The current 2014 Loyalty Report by Bond Brand Loyalty released

http://info.bondbrandloyalty.com/the-2014-loyalty-report-us

I think it had some interesting points.

Firstly, it stated that if a solid points program for purchases exist, they felt the consumer tend to stick with that company. I agree with that as both the Nextra and Lucky Charm programme show that in our marketplace it does work.

Now the study was done by interviewing 6,000 people in the US to determine what loyalty programs worked. I would expect Australian figures to be fairly similar.

According to the report, 63 percent of all consumers say they liked the brand/shop more than the loyalty program.

29 percent overall said they would not be loyal to the brand if not for the rewards program. Interestingly here report stated that for such people the programme would likely not be sustainable. Principally, as the report stated later these people mainly wanted discounts. I am sure as soon as someone is cheaper they are gone.

Most people depending on the popularity of the loyalty programme 18% to 61% LOVED communication from the loyalty programs they use. If you do not have the peoples' email or home addresses how are you going to communicate with this group?

Now this is the part that was really interesting.

22 percent said they made purchases of something they did not need in order to maintain eligibility for points or benefits, and 35 percent said they modify the brands they buy in order to maximize their benefits in the program.

The report is well worth reading, particularly if you are thinking of making a loyalty programme, you can find it on the above link.