Reward Program Communication Lacking: Study

Don’t be surprised to find your loyal customers are greeting their rewards statement with a shrug. According to a recent study, more than two-thirds of all consumers rate their satisfaction with their statements seven or lower on a scale of one to ten.

As part of a study from customer loyalty agency Direct Antidote, consumers were asked to rank points balance statements and similar communications from “not at all relevant” to “extremely relevant. According to Direct Antidote, “despite marketers’ devotion to customized messaging, [the] results across all demographics surveyed showed decidedly average relevance scores.

Among specific cohorts, seniors reported the lowest relevance scores, with an average rating of 5.7, while young adults and Hispanics tied for the highest, at 6.9.

Seniors were also 64% more likely to report reading special offers that came in the mail than they did two years ago, when the survey was last conducted. And they were 21% more likely both to read mailed statements and respond to member surveys than when asked in 2007.

Direct Antidote offered the following suggestions for improving loyalty statement relevancy:

Create offers that appeal to the trends and values of the times, such as the green movement or recession-stoked customer frugality;

Leverage partnerships with other brands to share data, drive down costs and drivfe up the value proposition to the consumer; and

Explore alternative sources to find new ways to mien for information that is compelling to customers.