When analyzing your marketing campaigns and customer relationship programs, you need to address loyalty or reward programs, according to a new study.
A new white paper by the loyalty marketing consultancy Colloquy, titled “After the Meltdown: Consumer Attitudes and Perceptions About Loyalty Programs in the Post-Recession Economy,” as reported by MediaPost, reports that U.S. consumer participation in rewards programs is on the rise across all demographic segments.
The white paper examined trends in six consumer segments:
- General Population (representing a statistically distributed sample of the U.S. overall)
- Affluent (heads of household with annual incomes of $125,000 or greater)
- Millennials (respondents 18 – 25 years of age)
- Seniors (respondents 60 years or older)
- Core Women (female respondents age 25 – 49 with an annual income between $50,000 and $125,000)
- Emerging Hispanic (respondents age 21 or older of Hispanic origin with an annual household income of $40,000 or less)
Most notable were “Millennial” participants, who demonstrated a 32 percent increase in participation in loyalty programs since 2007. “Core Women” increased 29 percent and the “General Population” was up 19 percent in the same time period.
In relation to Millennials, 27 percent are actively seeking to enroll in new programs to help expand their budgets. They are also far more likely than any other demographic to enjoy engaging with programs through new media channels. More than 55 percent appreciate communicating through social networking sites and 52 percent enjoy communication via cell phone or text message.
According to the white paper’s co-author, Kelly Hlavinka, as reported by MediaPost,
“Millennials represent a golden opportunity in a time of economic darkness for loyalty marketers. This demographic is receptive to the wish-list of loyalty initiatives – eager to join programs, eager to build relationships with their favorite brands and eager to engage with new media channels. This shows a powerful opening for loyalty marketers to build sustainable loyalty with the next generation of American consumers.”
Does your building products brand utilize loyalty programs? Why or why not?
For more information about how to market to Millennials, download our free white paper here.