Loyalty Key Point #1

#1 Improve the Customer Journey and Retain Customers with Card-Linked Technology

A Harvard Business School Study Shows That Loyal Customers Contribute Between 25% and 95% More Revenue on Average Than Other Customers. Another Study Shows That 67% of Consumers Are More Likely to Shop at Stores Where They Are Rewarded with Benefits.

There is significant financial potential in developing and creating value from existing customer relationships through a loyalty programme, rather than focusing solely on generating new leads. Many businesses have recognised this. Nevertheless, there are numerous examples of businesses whose loyalty programmes fail within the first year.

Why Choose Card-Linked Technology?

One of the most common reasons businesses struggle with traditional loyalty programmes is that they make the customer journey worse by adding too much friction at checkout. Customers often do not have their membership card to hand or discover that their discount vouchers have expired. Even when they do have the card or voucher, many still leave it in their wallet because scanning a membership card, redeeming a voucher or entering a discount code is inconvenient. As a result, they miss out on their benefits and the loyalty programme fails to serve its purpose.

Another challenge with traditional loyalty programmes is that they are often linked to membership cards, vouchers or QR codes, which makes it impossible to track customers’ purchasing behaviour. This makes it difficult to understand their purchasing preferences and improve the customer journey.

Improve the Customer Journey and Retain Your Customers

Card-linked technology avoids these challenges by turning the payment card into the membership card. Customers connect their payment card to the loyalty programme quickly, easily and securely, then receive rewards automatically whenever they shop using their usual payment card. This makes the purchasing process much smoother and more efficient, because customers no longer need to keep track of different membership cards or remember to redeem discount vouchers before they expire.

A better customer journey gives customers more reason to shop frequently, which is reflected in the bottom line. After the Swedish company Goloyal upgraded its loyalty solution to a card-linked solution, it experienced a 10x increase in purchase transactions. Similarly, the British company Intu Properties, referred to here as Capital Shopping Centres Group plc, saw a 47% increase in average customer purchases after upgrading to a card-linked loyalty solution.

Card-linked technology also gives you access to a dashboard with insights into members’ purchasing behaviour, demographics and preferences. A deeper understanding of who your customers are creates a unique opportunity to improve the customer journey and ensure it addresses their specific needs and pain points.

Learn more about how our card-linked loyalty solution can create value for your business here.