Latest news with #loyaltyprograms
News.com.au
4 hours ago
- Business
- News.com.au
All of the changes coming to your loyalty programs as of June 30
Some of Australia's biggest brands are set to shake-up their loyalty programs in the new financial year. Changes will come as early as Monday morning with some brands dropping perks, and other merging their loyalty programs into larger ones. But one loyalty program will be gone forever. Qantas Frequent Flyer The flying kangaroo is set to partner with David Jones to allow shoppers to redeem Qantas points at the department store and David Jones customers to redeem their reward points at the airline. Customers will have to link their memberships through the David Jones mobile app. David Jones CEO Scott Fyfe said: 'Our customers are at the heart of the 187-year-old David Jones business, and we look forward to recognising and rewarding them with a new market leading premium loyalty experience. While Qantas Loyalty chief executive Andrew Glance said that half of Qantas Frequent Flyers already shop at David Jones regularly. 'The number of points members have earned through retailers has doubled in the last five years, and we anticipate it will double again by 2030, as we expand our footprint across a growing range of retail categories,' Mr Glance said. The program will launch later this year. Virgin Australia Velocity Frequent Flyer Virgin have introduced changes to 'Status' levels within their Velocity program. The changes are designed to simplify the process of attaining a silver, gold or platinum membership, by ensuring that 50 per cent of the credits earned towards the program are on Virgin Australia flights flown by the customer. These changes will come into effect from October 1. Just Shop Rewards The loyalty program for brands including Just Jeans is closing up shop and merging with Myer, following the retail giant's acquisition of the Just Group. From 1 August customers at the Just Group's retailers will earn Myer one credits. Retailers under the former Just Group brand include Dotti, Jacqui E, Jay Jays, Just Jeans and Portmans. Any points that customers have earned through the Just Shop Rewards program will be valid up until July 26, after which they will be forfeited. Supercheap Auto Club The auto company's 'Best Price Credit' perk will be retired as of June 30. The system was popular as it meant that if a product went on sale within 14 days of purchase the difference would be refunded to customers in store credit. Instead a new 'Spend & Get' system is being introduced, giving a $5 credit to customers for every $100 spent. From July 21, Target Shop+ will be discontinued altogether. Target said that the company has made a 'business decision' to move away from the app-based loyalty program. Any rewards earned can be redeemed even after the program discontinuation, as per any validity period on the reward.
Globe and Mail
a day ago
- Business
- Globe and Mail
Digital Silk Releases Report on Customer Loyalty Trends
New York, New York--(Newsfile Corp. - June 27, 2025) - Digital Silk, an award-winning digital agency focused on creating brand strategies, custom websites, and digital marketing campaigns, has released a new data-driven report highlighting the current state of customer loyalty. Based on aggregated insights from over 30 sources, the report outlines key statistics U.S. brands can potentially use to inform customer retention strategies. Customer Loyalty Trends Reveal U.S. Brands May Be Underestimating Retention Opportunities, According to Latest Digital Silk Insights To view an enhanced version of this graphic, please visit: According to the report, 65% of a company's revenue may come from existing customers, yet 44% of businesses focus more on acquisition than retention. Meanwhile, 77% of consumers report staying loyal to specific brands for ten years or more, suggesting a long-term engagement potential that may be undervalued by marketing teams. The Growing Impact of Emotional Loyalty and Rewards Programs The report also shows that emotional connections and personalised experiences continue to play a critical role in brand loyalty. In fact, 76% of customers say they'd remain loyal to a brand that understands them on a personal level. Data also suggests that loyalty programs remain a powerful tool. Nearly 84% of U.S. consumers are more likely to stay with a brand that offers a loyalty program, and 66% of shoppers say earning rewards affects their purchasing behaviour. "Loyalty is no longer just transactional. Brands that align their values with those of their customers and offer relevant, data-backed incentives are the ones more likely to retain long-term relationships," says Gabriel Shaoolian, CEO at Digital Silk. "These insights help businesses re-evaluate how they approach engagement beyond the initial sale." Highlights from the Full Report The full article, Customer Loyalty Statistics: Trends Driving Brand Retention in 2025, features over 50 updated data points from leading sources. Among the key takeaways: 65% of a company's revenue may stem from repeat customers 77% of consumers have remained loyal to certain brands for over a decade 84% prefer brands that offer loyalty programs 70% of emotionally engaged consumers spend up to 2x more on their preferred brands 86% of buyers say personalization influences purchasing decisions These findings suggest that strategic customer engagement can potentially impact profitability and long-term brand success. Why This Matters for U.S. Brands in 2025 As customer acquisition costs continue to rise, businesses across sectors are revisiting how loyalty strategies influence lifetime customer value. Digital Silk's research points to a clear opportunity for companies to assess whether their current approach to retention is aligned with consumer expectations and behaviours. About Digital Silk Digital Silk is a full-service New York branding agency focused on growing brands online. With a team of seasoned experts, Digital Silk delivers industry-leading digital experiences through strategic branding and cutting-edge web design to support engagement and digital marketing services that help improve visibility.
Skift
2 days ago
- Business
- Skift
Airline Loyalty: The Financial Powerhouse at the Center of Airline Strategy
Report Overview Skfit Research's latest deep dive into the airline sector focuses on loyalty programs. These programs have become significant financial powerhouses, with some experts arguing that the value of an airline's loyalty program can even surpass that of the airline itself. This is partly because loyalty programs often demonstrate better growth and higher profit margins compared to the core airline business, while also generating steady cash flows. This report examines why low-cost carriers have not achieved the same level of success as full-service airlines in developing effective loyalty programs. It examines whether there are strategies these carriers can adopt to create successful and engaging programs. With technology now at the forefront of changes in airline operations, the report also considers whether advancements in technology can enhance loyalty offerings or if airlines will continue relying on traditional "earn and burn" models.
Forbes
5 days ago
- Business
- Forbes
Loyalty Programs Are Broken — Blockchain Is The Solution
Loyalty programs For years, loyalty programs promised sustained customer relationships and revenue. Yet, anyone who's navigated labyrinthine redemption portals or seen points expire knows the truth: traditional loyalty programs are fundamentally broken. The flaws are clear. Engagement rates are shockingly low. A recent Capital One Shopping report indicates that while the average U.S. consumer is enrolled in 19 loyalty programs, active participation is only around 49%. This suggests nearly half of the memberships are dormant, failing their core purpose. Furthermore, industry estimates reveal hundreds of billions in unredeemed loyalty points globally, a stark testament to illiquid loyalty currencies and program inefficiencies. Consumers also face fragmented points systems that restrict redemption to a single brand, or limited, unappealing catalogs. Lack of transparency around point value and expiration breeds mistrust. Centralized systems result in low program interoperability, and high operational costs often erode the very profits they aim to boost. Beyond just active engagement, basic enrollment also presents a mixed picture. According to a recent Prosper Insights & Analytics survey, while overall participation in customer loyalty programs averages about 50% across all generations, there are significant differences. Boomers show the highest participation (approximately 58%), while Gen-Z has the lowest (about 45%). This generational disparity, combined with widespread low active engagement, exposes the limitations of fragmented, legacy systems. Prosper - Customer Loyalty Programs Blockchain: The Solution This is where blockchain technology emerges, not as a fleeting trend, but as a genuine fix for these systemic issues. By decentralizing loyalty programs, blockchain offers unparalleled transparency, flexibility, and security, cultivating an environment where loyalty can truly flourish. Imagine a future where your airline miles seamlessly convert into points for your daily coffee, a streaming service, or even become exchangeable for other digital assets. This is the core promise of blockchain-based loyalty: points become liquid, valuable digital assets that users genuinely use like money. Say goodbye to forgotten or unredeemable points. One of the most compelling aspects is enhanced transparency. Every transaction, from earning to redeeming, is immutably recorded on a distributed ledger. This eliminates doubts about hidden rules or point depreciation. For brands, this drastically reduces fraud, as all transactions are verifiable and tamper-proof. Blockchain's immutability ensures earned loyalty points are secure, fostering unprecedented trust. Crucially, blockchain's architecture can also deliver real-time, transparent data insights for brands without compromising user privacy. Instead of centralized PII storage, blockchain solutions can leverage anonymized or pseudonymized data. This provides aggregate behavioral patterns, allowing brands to understand customer preferences and tailor offers effectively, all while adhering to strict data protection regulations like GDPR. Gabriele Giancola, founder of qiibee, a pioneering blockchain loyalty solution, highlights this dual benefit. "The true value of blockchain for loyalty," Giancola states, "lies in its ability to empower both sides. Consumers gain instant points liquidity and flexibility over their earned value, while brands acquire real-time insights into customer behavior and campaign effectiveness, all within a privacy-preserving framework. It's a shift from fragmented silos to an interconnected, value-driven ecosystem where everyone thrives." Navigating Regulations and Adoption The path to widespread adoption involves addressing regulatory complexities and practical challenges. The evolving landscape for digital assets, particularly regarding their classification, demands meticulous consideration. Companies implementing blockchain loyalty must ensure compliance with relevant financial, consumer protection, and data privacy frameworks across various jurisdictions, often requiring specialized legal guidance. Moreover, mass adoption hinges on user-friendliness. Consumers prioritize seamless, rewarding experiences. This means intuitive interfaces, frictionless earning and redemption, and immediately evident benefits are paramount. Robust, scalable solutions are therefore essential for success. Giancola adds, "For blockchain loyalty to truly go mainstream, it must feel as effortless as a tap of a credit card but deliver value far beyond it. The underlying tech must be invisible; the benefits, undeniable." qiibee: A Real-World Blockchain Solution qiibee is actively bridging this gap. By providing a decentralized, enterprise-grade blockchain infrastructure, qiibee empowers brands to tokenize their loyalty points, transforming them into valuable digital assets. This fundamentally redefines the brand-consumer relationship. Here's how qiibee's blockchain-based solutions tackle common issues: Success Stories: Brands Leading the Charge Several prominent brands are already leveraging blockchain loyalty solutions, demonstrating tangible benefits and paving the way for broader adoption. Consider Miles & More, a leading airline loyalty program. Their exploration of blockchain-based loyalty signals a progressive approach to enhancing flexibility. Similarly, Moda Health has investigated how blockchain can revolutionize health and wellness incentives. These examples, though specific implementation details with qiibee are part of ongoing advancements, underscore a clear trend towards dynamic, blockchain-powered loyalty programs. Furthermore, innovative platforms like Starbucks Odyssey utilize NFTs as a loyalty mechanism, providing unique digital collectibles that unlock exclusive real-world experiences. Similarly, Nike's .SWOOSH platform integrates Web3 to forge a new dimension of brand interaction and loyalty through virtual products and digital experiences. These instances highlight a growing recognition: genuine loyalty in the digital era demands innovation, transparency, and a true transfer of value and ownership to the consumer. The Future of Loyalty The limitations of traditional loyalty programs are increasingly evident. Blockchain technology offers a robust, secure, and transparent framework to revitalize these programs, transforming them from mere discount schemes into dynamic, interconnected ecosystems of real value. For forward-thinking brands, embracing this shift is not just an option—it's an imperative for cultivating lasting customer relationships. The broken model of yesterday is yielding to the blockchain-powered solution of tomorrow, promising a more engaged, rewarded, and loyal customer base. For users the most compelling aspect, is actually that they points are more liquid and valuable because there is a higher program interoperability, means consumers have more options to earn, spend and convert their points This can be done, but is not the best use case. Storing all transactions related to the loyalty currencies by tokenising points, is actually the most valuable use case This is also how then brands can check in an anonymous way the earning and spending behavior of a certain wallet and understand the consumers better
CBS News
19-06-2025
- Business
- CBS News
These are the top airlines in the U.S., according to The Points Guy
Looking to travel this summer but not sure which airline to fly for the best experience? The Points Guy (TPG), an online site dedicated to improving consumers' travel experiences while helping them save money, has revealed its annual ranking of the best airlines in the U.S. Founder and CEO Brian Kelly said the site ranks airlines based on four criteria: a carrier's reliability and performance; passenger experience; its cost and reach; and the quality of its loyalty or rewards program. Recent carrier meltdowns have travelers thinking more carefully about which airline — and through which airports — they want to fly. "This is not just my personal decision," Kelly told CBS Mornings. He also explained how the company weighs each metric. "We have a formula. We use lots of data. This isn't us just sticking our finger up in the air and kind of playing favorites. We look at reliability, first and foremost." "When you buy airfare, you need to get to where you're going, so we give a huge amount — 30% — to reliability," Kelly explained. Some airlines are going the extra mile to make flying more enjoyable for customers, from the minute they step foot in an airport through touchdown. For that reason, TPG assigned a 25% weight to an airline passenger's experience score to determine its overall ranking. An airline's cost and reach — including how expansive its network of destinations is — was assigned a 20% weight. And one-quarter of an airline's score was determined by the quality of its loyalty of rewards program. How the airlines stack up Delta Air Lines topped the list for the seventh year in a row, with its relative strength across all categories earning it the highest ranking, according to TPG. It is the most reliable on-time airline in America. It also provides passengers with free wi-fi, a wide selection of inflight entertainment options and meals from Shake Shack. United came in second place, rising from third place last year, aided by an improved onboard experience. It could continue to climb the rankings next year after announcing a partnership with JetBlue that will expand the airline's reach and improve perks for its loyalty members, TPG said. Weighing on the airline, though, is United's outsized presence at Newark Airport, which is suffering from persistent equipment and staffing issues. Southwest Airlines moved up two spots to earn the No. 3 position. Working in the airline's favor is its low flight cancellation rate, which is the best of any of its competitors. While it scored points in the cost and reach category, recent changes in fee structures could end its reign. It recently ended its popular "bags fly free" policy and offers a new, basic economy fare. Here are the full rankings, according to TPG: Delta Air Lines United Airlines Southwest Airlines Alaska Airlines Hawaiian Airlines JetBlue American Airlines Allegiant Air Spirit Airlines Frontier Airlines
