent of respondents.
The findings were based on a June online survey of 1,003 American consumers.