It is very interesting how some brands are thinking about the value of customer data - and we have some creative examples in the latest Loyalty Newswire. If you’re wondering whether brand loyalty is dead (it isn’t), we’re tracking that too. Who knew that instagramming was responsible for a big chunk of loyalty fraud? There is a lot to report on loyalty program launches and re-launches, and another great example of loyalty being used for good. Here is what we’re following in loyalty news:
Will Consumers Want to Monetize Their Own Data?
Quotable: “The consumer has zero idea about how much data is being sold about them on a daily basis, and how much data is being aggregated against them. If they knew, they wouldn’t put up with it,” he said. “Everything is being tracked.”
How Brands Like BMW Derive Valuable Consumer Data Using Reciprocal Exchange
QUOTABLE: “New Balance opened a pub in London called “The Runaway,” where visitors can exchange their miles-run data as logged on fitness tracker app Strava for rewards …”
What does the FTC’s new task force mean to data aggregators?
Quotable: “Notably, federal and state regulators do not list what specific statutes or regulations they should be enforcing or how the accumulation of big data by tech companies may violate those statutes and regulations.”
Is Brand Loyalty Dead?
Quotable: “Most consumers surveyed (73%) said they were willing to switch in at least one of the eight categories covered. Grocery (80%) and apparel (72%) shoppers were the most likely to be willing to consider a switch. More than 50% of respondents, however, were willing to try a new brand in every category except jewelry and luxury goods, where only 46% said they were open to a change.”
Technology Will Bring Back Customer Loyalty
Quotable: “The loyalty chasm is real, and technology can be the golden ticket to ensure loyalty among the younger generations of travelers.” While the article makes some solid points regarding the current & next waves of technology, I refer to a recent article in The Wise Marketer with a slightly different take.
Amazon Prime expected to reach majority of U.S households in 2019
Quotable: “A recent prediction from eMarketer estimates 51.3% of U.S. households will be Amazon Prime members by the end of 2019. That represents about 70 million U.S. households, up from the 58.7 million classified as Prime members in 2018.”
Loyalty fraud on fashion e-commerce increased 47 percent in 2018
Quotable: “Account takeover increased 45 percent in 2018. Fraud rings went up 25 percent last year and Forter predicts it to grow even more in 2019 because fraudsters understand they can do more damage when working together.” “Another way consumers and fraudsters can cheat the system is by abusing a store’s return policy. A recent survey commissioned by UK credit card company Barclaycard revealed nearly one in 10 shoppers admit to buying clothes only to take a photo on social media.”
Win Customer Loyalty With a Dynamic Approach to Mobile Rewards
Quotable: “Studies show mobile devices now generate more than a third of all U.S. retail e-commerce sales — a rate expected to hit 53 percent by 2021.”
C-STORE & FUEL
Phillips 66 Is Leveraging the 5 Fundamentals That Drive Loyalty
Quotable: “Any fuel retailer who has conducted a mystery shop is familiar with the basics of a strong forecourt and backcourt offer. For Phillips 66, which has more than 7,500 sites carrying the Phillips 66, 76 and Conoco brands, it comes down to five fundamentals: clean, operational and well-stocked fuel islands; a positive interaction with the store cashier; that cashier in uniform and wearing a name tag; clean restrooms; and a clean, well-lit store.”
Kroger forms partnership with Pinterest
Quotable: “Our intentions are simple: We want to enable brands to create engaging moments with consumers in an effective and efficient manner,” said Cara Pratt, vice president of customer communications product strategy and innovation at 84.51°, Kroger’s customer data and analytics arm. Kroger noted that it captures 96% of all transactions through its loyalty card …”
LAUNCHES & RE-LAUNCHES
Millennium Hotels & Resorts Launches New Loyalty Program
Quotable: “Exclusive experiences with a wide range of partners are also designed to enrich the potential of the program, from exclusive partnerships with Chelsea Football Club, to accessing special shows at the Hudson Theatre in Broadway or discovering Rotorua away from the tourist areas.”
Marriott International extends partnership with Mercedes-AMG Petronas Motorsport
Speaking of experiential loyalty … “Among some of the money-can’t-buy experiences on Marriott Bonvoy Moments that members will be able to bid on with their Marriott Bonvoy points are: Spending the night on the exclusive Mercedes-AMG Petronas Motorsport luxury yacht during the Monaco Grand Prix and enjoying full hospitality during race weekend. Or being chauffeured by Lewis Hamilton and Valtteri Bottas to the circuit on race day. And this: Manchester United & Marriott launch joint loyalty initiative.
Sephora Credit Cards Are Coming, and They'll Have Special Perks
Quotable: “Allure reports there's not going to be one company credit card, but three: the Sephora Credit Card, Sephora Visa Credit Card, and Sephora Visa Signature Credit Card.”
The Strategy Behind Chipotle’s Loyalty Play
Quotable: “But what’s great about the enrollment is it’s a lot of light and lapsed users as opposed to just your heavy users signing up. And the reason why that’s important is because once we get the information, we then have the ability to now test what actually does change people’s purchase behaviors.”
B.C. casinos could use loyalty programs to target problem gamblers
Quotable: “Artificial intelligence (powered Loyalty programs) could be used to identify problem gamblers so casinos can withhold online ads, suggest gamblers take a break or suggest they get help before they reach a critical addiction stage, an artificial intelligence specialist predicts.”
The Loyalty Newswire is compiled and edited by the staff at The Wise Marketer.