CMO Council Study Finds Marketers Under-value Loyalty Programs

• Deriving valuable insight and intelligence (38 percent)

• Delivering more personalized offers and inducements (34 percent)

• Creating more customized communications (33 percent)

Digital marketing channels are definitely taking precedence in ways marketers promote their loyalty and rewards programs. Nearly 60 percent rely on web sites, nearly 60 percent on email, 47 percent on word-of-mouth, 46 percent on point-of-sale information, 42 percent on direct mail, and 39 percent on a sales or service representative. Most member communication is monthly (30 percent), while 20 percent interact with members on a daily, weekly or bi-weekly basis. Cost-efficient email is the preferred mechanism for member communication among 84 percent of marketers, followed by printed mailings and statements (51 percent), corporate web sites (45 percent), dedicated club sites (32 percent), SMS text messaging (24 percent), and social networks (16 percent).