In loyalty news: Another week - another big data breach, the psychology behind cash-back rewards, loyalty fraud is now something to pay attention to, two big loyalty program announcements, and CX takes center stage in Africa. Here is what we’re following …
CX
Marketers and CX Professionals Say Customer Loyalty is Driving Digital Experience
Quotable: “Nearly three quarters of marketers and CX professionals (74%) are investing in digital experiences in an effort to foster long-term loyalty and build better relationships with their customers.”
Also Read: Why Customer Loyalty Matters More than Ever
CX Strategy - Africa
Quotable: “Corinium Global Intelligence announced that it will be hosting an all-encompassing event, Customer 360 Africa 2019 Cape Town that will cover all aspects of the entire customer experience journey.”
LOYALTY STRATEGY
Why Brands Should Strive For ‘Irrational Loyalty’
Quotable: ““The brand was off the market for approximately five years as they dealt with cleaning up the plant, but when it came back there were people lined up to buy a half-gallon of vanilla ice cream,” she added. “There’s nothing more ‘irrational’ than the way consumers behaved during that crisis.”
The California Symphony doubled its audience using data.
Quotable: “The problem for orchestras isn’t lack of data, they’re awash in data,” said Jill Robinson, “The problem is focus. What Aubrey is doing is special because it’s a new generation approach, and I think other young administrators and musicians will be inspired by what they see.”
Who Shops Where for Apparel: US Shopper Demographics
Quotable: “Shopping for apparel at Macy’s tends to increase as household income rises, but the popularity of Kohl’s tails off above the $100,000–$124,999 income range.”
PROGRAM ANNOUNCEMENTS
Alliance Data Signs with Children's Clothing Company Carter's
Quotable: “Alliance Data will create a data-driven credit card program for Carter's that will integrate with the company's current rewards program, Rewarding Moments®, to provide further value to Carter's customers shopping at company-operated stores and websites in the U.S.”
Will Loyalty Program Drive Ulta Beauty in Q1 Earnings?
Quotable: “To this end, the company’s Ultimate Rewards Loyalty program is yielding results, with increased active member count. Ulta Beauty is set to benefit from robust merchandising and marketing efforts along with improved store traffic and productivity. Further, the company focuses on personalization efforts through relevant product recommendations and replenishment to boost the loyalty program.”
AIRLINES
Lufthansa To Introduce Dynamic Award Pricing
Quotable: “A Lufthansa executive has revealed that the Miles & More program will be moving to a dynamic award pricing model sometime soon. While no timeline has yet been given for the change, Lufthansa’s VP of Sales for the Americas says that “certainly that’s the direction we are going,” and that the move will “reflect the demand situation on a given flight.”
Garuda miles benefit now applicable for all Sriwijaya Air, Aerowisata group
Quotable: “In a statement made available to The Jakarta Post on Monday, the national flag carrier said the integration allowed members of GarudaMiles to enjoy various benefits and miles redemption through Citilink Indonesia, Aerowisata and operational partner Sriwijaya Air.”
CONSUMER DATA
Sen. Coons examines Amazon's data security for Alexa
Quotable: “However, Coons wrote Thursday that he was “very concerned by reports that suggest that text transcriptions of these audio records are preserved indefinitely on Amazon’s servers, and users are not given the option to delete these text transcripts.”
First American Financial Data Leak Exposed Millions of Mortgage-Related Files
Quotable: “The leak of hundreds of millions of records by real estate title insurance company First American Financial could put the most private personal information of many American consumers at risk. The documents included everything from bank account numbers and statements to tax records and Social Security numbers.”
More than 14,000 data breach reports received by UK watchdog
Quotable: “Now more than ever before, consumers recognise how highly sought-after a commodity their personal information is to organisations and are demanding more from the companies they chose to do business with …”
LOYALTY FRAUD
Are Loyalty Points Replacing Bitcoin as the Favored Dark Web Currency?
Quotable: “Travel sites are the new target of choice for cybercriminals looking to take over users accounts — called account takeover, or ATO attacks — and steal loyalty points. It’s a big business, with huge sums of money exchanged annually. According to our most recent data looking at tens of billions of daily interactions with websites and mobile apps, ATO attacks are up 65% year-over-year in 2019.”
CONSUMER PSYCHOLOGY
Cash-back shopping savings, but at what price?
Quotable: “Let’s say you have a 10% cashback offer at Target, and you spend $100. A few months later, you get $10 back in your bank account. Vana’s research suggests that you’ll perceive that money differently from another kind of deposit, like a paycheck; that you’ll see the cashback as “free money,” and you’ll likely want to spend it — quickly.”
The Loyalty Newswire is compiled and edited by the staff at The Wise Marketer.
