A successful business thrives on interacting with its customers and encourages repeat business. One of the most effective strategies for increasing customer retention is the modest loyalty program. With 63% of Millennials viewing loyalty programmes as important to them, compared to 61% of Gen X, Millennials are exhibiting a particularly great interest, and there are more memberships than ever.
Despite this interest, there is evidence that loyalty programmes are falling short of Millennials’ expectations. In contrast to 62% and 38% of non-Millennials, a concerning 70% of Millennials participate in fewer than half of the loyalty programmes to which they belong, and 50% participate in less than a quarter.
Therefore, it is important for brands to collaborate with a good loyalty programme company to meet the expectations of millennials.
Access to smartphones is essential
In a survey of 1,287 consumers, 97% of millennials responded affirmatively, compared to 69% of non-Millennials, when asked if they would be more likely to engage in a loyalty programme if they could avail it from their smartphone.
Loyalty programme companies need to ensure that the audience can access loyalty programme on their smartphones since it’s safe to assume that 87% of the millennial customers own smartphones and carry them around at all times.
When asked about the top loyalty programme annoyances, 56% of Millennials said that having to download and utilize a mobile app to access rewards, points balance, and other information was annoying, while 44% said having to log into a website was the most annoyance. So, loyalty programme companies need to resolve this issue.
Participate on their favorite platform
Through their preferred means, people want to be contacted and engaged. Brands may demonstrate to customers that they are paying attention to them by using an omnichannel strategy, which also adds a personal touch that can significantly increase engagement and general satisfaction.
When asked about the best ways to use loyalty programmes
- Among millennials, 54% believe a smartphone app is insufficient
- 28% opted to use a smartphone to send texts
- 11% opted to use a mobile wallet
- 6% opted for a computer website
- 4 percent choose Facebook Messenger
Meeting Millennials’ demands
Every generation will benefit from having a clear, usable loyalty programme that is available through a variety of channels, but there are undoubtedly some tactics that will resonate more strongly with millennials. When we looked at complaints about loyalty programmes, the findings were largely consistent across generations.
Rewards expiring before they could be used was the biggest complaint among millennials (30%), followed by not knowing when rewards were available (28%) and having to carry the card (14%). Just 22% of non-Millennials selected this as the most noteworthy generational difference in this case, which was not knowing when incentives are available.
Any Loyalty programme company trying to optimize their programmes for millennials must make sure that it is completely available on smartphones, though not always through a mobile app. Make checking the status of collected awards or point balances as simple and frictionless as feasible without requiring users to register for a website or download an app. Pay attention to the communication channels that your customers prefer and adapt your approach.
It makes excellent commercial sense to invest in meeting millennials’ expectations because they may remain loyal customers for a very long time.
Engagement
It is not surprising that millennials are drawn to loyalty programmes that engage them through numerous channels because they are a tech-savvy and highly connected generation. Brands should get in touch with an exclusive loyalty programme company to increase millennial loyalty by implementing a programme that keeps them informed about the brand experience whether they interact with them online, through a mobile app, or in-person. One such channel is social media, which has the added advantage of enabling peer-to-peer recommendations, which many millennial customers rely on before making purchases. Social media is fantastic for constant, relevant communication as well as having this additional benefit.
Brands should think about gamification tactics as well. Brands have the opportunity to build rewarding and personalized experiences that offer entertainment value to the customer while increasing engagement by integrating game-like aspects into their rewards programme.
Convenience
Even a reward programme with fun activities and engaging features won’t appeal to millennials if it’s challenging to use.
While millennials rely on technology to make their lives easier, they expect digital solutions to enhance, not replace, their experiences. This requires businesses to create loyalty programmes with #1 and cost-effective loyalty programme company like RewardPort that are user-friendly and simple to use across all platforms, including laptops, tablets, and, above all else, mobile devices. Millennials are quick to give up on apps that take a long time to load or have complicated interfaces if they do not save them time or improve their lives.
Since 76% of millennials own smartphones, mobile solutions are most suited to their constantly connected and on-the-go lifestyles. For instance, 63% of millennials are more likely to make a purchase if they receive a coupon on their mobile device while close to a store, while 45% of millennials access coupons via email on mobile devices. Loyalty programmes can benefit from common mobile techniques like real-time notifications, multichannel capabilities, personalization, or even technology like mobile wallets, much like other top mobile solutions.
Millennials respect their hard-earned money, time, and effort and despite having enormous purchasing power, people favor experiences over possessions. Brands will need to move away from tried-and-true loyalty strategies in favor of fresh initiatives that place an emphasis on experience, engagement, and convenience.
Conclusion
Every customer wants a comfort zone to fit in and RewardPort understands this necessity so we resolve it and make it lucrative. RewardPort is India’s leading loyalty programme company crafting customized loyalty programmes and solutions as per your needs in order to ensure that your customers keep coming back and with full ease it offers reasonable fairs.
Frequently Asked Questions
Can I refer prospects to your website as my partner?
Yes, it is okay to refer prospects to your partner's website. As this will not only increase their sales, but you are also going to get profit out of it.
How much time/commitment is required to participate in the Partner Program?
The level of commitment and time required varies from partner to partner. More commitment gives you better results and higher revenue. However, the required time can be flexible, and it depends on the type of partnership you have.
Is there a cost to becoming a partner?
The cost of becoming a channel partner will depend on the brand, type, and mode of partnership. Dealer partners often have ready infrastructure and customer base and may not need additional investment for brand partnership. However, franchise partners may need to invest a fixed amount and will have the brand support them with store design and inventory.
How long is the partnership agreement?
The length of a partnership agreement depends on the desires of the businesses that are coming together. The stronger the partnership is, the longer it lasts. It can be as short as 6 months and can also go up to five years or even more in some cases. You can even extend the partnership after the expiry of the partnership agreement by drafting another agreement.