most creative loyalty programs

Loyalty Program Examples: 12 Ideas to Inspire Loyalty

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Loyalty Programs are awesome that's why they’re everywhere! Are they worth it? Are they a good fit for your business? Let’s find out.

There are tons of loyalty programs out there right now - so many that your average customer participates in about 14 programs. Of those loyalty programs a shopper is expected to use only half of them. This means there is an underlying issue that we need to identify!

When the meaning of loyalty programs is misunderstood, they fail to accomplish their goal and end up as expensive giveaways.

So does it mean that you should give up on loyalty programs ?

Of course not. After all, loyalty programs can be game-changing. What's important is how you make that program count. This article will give you everything you need to craft a unique loyalty program. We also provided 12 creative examples of loyalty programs. These brands managed to create meaningful experiences which is what’s most important!

What exactly are Customer Loyalty Programs?

Customer loyalty programs are incentive-based strategies that target customer retention and repeat purchases. Loyalty programs are a strategic alternative to standard discounts which focus on extracting customer lifetime value as opposed to simple product turnover. As a more customer-centric solution loyalty programs are widely considered the more versatile and strategic option. Loyalty Programs are especially important in e-commerce where lead generation is considered expensive and often inefficient.

The ultimate goal of loyalty programs is to capture interested customers and to sustain an incentive-based relationship. Loyalty programs are most effective in a competitive environment with comparable products and where an emphasis on the customer's experience is essential. Brands attempt to use loyalty programs to prevent brand-switching and create meaningful relationships relative to their resources.

One of the most prominent advantages of loyalty programs is how they can strategically direct customer engagement toward value-building interactions. It’s common to see loyalty programs working in conjunction with important e-commerce features like reviews, social media, and referrals. Businesses have full control over point balances and earning methods. This gives them an element of strategy and the ability to nudge customers toward intended interactions.

Loyalty programs can vary greatly with the simplest example being punch cards from coffee stands, and on the sophisticated side of the spectrum we have luxury loyalty programs. In terms of implementation, one can be considered too simple and the latter too complex. In the middle, a mix of sophistication and quality, we have e-commerce apps and integrations. These are the most common tools available that also deliver a more advanced experience suitable for the majority of businesses.

“Customer loyalty programs are essential in a competitive business environment, especially with high levels of brand switching and where customer service is important.”

What do customers expect from Loyalty Programs?

Customer expectations are central to the success of any loyalty program, and sooner or later you’ll find yourself trying to impress loyal customers. Afterall, retention is crucial for a modern business, which is why new loyalty programs are emerging at what seems to be record pace. Having just another run of the mill loyalty programs is a sure way to slip through the unnoticed, and so businesses are naturally looking to differentiate themselves. 

Intuitively, brands are trying to understand customer expectations in order to craft more engaging loyalty programs. Besides the obvious like usability and clarity of information, there are also a few points that we know already. The main idea is to focus on creating a strong impression while trying to avoid repetitive themes. The most creative programs tend to attract the most attention which is the inspiration for this article.

While loyalty programs we need to understand their limitations. Customer loyalty programs are meant to accentuate your brand and not replace a great product. The better your loyalty program fits into your brand the more refined it appears to customers. 

What are the benefits of Customer Loyalty Programs?

Just as customers have their expectations of loyalty programs, businesses need substantial cause for their implementation. We recognize retention as an indicator of a brand's long-term viability and an important milestone in the growth process. Loyalty members are often seen as being the most receptive and communicative customers, so let's check out the benefits.

• Attracts Customers and Encourages Customer Engagement: 

With the presence of rewards and other advantages customers are more willing to engage with a brand. Loyalty benefits have been historically used not only for retention, but also as a tool to capture new customers.

• Increases Repeat Purchases and Customer Lifetime Value: 

In ecommerce where retention is especially important, loyalty programs fit the criteria perfectly by incentivizing long-term relationships with customers. By thinking more long-term we are able to increase the value we derive from the average loyalty member and the number of purchases they make.

• Enriches Customer Experience and Builds Relationships: 

Loyalty programs have been known to make the shopping experience more enjoyable and the rewards satisfying. By establishing communication it's possible to also create memorable relationships with customers.

• Customer Interactions Assist in Scaling your Platform: 

Point earning methods can be combined with additional features like social media, email automation and more. This process works by incentivizing customer interactions towards value adding actions like: leaving reviews, social media shares, or referrals.

• Analytics Provide Deep Insights into Customer Behavior:

Every customer interaction is captured and available for analysis, it's also possible to monitor individual customers based on their history. Loyalty programs generate data that would otherwise be unavailable and serve as a source of great insight.

• Differentiates your Brand in a Competitive Environment:

Loyalty programs can serve as a major differentiating factor in a competitive environment. It’s possible to attract and retain customers long-term, while also preventing brand switching. Loyalty programs can help a business grow even with the presence of competition

Main Types of Loyalty Programs

01. Point Programs

The most common and straightforward customer loyalty programs use points that customers earn from either shopping or interacting with your store. Customers typically have several ways they can earn and spend points, giving them a sense of personalization and freedom. These points are storable and permanent, serving as a long-term strategy for customer retention. They are highly versatile and businesses have full control over the type of rewards they issue and how customers earn points. These programs are mainly value-based, with the average customer seeking some sort of discount or benefit for loyalty. They are effective in preventing brand switching, particularly in environments with multiple competitors.

02. Tiered Programs

Tiered programs are similar to point programs but with the addition of progressive tiers that increase in value. As customers shop at a store they accumulate points that work towards a specific tier criteria, once those requirements are fulfilled customers are upgraded with a bundle of extra rewards. These loyalty programs focus on continuity, attempting to retain customers for longer and longer. These tiered programs are applicable to a broad variety of segments, but are ideal for businesses that emphasize on quality.

03. Partner Programs

Partner programs are loyalty programs that utilize strategic partnerships through co-marketing. They work best when partners have similar audiences that do not interfere with each other. They can help drive traffic and generate interest through attractive rewards from partners. These types of loyalty programs can reward free tickets to events or work together to create a specialized product. They can use their brand recognition to create exclusive access opportunities and even in their high level marketing.

04. Exclusive Programs

Exclusivity programs are designed to enhance a brand identity by limiting access to certain products or events. By limiting access these loyalty rewards highlight the rarity of a reward and the esteem of their brand. We see these types of programs used primarily in luxury industries where customers earn access to limited edition catalogs, earn dedicated treatment, or receive early access. They fit exceptionally where price compromises can damage a brand's reputation.

05. Social Programs

Social Programs focus primarily on either aligning a brand with a social cause or fostering a sense of community within like-minded groups. By joining a social loyalty program you are joining a community of activists or enthusiasts that share your beliefs. This could range from sustainability to exercise groups and have some of the most outspoken loyalty members. We see sustainable and non-profits brands use these loyalty programs very well.

06. Experiential Programs

Experiential programs are some of the most memorable and engaging loyalty programs for their ability to create strong impressions. Sporting brands are known to bring their community of enthusiasts together for exercise sessions and other similar activities. They are able to align perfectly with their brand values and create lasting impressions. Luxury brands are known to use experiential programs to give their loyal customers exclusive treatment as well.

When should you start an e-commerce loyalty program?

• When the economy slows: around times of economic instability, when many expenses suddenly become luxuries, loyalty programs can help alleviate some of the burden. Loyalty programs are designed based on customer purchases and history and are programable to be stable solutions. The longer you’ve been using them, the more impactful they can become as you collect more members.
• When you’re trying to save on expenses: loyalty programs are a very inexpensive solution with some major upside. Most loyalty programs come as complete apps that are easily installed into your e-commerce store. They often have numerous tools that give you everything you need to craft an engaging program at an effective cost.
• When you want to build a customer base: having an active customer base is deeply undervalued. Finding new customers can often be difficult and expensive, loyalty programs are capable of attracting, managing, and retaining customers. There is endless value that you can extract from your loyal customer base.
• When you're trying to gain traction at startup: at early stages an e-commerce business can be especially vulnerable and a loyalty program with highly engaging rewards can give your store the lift you need to get off the ground. If successful, every new customer to your loyalty program can be an advocate for your brand which can set you on the right path. 
• When you want to amplify or substitute paid ads: paid ads are a powerful source of leads in e-commerce, but many would consider them expensive. Loyalty programs as incentive based tools can supplement paid ads by increasing your conversion potential. Driving leads to your e-commerce store can be expensive and sometimes those leads may produce high bounce rates which is why optimization is necessary.
• When you are trying to reclaim lost customers: The past is a great source of proven value. We have seen numerous businesses that had been in operation for years with customers who were effectively ignored, not realizing how much value they’ve lost. A strong loyalty app provides an active connection to customers and a means of reaching out to them.
• When you are looking for more control: Control is a major issue in e-commerce commonly seen with new companies. Loyalty integrations elevate the user experience but more importantly, they create better, more influential marketing tools. Loyalty programs are well recognized for their versatility and strategy.
• Building a brand identity and extending your product: The most creative loyalty programs create deep value for customers that is capable of elevating your brand. Differentiating your business is a struggle and having the means to create a relationship with shoppers and to keep that bond strong long-term is a strategic victory. Below is how 12 brands created this effect!

12 Examples of Customer Loyalty Programs

One of the cleanest, sweetest deals around is the Black Card by Box Raw.

It's stylish, desirable, and really well-built. This loyalty program combines awesome rewards and great presentation. The Black Card covers everything you need, so it would be a wise example to follow. Box Raw tops this list for its sleek design and completeness.

Why we love it:

• Their visuals are stunning
• Their widget is flawless
• Their program is loaded with perks
• The program is simple to use and well-explained

Elevated Experience with Widgets:

They have a widget that falls seamlessly onto your page. Shoppers have a easy way to access their benefits without having to leave the page. This improves the page's overall functionality and user experience. Widgets are a great idea and could prove to be a key component of your customer loyalty program.

Meaningful Tiers:

Just like in most competitions, we use precious metals to define classes, and this fitness brand successfully relates to the culture. Box Raw recognizes its customer base and these small things really add up, and the sound of “Black Card” is low-key awesome. Besides the clever design, their tiers are loaded with perks and the rewards are really engaging.

Clear and Instructive:

The way that Box Raw explains the process and demonstrates the benefits is outstanding. They make their program clear and simple. Style and layout is an important element that can help cultivate a positive impression. Remember that the clearer your message, the simpler the decision.

Progress Bar and Free Points:

Box Raw offers hundreds of points before you even make your first purchase and tracks your milestone until your next upgrade. You can easily tell where your progress meter rests and the sort of perk you will receive at each stage. Another reason why the Black Card is winning on customer appeal.

Complete FAQ Section:

Box Raw features a complete FAQ section for its loyalty program, making it easier to find the answers you're looking for. Apart from the benefit it has for the customer, a FAQ section can alleviate some of the stress from customer service; squashing the issue before it buds.

Nike is unmatched in consumer engagement because they extend their loyalty program into lifestyle. The name is reputable, the consumer base is massive and the community is interactive. Nike checks all the boxes for loyalty program excellence. Let’s break it down why.

‍ Why we love it:

• The Nike loyalty program focuses on lifestyle and community
• They provide one of the broadest options for rewards and exclusive offers
• They build ways for customer to enjoy their products through activities
• They offer a whole suite of apps that complement their core product line

Great Communication and Community-Centric:

Loyalty programs need encouraging rewards to be effective. Nike has some of the best rewards on our list because they know exactly what customers enjoy and are able to create extended value for their products. You can tell that they have successfully built a community of loving shoppers and found great ways to retain them. These sorts of engaging rewards work to complement your products and give them purpose.

A Complementary App Suite:

The apps that belong to the Nike suite are all about extending the utility of their products into lifestyle and community. They provide a highly interactive and engaging experience to their already massive customer list. Their product is built around fitness and their loyalty program focuses on the same message.

3. Lululemon

Lululemon is a brand built around recognition and self-betterment. To prove their caring they had to build value in ways that went beyond their in-store experience. What really honed this brand's message was its pivot towards loyalty membership. They’ve introduced benefits that extend beyond ordinary discounts, offering studio workout sessions and recorded routines. That’s some progressive thinking! Keeping active is how they keep their customers coming back and that is the difference maker.

Why we Love it:

• Lululemon tries to build a culture of health with its loyalty program
• They embody their lifestyle by giving you a place to use their products
• They made highly desirable rewards by knowing their customers'‍ intention

4. Massimo Dutti

FEEL provides a one-of-a-kind experience; a memorable and deeply sensational loyalty program. You can almost smell the leather through the computer screen. There is a sense of exclusivity and a strong connection between loyal shoppers and the product. They focus on quality and exclusivity as the foundation of their program.

• They cultivate a sense of exclusivity for their dedicated customers
• They speak to their customers on a subliminal level and understand their reasons
• They make their customers feel special by making them stand out as special

This particular program is definitely non-traditional, but it serves as an amazing example of creativity at play. They make a promise of exclusivity and first-class service. They also provide all their members with early access to discounts and limited edition items. They also incorporated events by offering special access and private visits. This would seem like a natural focal point for a luxury brand.

Special Treatment and Exclusivity:

For a luxury brand, customers have different expectations. They have the money, what they want is exclusivity and special treatment. Massimo Duttiy successfully identified the particular preferences of their dedicated customers. Although their program is not as interactive as other loyalty programs in this list, they have taken a less traveled road which is something their customers happen to enjoy.

5. Chipotle

Chipotle Rewards is a return to the standard loyalty program, which seeks to reward consistent consumers. Chipotle has a strong retention power which guides their loyalty program and proves its utility. This sort of program is primarily focused on the customer experience. Amongst the several rewards, it offers a free product once the customer hits a specific point threshold and celebrates their birthday with a gift. It also provides extra points for purchases made on certain days and multiplier bonuses for trying new items on the company's menu.

Why we Love it:  

• Free items are a great bonus for loyal customers because it is a very direct way to improve customer expectations.
• They promote menu diversity by giving more points for trying new items, which we consider a clever way to meet a managerial goal.
• It’s clear that the purpose of this particular loyalty program is to promote their organizational goals. Which makes it mutually beneficial for business and customers.

6. Sephora's Beauty Insider

A luxury cosmetics brand, Sephora, is well-equipped in the way it crafts its loyalty programs.

For a luxury brand, it’s important to maintain the value of your product, and discounts can cheapen customer perception. Instead, the program focuses on experiences, such as free beauty classes, makeovers, and an insider community. Another great thing to mention is the Rewards Bazaar, which enables the customer to choose the reward to their liking among various options. In turn, it gives the participants freedom and control over what they get.

Why we love it:  

• Sephora romanticizes its relationship with customers, delivering dreams and experiences
• They enrich their image by offering a feature-loaded program with endless rewards and great progression
• They avoid making their program about discounts and preserve the value of their brand and products

7. Uber's Uber Rewards

Uber Rewards being one of the first ride-hailing apps in the market has successfully retained their customer loyalty with reward progression. While they do not necessarily offer major discounts, they offer rewards that improve their customer experience and satisfaction scores. Notable services include price protections from rush hour price surges, flexible cancellations with refunds, and priority pickups at airports. It would seem like Uber hears what customers want and implements feedback to improve their rewards.

• Uber is a popular improvement to city life and has become central to people's lives, almost to a level of dependency. They have implemented a loyalty program that rewards loyalty and makes it fair for users
• The rewards, although non-financial, create a clear benefit for customers with excellent progression in rewards
• Since rewards are functional, they improve the usability of their app and customer satisfaction as well 

8. The Body Shop

As an ethical beauty company, The Body Shop does well to mix its brand into its loyalty program. They do so by allowing the customers to donate their rewards from purchases to many of the brand's partner charities.

• Their rewards are charity-oriented, which solidifies the company's image as being socially conscious. It also co-opts the customers as a part of that image, enabling them to support the cause through association 
• They have a clear idea of who they want their customers to be and speak to them directly with their rewards, crystal clear communication
• They use their loyalty program to provide assurance in their values and to enforce their commitment to their values

‍9. H & M

H&M is a major global brand with a huge customer base, but it’s not so simple. There is a lot of competition in apparel and one of the keys to success is customer loyalty. It’s obvious why H&M puts so much effort into its loyalty program. They’re a prime example of a loyalty program, so let’s probe the reasons why. There are numerous special touches that H&M uses that elevate their loyalty program to another level.

• They did very well to build a sense of exclusivity, offering features only available to a specific group of members.
• They made it rewarding to enroll with a first purchase reward.
• They have a mobile app, a major factor.
• They used their loyalty program to push their strategic goals.

Focus on Customer Satisfaction:

H&M is already a household brand and this loyalty program is low-impact and all benefits. They used a few clever tricks to push the needle in their favor, making the online shopping experience as good if not better than the in-person experience. Not only are the perks of membership worthwhile, it isn’t very difficult to acquire “Plus Membership”. Is the H&M loyalty program worth it? Yes! 10/10.

Awesome Rewards:

Shoppers in general love exclusivity, limited editions, and special offers. Programs that offer these sorts of elevated experiences, go above and beyond your average loyalty program. There is a meaningful treat for dedicated shoppers and this makes it worthwhile pursuing the “plus” membership. This goes down as one of those programs that are really about the loyalty members.

Mobile App and Clear Instructions:

Another major factor about the H&M loyalty program is the Mobile App. Customers adore an easy shopping experience. There is no better improvement to the shopper's online experience than mobile apps. Overall, this is a program worth checking out for inspiration.

Mango successfully takes a unique spin on the classical loyalty program. Nothing is ordinary about this program. It gives off a humane and caring impression, true to the meaning of real loyalty.

• They have the most unique and encouraging rewards; donations to NGOs, free music, and cinema tickets. Outside of the typical theme entirely.
• The first brand we’ve found that puts sustainability into their program. You can collect points by recycling old clothing, something no one else is doing on this list.
• They successfully made a warm and outstanding loyalty program with their “likes” and features.

Cinema lovers will agree that an AMC loyalty program is a must-have. Movies fans can appreciate how awesome this program is. It just makes perfect sense that your favorite local theater should be thinking about you between visits. AMC offers some of the coolest perks for cinephiles. They treat loyalty members with real priority and create a really exciting offering at each tier.

• Loyalty Programs for services are uncommon and this puts a smile on our face.
• Membership is a super easy choice, it makes the overall movie-going experience better.
• This lands right at home for movie lovers and makes it an easy and fun occasion every time.

12. The North Face

The North Face brand has always been associated with nature and durable cold-weather clothing. It was important for them to represent their cause and that's exactly how they made their loyalty program stand out for us.

• They have an “actually” worth it mobile app, which gives its users special access to parks and monuments.
• They encourage bringing in your own reusable bags to shop and even reward it with points.
• They allow field testing of your purchase and even offer exclusive products.

Wrapping up

The examples above demonstrate the best qualities of some of the most creative loyalty programs in e-commerce. By now you should have a vivid idea of how to build your own customer loyalty program. There is so much value in e-commerce and more so when combined with customer loyalty. Many underestimate the value of loyalty programs, but there is so much untapped value in building bonds and creating lasting impressions. We believe that true value is found through customer loyalty and we also consider it to be a universal goal for any business. 

Growave can help you build a dynamic and engaging loyalty program, and drive customer retention. Every one of the examples given above can be built with Growave. If you're interested in implementing your own unique loyalty program, we encourage you to get in touch with one of our representatives or check out the official Shopify app store for more.

Frequently asked questions

Can you brand your loyalty program.

Branding is an essential, all loyalty programs should have the ability to customize your program. This could mean any number of things like, naming your rewards, the rewards you choose or the way the app features in your store. Always opt for a program that offers customizable features.

How do you install a Loyalty Program?

Loyalty programs usually have a short onboarding process that jump-starts your program. Afterward, you have unlimited access to an admin panel to control the details of your program. With Shopify all you need to do is install the app and follow the on-screen instructions. You should expect analytics, branding, emails and multiple other features when you install a loyalty app.

How hard are Loyalty Programs to manage?

Modern Loyalty Programs are built with users in mind. They Require some basic math, a good program will have clear instructions and an easy-to-use administrative panel. You should look for a program with a modern admin panel and organized settings.

How do you optimize your Loyalty Program?

It may be worthwhile to assess your customer base and competitors before choosing which rewards to enable. There isn't one clear answer, but depending on your objectives you may find certain rewards more valuable, such review rewards for social proof or follows on social media. You can also control your point values and which products to discount to improve turnover rates. Branding and exlcusivity have shown positive effects on customer interactions. There are multiple ways you can find an advantage.

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13 unique & successful loyalty program examples for 2024.

Discover 13 of the most successful and innovative customer loyalty programs examples and the lessons they offer on how to level-up your loyalty strategy. In this article, you’ll get insight into some of the world’s biggest loyalty programs through 4 simple criteria: the program, the positioning, the perks, and the performance.

Loyalty programs have taken the ecommerce world by storm. 9 in 10 companies now offer some form of customer loyalty program.

The prominence of customer loyalty programs should come as no surprise once you see the data. The statistics spell it out again and again . Customers love loyalty programs and spend more with brands when they’re part of one:

• 79% of consumers are part of at least one loyalty program
• Of these, 75% say they purchase more from these brands
• Top loyalty programs see a 15-25% annual revenue increase from customers who use them

But what makes successful loyalty programs stand out? What benefits can you offer customers to keep them coming back for more? What lessons can you learn from some of the best loyalty programs in the world?

In this article, you’ll get an in-depth look at 13 of the most innovative and successful loyalty programs examples from around the world. Get at-a-glance insights into each program from 4 simple but revealing angles:

• The program: what it is, who offers it, the loyalty mechanism it operates on
• The positioning: how it’s pitched, the alignment with the brand and target audience
• The perks: what it offers members, how it attracts and nurtures loyalty
• The performance: the ROI, the number of sign-ups, the impact on sales (where available)

Loyalty program examples

• Adidas: adiClub
• Rapha: Rapha Cycling Club
• Starbucks: Starbucks Rewards
• The North Face: XPLR Pass
• Lululemon: lululemon membership
• Walmart: Walmart+
• Sephora: The Beauty Insider
• FARFETCH: FARFETCH ACCESS
• H&M: H&M Membership
• IKEA: IKEA Family
• Rakuten: Rakuten Points
• McDonald's: MyMcDonald's Rewards
• Wesfarmers: OnePass

1. Adidas: adiClub

The program.

AdiClub is adidas’ free-to-join, point-based loyalty program. AdiClub has been one of adidas’ biggest strategic moves in recent years. The extensive program is the driving force in their DTC shift. AdiClub received the top ranking in the apparel category in Bond’s Loyalty Report in both 2021 and 2022, crowning it as one of the best retail loyalty programs out there.

The positioning

AdiClub’s success lies in its perfect alignment with the two core elements of the adidas brand: fashion and sport.

Customers interested in adidas for its style appeal get benefits like early and exclusive access to sneaker and product drops, as well as the opportunity to personalize products.

Customers interested in adidas for its sports heritage get access to community events, adidas Running and Training apps, tickets to sporting games, and meet-and-greets and signed products from adidas-sponsored athletes.

Members of adidas’ adiClub receive points for purchases (10 points for every dollar spent) as well as for adding personal information, leaving reviews, and taking part in adidas events. These points not only work to move customers up a membership tier but can also be used for discounts and vouchers. AdiClub involves 4 levels:

Level 1: customers get free shipping, members-only access to exclusive releases, access to the CONFIRMED app for sneaker drops and Early Access to select drops.

Level 2: customers get the above benefits plus special discounts, 2 months access to the adidas Running and Training apps, and a birthday gift.

Level 3:  customers get first access to new products, the ability to personalize products, and priority customer service.

Level 4: customers get all the above rewards, plus tickets to special events, priority access on the CONFIRMED app to win more drops, and 12 months premium access to adidas Running and Training apps. To get to level 4, you need to spend about $1,200 on adidas goods over the course of a year.

Adidas additionally infuses their membership program with other attractive benefits, such as:

• Chances to win adidas box seats at sporting games
• Products signed by some of the world’s biggest athletes
• Access to adidas member’s week, a week full of product drops, exclusive experiences, and rewards

RELATED: 79 Staggering Statistics That Show The Power of Loyalty Programs in 2023

The performance

• AdiClub has over 240 million members
• Members buy 50% more often than non-members
• Members have 2x the lifetime value of non-members

RELATED: Ecommerce Loyalty Programs: How to Keep Customers Coming Back For More

2. Rapha: Rapha Cycling Club

Rapha is one of the world’s biggest—and trendiest—cycling apparel brands. Their mission is to make cycling the most popular sport in the world by bringing people together and celebrating cycling.

Their subscription-based loyalty program, Rapha Cycling Club (RCC), is unique in that it combines traditional member benefits (early access, discounts, etc.) with access to global Rapha Clubhouses and a community of like-minded cyclists.

Rapha pitches RCC more like a community than a loyalty program. When members sign up, they’re not just entering a relationship with Rapha, they’re entering a global community of cyclists. As Rapha’s website says “Being a member of the RCC means being part of something bigger – a global riding community with a friendly local spirit. You can feel it at our Clubhouses, on our rides and on the RCC App which connects our members around the globe.”

Like adidas, Rapha’s loyalty program addresses both the fashion and the sporting aspect of their brand. But what’s unique about RCC is that the benefits are about 50% product-focused (discounts, exclusive access, etc.), and 50% connection and community focused (the RCC app, group rides, clubhouses, etc.).

Rapha is ahead of the curve here. In a recent survey of loyalty program owners, 87.5% said they plan to engage with customers in more non-transactional ways.

“We take brand loyalty seriously. We sell premium cycling and lifestyle apparel, but the core of our brand is based around cycling, and strongly supported by our Clubhouse network and the Rapha Cycling Club”

Tristan Watson, Engineering Manager, Rapha 

• Organized club rides from 23 Clubhouse and Chapter locations
• Exclusive riding trips and access to fully-supported RCC Summits along with priority access to key Rapha events
• Subsidized members-only Club kit and early access to special editions and brand collaborations
• Clubhouse perks with half-price coffee and subsidized bike hire
• Members-only app to see what's on at Rapha, join rides and connect with fellow members
• Bicycle hire at a reasonable price from premium manufacturers
• RCC has over 23,000 members
• They run over 1,000 group rides every month

To handle massive demand for their product drops and ensure RCC members get first access, Rapha use Queue-it for their high-profile drops.

“Running the sale with Queue-it in place made sure we achieved our goal of delivering an enhanced experience for our loyal members. We gave them the priority access we had promised them as a cornerstone membership benefit.”

Tristan Watson, Engineering Manager 

Read the full story

RELATED: Control Sales Access to Engage & Grow Your Customer Base

3. Starbucks: Starbucks Rewards

Starbucks Rewards is another points-based loyalty program, rewarding customers based on the number and value of products they purchase.

But Starbucks Rewards goes beyond your local café’s buy-10-coffees-get-one-free stamp card. It offers personalized benefits, exclusive games, and the ability to pre-load cash for extra points (or “stars” as they call them). With almost 30 million members, it’s likely the most successful café loyalty program of all time.

Starbucks Rewards, like Starbucks itself, is all about simplicity and convenience. Members can save their coffee order, order ahead, pre-load cash onto their account. These make it easier to get your coffee when you want it—fast.

Starbucks executed their loyalty program well, offering straightforward but compelling benefits like free coffee refills, along with more advanced ones like member-only games, for customers who want to engage more.

Surveys show customers want loyalty programs that are easy to use, easy to understand, and offer great discounts. Starbucks Rewards ticks all three boxes.

• Free coffee on sign-up
• Birthday treat
• Free refills on coffee and tea
• Save your coffee order & store location to order ahead and pay on app
• 25 stars: Free customized drink (extra-shot, non-dairy milk, etc.)
• 100 stars: Free iced coffee, croissant, bag of chips, and more
• 200 stars: Free cold brew, lattes, cappuccino, etc. or hot breakfast
• 300 stars: Free sandwich, protein box, or take-home coffee bean bag
• 400 stars: Free piece of merchandise with value of up to $20
• Member-only games that offer exclusive prizes, free food and drinks, etc.
• In 2022, there were 28.7 million active Starbucks Reward members
• This represents 16% year-over-year growth
• “Starbucks Rewards now represents 53% of the spend in our stores, which is at an all-time high, and which is a three-point increase versus fiscal Q1 fiscal 21,” said Kevin Johnson, CEO of Starbucks

RELATED: Customer Loyalty in Ecommerce: The Surprising Benefits of Fairness

4. The North Face: XPLR Pass

XPLR Pass is The North Face’s free-to-join loyalty program. Revamped in 2021, the program includes points but doesn’t have membership tiers like many other points-based programs. Instead, points equate to discounts.

The North Face bridges the gap between fashion and function—and so does their loyalty program. In addition to the perks you’d see in other loyalty programs, The North Face includes invitations to annual member-only XPLR Pass Trail Days , events that include group hikes, activities, lunch and merchandise, and talks from guests and athletes.

Vanessa Christie, the Director of Loyalty and Experiences at The North Face, explains :

“Whether it's a large sweepstakes that enables exploration — like flyaway trips to a mountain — Film Fests that we're sponsoring or other things, we’re also looking for more ways to bring The North Face to life in an experiential way, where you have to be an XPLR Pass member to gain access to the experience.”

The program also aligns itself with climate action by rewarding members who return old products to give them a second life through The North Face Renewed Take Back program. Members can also earn points by checking-in at National Parks and Monuments.

• 1 point for every dollar spent (100 points = a $10 voucher)
• Early and exclusive access to limited-edition collections and collaborations
• 60-day members-only field testing
• Free shipping
• XPLR Pass gifts on birthdays and with purchases
• Exclusive events
• Access to the North Face Renewed Take-Back Program
• The chance to test unreleased products

To ensure XPLR members get first access to these exclusive product drops, The North Face uses Queue-it’s invite-only waiting room . Members get invited to an exclusive queue that puts them ahead of non-members, allowing The North Face to block bots and resellers and incentivize thousands of new sign-ups with every drop.

“[XPLR] members have access to exclusive products. These are our most iconic, most coveted products that usually sell out in less than a day, whether it's Gucci, Kaws, or Online Ceramics, XPLR Pass members get that first."

VANESSA CHRISTIE , DIRECTOR OF LOYALTY AND EXPERIENCES OF THE NORTH FACE

• The North Face had a 54% increase in traffic to the XPLR landing page YoY when the program was launched
• An average of 10k mobile app downloads per month in 2021

5. Lululemon: lululemon membership

Lululemon is unique on this list as it has two types of loyalty programs: one for regular, everyday shoppers; and another exclusively “leaders in sweat” AKA fitness professionals, coaches and leaders.

The standard program, called lululemon membership, is perks-based (no points), and focuses almost entirely on experiential benefits rather than dollar-based savings.

The exclusive program, called The Sweat Collective, is like a small-scale influencer community, offering 25% discounts to verified fitness professionals (studio & gym managers, personal trainers, group fitness instructors, athletes, coaches, and team staff).

Lululemon redefined the activewear product category with its high-quality, made-to-last apparel. The lululemon membership positions itself similarly. Like a luxury brand, it doesn’t offer discounts on products, but instead offers convenience, peace of mind, and good customer service experiences with exclusive benefits like early access to product drops, free hemming, receipt-free returns, and exchanges or credits on sale items.

The Sweat Collective is positioned to reward established members of the fitness community. The 25% off perk is a huge one—especially for a brand that rarely discounts products. It’s clever in that it incentivizes people who are prominent in the fitness space to wear lululemon gear.

The yoga teachers leading 300 people through movements each week. The coaches leading local sporting teams. The personal trainers helping dozens of people get fitter every week. The Sweat Collective helps put visible members of the fitness community in lululemon gear.

• Early access to product drops
• Exchange or credit on sale items
• Select lululemon Studio Classes
• Membership events
• Receipt-free returns
• Free hemming
• Lululemon got 9 million membership sign-ups in 5 months
• Over 30% of members took advantage of at least one of the benefits in that period

6. Walmart: Walmart+

Walmart+ is Walmart’s answer to Amazon Prime. It’s a subscription-based loyalty program with a price tag of $12.95 per month or $98 per year.

Walmart+ makes a big claim on its sign-up page: It’ll save you $1,300+ per year.

The claim aligns perfectly with Walmart’s brand positioning—a low-price retailer—and the values of its customers—saving money. It establishes the program’s value in bold and concrete terms by screaming “you’re leaving money on the table by not signing up!”

• Save up to 10 cents per gallon at several gas stations
• Get free delivery of groceries from their local Walmart store and free delivery from the Walmart marketplace
• Get early access to Black Friday sales, product launches, and other major shopping events
• Get contact-free checkout
• Get assorted other benefits, for example, 6 months free of Spotify premium
• Early access to big sales like Black Friday and product drops

A Consumer Intelligence Research Partners report  estimates :

• Walmart+ members spend an average of $79 per online visit, compared to $62 for non-members
• Walmart+ customers shopped an average of 11 more times per year (29 visits) compared with non-members (18)

RELATED: How To Use Scarcity Marketing & Product Drops for Black Friday Success

7. Sephora: The Beauty Insider

Skincare brand Sephora’s loyalty program is a points-based program where benefits are issued according to loyalty tiers. The program has been revamped several times since it was first launched in 2007, with Sephora refining their approach to loyalty.

Allegra Stanley, Sephora’s vice president and general manager of loyalty says :

“The way we think about loyalty is that our clients are the core of everything we do. We are driven by what our customers love and want more of. So it’s not about what their loyalty demonstrates to us, but what we can deliver to our clients that creates the most meaningful and connected experience with our brands.”

Sephora’s Beauty Insider program has three tiers:

• Insider: which is free to join
• Very Important Beauty (VIB): which is achieved after a $350 annual spend
• Rouge: which is achieved after a $1,000 annual spend

The benefits of these tiers are split up into three simple categories:

• Savings: where and how much money customers will save
• Samples: the free and exclusive samples customers will get access to
• Experiences: the exclusive and first access experiences customers get

• Sephora has over 31 million U.S. members
• Members make up to 80% of Sephora’s sales
• An 8.08 score in Newsweek’s best American Loyalty Programs list

In reference to Sephora’s generous birthday gifts, Allegra Stanley, VP of Loyalty at the company said:

“Research has found that almost 75% of what drives customer engagement and loyalty are emotional perks. Now more than ever customers, especially the younger generations, decide to engage with brands based on emotional loyalty drivers.”

RELATED: Improve Your Ecommerce Customer Experience with These 9 CX Strategies

8. FARFETCH: FARFETCH ACCESS

Luxury ecommerce retailer FARFETCH has an extensive loyalty and rewards program called FARFETCH ACCESS. Like an airline, it offers a broad range of benefits based on tiers, which are determined by customer spend.

FARFETCH’s loyalty program aligns with its customer base and brand values. Where Walmart customers are focused on low prices, FARFETCH customers want luxury and exclusivity.

Of particular note is the Private Client access loyalty tier, which is clearly targeted at the upper echelons of the fashion world, offering extensive and desirable benefits to the most valuable of customers. It offers a fashion concierge, a personal stylist, and exclusive invites to events such as the Dior Shanghai exhibition.

FARFETCH ACCESS’ loyalty tiers include:

Bronze access: Achieved after one purchase, entitles you to a welcome reward, a birthday reward, and access to a private members’ sale.

Silver Access: Achieved after $1500 spend. Offers above benefits plus exclusive discounts and free international shipping on 2 orders.

Gold access : Achieved after a $3,000 annual spend. Gold Access members get the same benefits as silver, along with exclusive discounts, exclusive access to designer collections and free worldwide shipping on 4 orders.

Platinum access: Achieved after a $7,500 spend. Offers above benefits plus free international shipping for a year, priority customer care, and extended returns.

Private Client access: Achieved after a massive $15,000 spend. All the above plus a fashion concierge who will find you items unavailable to the general public, and a personal stylist who can offer 1:1 fashion advice around the clock.

RELATED: How Luxury Brands are Creating Elegant Ecommerce Customer Experiences

9. H&M: H&M Membership

H&M’s customer loyalty program is another points-based program, but it only puts customers into one of two tiers. For the H&M membership, H&M has collaborated with Klarna—another Swedish brand popular among Gen Z consumers—to allow members to buy now and pay in 4 installments.

H&M is a low-cost, quick-to-market fashion brand. But it wants to avoid the label of “fast fashion” and highlight its commitment to sustainability.

The H&M Membership addresses the brand’s core appeals by offering predominantly savings and convenience-based benefits, but it emphasizes sustainability by giving members the chance to save more money by recycling clothes and bringing in their own bags.

Standard H&M members get:

• 10% off welcome offer
• 1 point per dollar spent (200 points for $5 voucher)
• Earn points for recycling old clothes
• Earn points for bringing your own bag in-store
• Exclusive offers & discounts
• Birthday treats
• Invite-only shopping events
• Free online returns
• Free shipping over $40
• Monthly giftcard giveaway
• Ability to pay in 4 interest-free installments with Klarna

And plus members get:

• Free shipping on all purchases
• Unique experiences
• Surprise offers
• Special exclusive access to limited-edition collections

• H&M has 120+ million members in 26 markets
• They saw 71% YoY membership growth in 2021

10. IKEA: IKEA Family

IKEA’s IKEA Family is a free, perks-based loyalty program. It may well be the oldest loyalty program on this list, starting in 1984 . IKEA Family doesn’t reward customers based on spend, but instead offers a range of attractive discounts, exclusive experiences, and free member perks.

IKEA Family’s positioning is basically in the name. “We really do treat our members like family” they say . It makes sense for the brand that turns houses into homes. They invite you into their stores with a free hot drink and discounts on food, they give you peace of mind with product damage cover, and they give you “family discounts.”

• $10 voucher on sign-up
• Free tea or coffee at IKEA stores
• Member-only events such as free home furnishing workshops and previews of new ranges
• Free “Oops-assurance” (cover for damages during delivery or assembly)
• Member-only discounts
• Birthday gifts
• Price protection (partial refunds if a product goes on sale within 90 days of purchase)
• IKEA Family has 170 million worldwide members
• Since the launch of the updated program in 2022, the share of sales from IKEA Family members has increased to 58% of all sales

11. Rakuten: Rakuten Points

Rakuten is a Japanese bank and one of the world’s biggest retailers. Rakuten Points makes it to this list because it isn’t quite like other airline or bank points systems. Rakuten uses its omnipresence in Japan to create a loyalty ecosystem where consumers can find everything they need. With 80% of the Japanese population on board, it’s probably the most successful country-based loyalty program on this list.

Like Amazon, Rakuten leverages its ecosystem of brands to create a loyalty program customers can reap benefits from wherever they shop. Points earned while shopping with the Rakuten card can be used to book an appointment at a salon via Rakuten Beauty or order a meal via Rakuten Gurunavi Delivery. RELATED: A TV Spot Spiked Rakuten France’s Traffic 819% in 2 minutes. Here’s How it Went.

Rakuten Members can spend and earn points in hundreds of ways, including:

• Spending with any of the 49,000 stores on the Rakuten Ichiba platform
• Upload your cooking recipe on Rakuten Recipe
• Spending with any of the hundreds of  partner brands across dining, shopping, beauty, living and essential services (e.g., fuel stations, convenience stores, airlines, pharmacy’s, postal office, McDonald’s etc.)
• Make a reservation with Rakuten Travel
• Purchase a plan with Rakuten Energy
• Buy movies with Rakuten TV
• Using points to offset the cost of certain Rakuten subsidiary services, e.g., paying electricity bills, paying mobile plan bills and purchasing entertainment plans
• Using points to offset the cost of partner brands e.g., use points to offset the cost of a McDonald’s meal
• Exchange points with All Nippon Airways (ANA) airlines

Members can also earn and spend points through activities like investing, checking-in to Rakuten partner stores, even collecting parcels from post offices.

• Rakuten has 111.4 million members —80% of the population of Japan!
• Over three trillion points issued
• 500 billion Rakuten Points issued in 11 months

12. McDonald’s: MyMcDonald’s Rewards

McDonald’s was late to the loyalty program party, launching their MyMcDonald’s Rewards program in mid-2021. Like other food and beverage chains, McDonald’s went for a points-based reward system while mixing in a range of other benefits.

The positioning of McDonald’s loyalty program is pretty simple: get more McDonald’s for less money. For regular McDonald’s consumers, points and free items will rack up quickly (you can get a free cheeseburger with just one $15 spend). And for those who don’t eat at McDonald’s so often, exclusive weekly deals and free birthday gifts serve as a good incentive to give into their cravings.

• Free Big Mac on sign-up
• Exclusive weekly deals
• Free birthday gift
• $1 spent = 100 points earned
• Cheeseburger, Hash Brown, Vanilla Cone, McChicken
• Medium Fries, 6 Chicken McNugget, Sausage Burrito, Large Iced Coffee
• Large Fries, Fillet-O-Fish, Sausage McMuffin with Egg
• Big Mac, Happy Meal, Bacon Egg & Cheese Biscuit, Happy Meal

• MyMcdonald's Rewards has 25 million members in the U.S.
• Customer frequency has grown every quarter since the program was launched
• “About two thirds” of members in the U.S. have engaged in the past 3 months

RELATED: Foot Traffic to Web Traffic: How Five Guys Pivoted to Meet Surging Online Orders

13. Wesfarmers: OnePass

OnePass in a unique loyalty program in that it’s a collaboration between several major Australian brands. These brands are owned by the same conglomerate, but previously operated entirely independently. With OnePass they’re brought together, giving members benefits across 5 of Australia’s biggest retailers.

Additionally, members can bundle the program with Disney+ for additional discounts and get extra FlyBuys points—a point system like that of major airlines but run through and by Australian supermarkets.

The success of Amazon Prime demonstrates the value of having a loyalty program ecosystem. The more benefits you can offer a customer, the more sticky the program becomes. So as Amazon ventured into the Australian market, Wesfarmers—Australia’s largest retail conglomerate—created OnePass to fight back.

Like Amazon Prime, OnePass is positioned as a way to save time and money. It differentiates itself from Prime, however, by leveraging the massive brick-and-mortar presence of the 5 participating stores, and incentivizing click and collect and in-store shopping.

• Free delivery
• 365 day change of mind returns
• Discounted express delivery
• Access to member-only discounts, exclusive weekly deals, and early access sales
• Discounted pricing on Disney+
• Express click & collect
• 5x Flybuys points when shopping in-store

• OnePass members made double the number of transactions compared to non-members
• OnePass members spend an average of $1,000 online across participating retailers per year

Level up your loyalty program with exclusive & early access

Every one of the loyalty programs on this list has one thing in common: exclusive benefits for members.

While benefits like free shipping and discounts are attractive, they also cost retailers money. That’s why so many brands are turning to experiential-based benefits like early and exclusive access.

After benefits that cost retailers money, these are what customers want most from a loyalty program.

9 out of the 13 brands on this list offer early or exclusive access to product drops and flash sales.

We ran an analysis of Newsweek's top apparel loyalty programs of 2023, and found 91% of them offered early or exclusive access for members.

91% of America's best apparel loyalty programs offer early or exclusive access to sales and new products.

But early access or invite-only sales can be difficult to get right. Often companies will simply email out a link to a private sale page that quickly gets shared around and  exploited by bots and resellers .

Loyal customers who follow the link just an hour after it’s sent find products sold out and question just how exclusive their “exclusive access” really is.

To avoid this problem, retailers like Rapha and The North Face use exclusive access solutions like an  invite-only waiting room .

With an invite-only waiting room, you can control access to exclusive sales to engage loyal customers, block bots, and incentivize loyalty program sign-ups. You can do this by gating access with unique user identifiers (such as an email address), which can only be used by the email address holder and can only be activated once.

The invite-only waiting room ensures early and exclusive access sales are truly exclusive to only the customers you choose, giving you the control you need to reward your loyal customers with confidence.

(This blog has been updated since it was written in 2023. Queue-it does not guarantee any of the loyalty benefits listed in the article are up-to-date).

Control sales access to reward members & grow your loyalty program

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The Top 5 Innovative Loyalty Programs of 2020 and Why They Work

No one could have predicted how 2020 would unfold—what impact it would have on businesses and our new perceived definition of 'normal.'  Now more than ever , brands are shifting their strategies to focus on the retention and engagement of existing customers. At Oracle CrowdTwist Loyalty and Engagement , we believe loyalty is about creating emotional connections with customers and cultivating brand advocates and communities to enable brands to grow. 

To successfully drive customer loyalty, brands must provide seamless (and relevant) customer experiences at every interaction. In a year challenging year for brands, I want to highlight a few clients and how their innovative loyalty programs help them engage more and deepen relationships with their customers.

Vitamix Rewards launches loyalty campaigns to connect with customers

Vitamix is a family-owned business that manufactures high-performance blending solutions. The brand recognized its need to be more relationship-first and customer experience-focused. They partnered with CrowdTwist Loyalty and Engagement to launch  Vitamix Rewards , a free loyalty program for new, existing, and future Vitamix customers. 

Loyalty members can earn points through purchasing directly on Vitamix.com, registering their products, uploading receipts from wholesalers, or engaging with exclusive content (like free recipes and product tips and tricks). Earlier this year, Vitamix took a step back from sales messaging and promoted a healthy-made-easy campaign, intending to help their customers incorporate more whole foods into their diet and use Vitamix Rewards as a vehicle for healthy life choices. They even released a new recipe where customers could use their Vitamix blender to make their own hand sanitizer. 

Kudos to the Vitamix team on their timely shift in strategy and messaging; the program is definitely resonating with customers. Vitamix Rewards members are purchasing 25% more units per order compared to non-members while driving a 30% increase in product reviews per month. Learn more about how Vitamix is  elevating customer experiences here . 

LEGO VIP upgrades their reward offerings to give customers more of what they love

LEGO is a popular toy brand with an avid following among both kids and adults. They relaunched their loyalty program with CrowdTwist Loyalty and Engagement to steer away from only providing passive discounts, solely focused on high spenders, to one where they ask their members to actively engage by choosing rewards that connect with their passion points.

 By building a program based on the principle of inclusion, LEGO was able to reward their members in a meaningful way. LEGO's VIP program offers many rewards across several passions and price points. Recent reward innovations include:

• Segmented rewards (making certain rewards only available to certain customers)
• One-of-a-kind rewards (rewards that can't be found anywhere else)
• Mobile wallet (seamlessly connecting the in-store and online purchase experience)
• Bonus point multipliers (awarding members double or triple points for purchases of specific SKUs). 

Giving credit to LEGO, with so many ways to earn and redeem, everyone can have an experience that makes them feel like a VIP. The Lego VIP program is also receiving industry recognition. Congrats to LEGO on their recent  Loyalty360 Platinum award  for Incentive and Reward design! 

Disney Movie Insiders leverages data to create magical moments 

Walt Disney Studios owns fan-favorite brands, such as Marvel, Star Wars, and Pixar. They revamped their loyalty program to better engage with members through new channels and capture data to deliver a better customer experience. 

Disney's Movie Insiders creates direct connections with Disney fans and generates excitement and buzz around upcoming title releases while offering customers rewards for their purchases. The program encourages and tracks viewership across channels and formats while building progressive member profiles regarding their household makeup, movie interests, viewing preferences, and more. Data has been the primary focus of the program and drives future enhancements. 

Also, Disney Movie Insiders has expanded its network, making it easier for customers to earn points for engagement and get rewarded for all purchases. As many Disney fans swapped nights at the movie theater for movie nights at home this year, Disney ensures members are rewarded for every movie purchase, no matter where it's made. Members are rewarded with exclusive reward opportunities like future Disney releases, one-of-a-kind merchandise, and experiences. 

Learn more about how Disney's loyalty program truly puts its members on the  inside  of their brands and new releases in this webcast recording .

teamtarte stands out from the crowd through personalization and authenticity

tarte cosmetics is a beauty industry leader with its eco-chic, cruelty-free cosmetics and hypoallergenic, vegan skincare. Because the company operates in an exceptionally competitive space with rapidly changing trends and high-frequency purchases , tarte sought an omnichannel customer loyalty solution to differentiate it from the competition. With a passionate customer base and a plethora of assets to share—from video tutorials to user-generated content—tarte required a loyalty program platform that could incentivize and reward customers for both spending with the brand and engaging with its website. 

Powered by CrowdTwist Loyalty and Engagement, teamtarte drives program participation through tiered membership, rewarding customers for engagement, capturing and actioning on behavior and preference data, and evolving the program to keep it fresh. teamtarte members can earn points by completing product quizzes, completing a beauty profile, and inviting friends to shop at tarte.com. 

Through these brand-authentic engagement activities, tarte improved its data-driven marketing and created personalized customer experiences across all brand channels. It's no surprise that tarte customers love the program. Loyalty members make up about 20% of tarte's customer base and, on average, 50 to 55% of revenue.

Foot Locker FLX puts loyal customers a step ahead with priority access

There are six brands within the Foot Locker family, and historically each had its own VIP program, where members could only earn discounts based on spend. Foot Locker relaunched their loyalty program with the promotion and celebration of sneakerhead culture at its core, uniting all brands under one umbrella program.  FLX  is a three-tiered program where members can unlock additional benefits, access, and opportunities as they enter higher tier statuses.

FLX members can redeem points for Head Starts—a reservation slot for an upcoming product release—one of the most prominent program advantages, especially among members in the higher tiers. Customers also have a huge amount of flexibility around choosing how to spend points, whether they are motivated by discounts, exclusive merch, partner rewards, or charity donations. Through FLX, Foot Locker is deepening customer connections and nurturing communities amongst all of its members. 

Foot Locker reported impressive FLX membership numbers during the company's  Q3 2020 Earnings Call .  FLX has surpassed 11 million members in the US in Q3. Members are spending an average of 40% more than non-members. They also tend to shop more frequently, with the number of orders per customer more than 50% higher on average than non-members.

I look forward to showcasing how Oracle CrowdTwist clients continue to leverage their loyalty programs for growth in the new year.

To learn more about how to drive deeper engagement with customers, check out:

Oracle CrowdTwist Loyalty and Engagement

Oracle Marketing Customer Loyalty Resource Hub

Oracle Marketing

Jessica Kaufman

Senior product marketing manager.

Jessica Kaufman is a Senior Product Marketing Manager at Oracle with more than 10 years of industry experience.

No one could have predicted how 2020 would unfold—what impact it would have on businesses and our new perceived definition of 'normal.'  Now more than ever , brands are shifting their strategies to focus on the retention and engagement of existing customers. At Oracle CrowdTwist Loyalty and Engagement , we believe loyalty is about creating emotional connections with customers and cultivating brand advocates and communities to enable brands to grow. 

To successfully drive customer loyalty, brands must provide seamless (and relevant) customer experiences at every interaction. In a year challenging year for brands, I want to highlight a few clients and how their innovative loyalty programs help them engage more and deepen relationships with their customers.

Vitamix is a family-owned business that manufactures high-performance blending solutions. The brand recognized its need to be more relationship-first and customer experience-focused. They partnered with CrowdTwist Loyalty and Engagement to launch  Vitamix Rewards , a free loyalty program for new, existing, and future Vitamix customers. 

Loyalty members can earn points through purchasing directly on Vitamix.com, registering their products, uploading receipts from wholesalers, or engaging with exclusive content (like free recipes and product tips and tricks). Earlier this year, Vitamix took a step back from sales messaging and promoted a healthy-made-easy campaign, intending to help their customers incorporate more whole foods into their diet and use Vitamix Rewards as a vehicle for healthy life choices. They even released a new recipe where customers could use their Vitamix blender to make their own hand sanitizer. 

Kudos to the Vitamix team on their timely shift in strategy and messaging; the program is definitely resonating with customers. Vitamix Rewards members are purchasing 25% more units per order compared to non-members while driving a 30% increase in product reviews per month. Learn more about how Vitamix is  elevating customer experiences here . 

 By building a program based on the principle of inclusion, LEGO was able to reward their members in a meaningful way. LEGO's VIP program offers many rewards across several passions and price points. Recent reward innovations include:

• One-of-a-kind rewards (rewards that can't be found anywhere else)
• Bonus point multipliers (awarding members double or triple points for purchases of specific SKUs). 

Giving credit to LEGO, with so many ways to earn and redeem, everyone can have an experience that makes them feel like a VIP. The Lego VIP program is also receiving industry recognition. Congrats to LEGO on their recent  Loyalty360 Platinum award  for Incentive and Reward design! 

Disney Movie Insiders leverages data to create magical moments 

Walt Disney Studios owns fan-favorite brands, such as Marvel, Star Wars, and Pixar. They revamped their loyalty program to better engage with members through new channels and capture data to deliver a better customer experience. 

Disney's Movie Insiders creates direct connections with Disney fans and generates excitement and buzz around upcoming title releases while offering customers rewards for their purchases. The program encourages and tracks viewership across channels and formats while building progressive member profiles regarding their household makeup, movie interests, viewing preferences, and more. Data has been the primary focus of the program and drives future enhancements. 

Also, Disney Movie Insiders has expanded its network, making it easier for customers to earn points for engagement and get rewarded for all purchases. As many Disney fans swapped nights at the movie theater for movie nights at home this year, Disney ensures members are rewarded for every movie purchase, no matter where it's made. Members are rewarded with exclusive reward opportunities like future Disney releases, one-of-a-kind merchandise, and experiences. 

Learn more about how Disney's loyalty program truly puts its members on the  inside  of their brands and new releases in this webcast recording .

teamtarte stands out from the crowd through personalization and authenticity

tarte cosmetics is a beauty industry leader with its eco-chic, cruelty-free cosmetics and hypoallergenic, vegan skincare. Because the company operates in an exceptionally competitive space with rapidly changing trends and high-frequency purchases , tarte sought an omnichannel customer loyalty solution to differentiate it from the competition. With a passionate customer base and a plethora of assets to share—from video tutorials to user-generated content—tarte required a loyalty program platform that could incentivize and reward customers for both spending with the brand and engaging with its website. 

Powered by CrowdTwist Loyalty and Engagement, teamtarte drives program participation through tiered membership, rewarding customers for engagement, capturing and actioning on behavior and preference data, and evolving the program to keep it fresh. teamtarte members can earn points by completing product quizzes, completing a beauty profile, and inviting friends to shop at tarte.com. 

Through these brand-authentic engagement activities, tarte improved its data-driven marketing and created personalized customer experiences across all brand channels. It's no surprise that tarte customers love the program. Loyalty members make up about 20% of tarte's customer base and, on average, 50 to 55% of revenue.

There are six brands within the Foot Locker family, and historically each had its own VIP program, where members could only earn discounts based on spend. Foot Locker relaunched their loyalty program with the promotion and celebration of sneakerhead culture at its core, uniting all brands under one umbrella program.  FLX  is a three-tiered program where members can unlock additional benefits, access, and opportunities as they enter higher tier statuses.

FLX members can redeem points for Head Starts—a reservation slot for an upcoming product release—one of the most prominent program advantages, especially among members in the higher tiers. Customers also have a huge amount of flexibility around choosing how to spend points, whether they are motivated by discounts, exclusive merch, partner rewards, or charity donations. Through FLX, Foot Locker is deepening customer connections and nurturing communities amongst all of its members. 

Foot Locker reported impressive FLX membership numbers during the company's  Q3 2020 Earnings Call .  FLX has surpassed 11 million members in the US in Q3. Members are spending an average of 40% more than non-members. They also tend to shop more frequently, with the number of orders per customer more than 50% higher on average than non-members.

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Customer Loyalty Programs: Best Strategies and Examples of 2024

Should businesses bother with customer loyalty programs? If you were to ask customers, you’d see the appetite is clearly there. In 2022, the average American was a member of 16.6 different loyalty initiatives . 

Given that retaining existing customers is much more cost-effective than acquiring new ones, launching your own program might seem like a no-brainer. But there’s a catch: out of all the programs they’ve signed up for, Americans actively participate in fewer than half .

To reap the many potential benefits of your loyalty program, you’ll need a strategy to make it engaging, relevant, and cost-effective. 

This article will introduce how a strong loyalty program can put you on a solid path to sustainable growth. Then, we’ll cover some of the essential elements to include in your program.

What are customer loyalty programs?

A customer loyalty program encourages shoppers to make purchases or engage with a brand by offering benefits such as discounts, freebies, or VIP treatment.

These programs can take a number of different forms, but they’re all based on the idea that loyalty is good for business . 

Rather than pouring your marketing budget into finding and converting new customers, you’re getting more value from those who have already become part of your ecosystem.

The benefits of customer loyalty programs

The best loyalty programs are chock full of benefits for both the business and its customers.

Customers enjoy:

• Rewards – With most programs, customers receive rewards. These may be perks such as discount codes, VIP treatment, freebies, or points that can be collected and redeemed.
• Personalized experiences – Personalization is a major driver of customer loyalty. By registering for loyalty programs and actively participating, customers provide companies with data on their shopping habits and interests. Businesses can use this information to share relevant recommendations and incentives with that customer.
• A sense of belonging – Customers gravitate to brands that complement their sense of who they are. Loyalty programs create the feeling of an “insider” community, especially if the brand is active on social media and encourages interaction between members.

Meanwhile, businesses benefit from:

• Repeat business – The chance to use or unlock rewards, coupled with a sense of connection to your brand, encourages customers to come back and purchase from you again. 
• Enhanced customer data – As customers sign up for your customer loyalty programs and spend more time on your site, you’ll learn more about who they are – their preferences, behavior patterns, and demographics. Use this information to target your marketing efforts, improve your site experience, and more.
• Brand awareness – Customers who feel connected to your brand are more likely to recommend it to friends and family or engage with you on social media, bolstering your brand reputation and broadening your potential customer pool.

How do loyalty programs work?

Points-based programs.

In points-based programs, customers earn points for making purchases or for engaging with your brand (for instance, by leaving product reviews or starting a wishlist). They can redeem the points for rewards or discounts.

• Simplicity – Points-based programs are usually easy to understand for both customers and businesses, providing a clear incentive structure.
• Flexibility – Customers can collect points over time and choose when and how to redeem them for their favorite products or services.
• Potential for abuse – Depending on the structure of the program, customers might engage in strategic behavior to maximize points without necessarily increasing their loyalty to the brand.
• Perceived lack of value – If the redemption options are unexciting or require too many points for significant rewards, customers may feel discouraged from participating.

Source: Starbucks Rewards

Tiered loyalty programs

Tiered customer loyalty programs categorize customers into different levels based on their loyalty or spending levels. Each tier offers escalating benefits, encouraging customers to strive for higher tiers.

• Gamification – Tiered programs create a sense of achievement and progression, motivating customers to increase their spending to reach higher levels.
• Enhanced engagement – Offering exclusive benefits at each tier fosters a sense of exclusivity and encourages customers to remain loyal to the brand.
• Complexity – Managing multiple tiers and benefits can be challenging for businesses, leading to potential confusion or inconsistencies in program implementation.
• Exclusivity concerns – Customers who are unable to reach higher tiers may feel like second-class citizens, leading to dissatisfaction and reduced loyalty.

Source: Lancome

Paid membership programs

Paid membership programs require customers to pay a fee in exchange for access to exclusive perks, rewards, or services.

• More revenue – Paid membership fees provide a steady stream of income for businesses, offering financial stability and a basis for long-term planning.
• Enhanced loyalty – Customers who invest in paid memberships are more likely to remain loyal to the brand to justify their investment and maximize the benefits.
• Limited appeal – Customers need to feel that the value of the brand is worth the membership fees. Otherwise, they might be reluctant to take the plunge.
• Dissatisfaction – If the benefits of the paid membership don’t live up to promises or justify the cost, customers may churn.

Source: Uber One

Value-based programs

These customer loyalty programs are aimed at forming an emotional bond with customers. Rather than offering them perks and shopping incentives, you donate a percentage of revenue from each purchase to a cause that fits with your brand values.

• Positive brand image – Customers are increasingly interested in shopping with brands whose values they share. This is a way to show your humanity and prove you have a genuine desire to do good.
• Emotional connection – By supporting you, customers feel like a partner in a shared initiative. 
• Limited appeal – Not all customers will share your philanthropic drive.
• No direct rewards – Customers won’t receive any tangible shopping rewards (such as points they can “spend”) so they may be less incentivized to return.

Source: More Rewards

How to create a customer loyalty program

Designing a successful customer loyalty program requires careful planning and consideration of various factors. Here are four key steps that businesses should follow when creating and implementing a loyalty program:

1. Define objectives and target audience

Begin by clearly outlining the objectives of your loyalty program. Are you focused mainly on increasing customer retention, encouraging higher spending, or attracting new customers?

Then, zero in on your target audience. If you’re aiming to boost average order value, take a look at your current high-spending customers. What do they have in common? What do their purchasing patterns look like?

Start building a profile of your ideal loyalty program customers so that you can tailor your structure, incentives and (later) your marketing and communications tactics to them.

2. Choose the right program structure

With your objectives and audience clear, it’s time to settle on a structure for your program. 

Think through the advantages and disadvantages of each structure, weighing factors such as complexity, engagement potential, and cost-effectiveness.

There’s no right answer here – it’s all about what fits best with your goals, resonates with your customers, and fits with your business model and resources.

3. Design rewards and incentives that get noticed

Your rewards are the hook for your entire program, so choose incentives that provide tangible value and motivate customers to engage.

These rewards could include discounts, free products, or exclusive access to events or experiences.

Source: Sephora

4. Implement tracking and analytics

Finding software to build your customer loyalty program

With a thoughtful and well-balanced loyalty program in place, you have a powerful foundation for sales growth, a stronger brand reputation, and brand-new opportunities to engage with both veteran and budding fans.

When you’re ready to start setting up your program, you’ll need a software solution that can help you allocate points, manage rewards, and track the impact your program is having on your business. 

Breadstack provides an all in one customer loyalty program that showcases a combination of intuitive tools and meaningful analytics.

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• CASE STUDIES

7 Innovative Customer Loyalty Program Ideas to Boost Retention

A strong customer loyalty program encourages people to continue purchasing from your brand. learn how to introduce & implement this strategy to boost business..

Roland Villemoes

Customer loyalty programs have been around for decades, but they’ve become increasingly important in today's ultra-competitive business environment. 

With more and more companies vying for customers' fleeting attention, loyalty programs have become a crucial tool for businesses of all sizes to keep customers coming back for more.

In this article, we delve into the world of customer loyalty programs, exploring…

what they are,

how they work,

and why they are essential for long-term business success.

You’ll get a roadmap to help you introduce and implement a successful customer loyalty program strategy in your business. We’ll also give you some creative customer loyalty program ideas and real-world customer loyalty program examples for inspiration.

First, let’s start with the basics.

What is a Customer Loyalty Program? 

A customer loyalty program is a marketing strategy that rewards customers for their repeat business. 

By offering exclusive discounts, rewards, or other incentives, businesses use these programs to enhance customer experience and encourage those customers to continue purchasing from them. 

While the specifics of a loyalty program vary depending on the company, the basic idea is the same:

Customers sign up for the program and earn points or rewards for their purchases. 

These rewards can then be redeemed for exclusive discounts, free products, or other perks that would encourage future purchases. 

Understanding the Importance of a Customer Loyalty Program 

Before we go into the 'how' of customer loyalty programs, it's essential to understand the 'why.' 

A customer loyalty program isn't just about offering discounts or freebies. It's about building lasting customer relationships , making them feel valued, and ensuring they choose your brand over competitors. 

With a well-structured customer loyalty program, you not only increase repeat purchases but also convert your regular customers into enthusiastic brand ambassadors. 

This, in turn, can lead to more customers and increased revenue over time. 

Let’s take a look at some of the earliest examples of customer loyalty programs that helped pave the way for the rest of us. 

The 70s and 80s were pivotal decades for American businesses, with many venturing into the realm of customer loyalty programs to retain market share.

These initiatives seem rudimentary, but they were precursors to the myriad of sophisticated customer loyalty programs we see today. 

Here are some of the most popular “analog” loyalty programs from the past:

✈️ Frequent Flier Programs

American Airlines' AAdvantage launched in 1981, becoming what was arguably the first major frequent flyer program. Members earned miles based on the distance flown, which could later be redeemed for free flights. 

United's Mileage Plus took off in 1982, shortly after American's program. Like AAdvantage, passengers earned miles which could be exchanged for various rewards.

💳 Credit Card Rewards

The idea of credit card rewards started to take shape in the 80s. Card companies like American Express offered a range of benefits, including travel insurance and all kinds of discounts, which were early forms of loyalty perks.

🛍️ Retailer Charge Cards

Department giants like Macy's and Sears all had their own credit cards that often came with special offers or discounts, incentivizing shoppers to make repeat purchases and remain loyal to the brand.

⛽ Gas Station Loyalty Programs

Gas stations started offering loyalty stamps or cards, which could be collected and redeemed for various goods or discounts on gasoline.

🍟 Fast Food Promotions

Chains like McDonald's began running promotional events where customers could collect game pieces or stickers with purchases, later redeeming them for prizes or food items. 

🥣 Cereal Box Promotions

The 70s and 80s saw cereal companies offering toys, stickers, and mail-in rebates inside or on the boxes, ensuring kids and parents alike would remain loyal to specific brands.

🥪 Stamp Cards

Before digital loyalty cards and apps, Subway had a simple paper card where you'd get a stamp for every six-inch sandwich purchased (two stamps for a footlong). Collect enough stamps, and you'd get a free sub. 

📼 Video Rental Stores

As video rental stores like Blockbuster started emerging in the 80s, some began offering loyalty incentives, such as rent X number of movies, get one free.

🥫 Grocery Store Loyalty Cards

Chains like Kroger and Safeway introduced loyalty cards that gave customers access to special prices not available to lowly non-cardholders. This was the beginning of today’s ubiquitous grocery loyalty programs.

🦒 Birthday Clubs

More of a customer engagement tool than a modern loyalty program, Toys "R" Us Geoffrey's Birthday Club allowed kids to receive a birthday card, a call from Geoffrey (the giraffe mascot), and a special in-store celebration.

🥤 Sweepstakes and Prize Rewards

Although it began in the early 2000s, the foundation of Coca-Cola’s My Coke Rewards was laid in the 90s. Consumers would collect codes from bottle caps and can boxes, then they would enter them online to redeem rewards or enter sweepstakes.

What Today's Consumer Wants in a Loyalty Program

Today's consumers are savvy and discerning, and they expect more from loyalty programs than ever before. 

Here are seven things that modern consumers want in a loyalty program: 

1. Personalization in Marketing 

In this age of big data and AI, generic offers don't cut it anymore. Today's consumers appreciate when brands offer tailored rewards or recommendations. In fact, they are demanding personalized marketing . 

According to a McKinsey report , 71% of consumers expect companies to deliver personalized interactions. And 76% percent get frustrated when this doesn’t happen.

2. Seamless Digital Integration  

Whether it's through a mobile app or a website, a smooth digital experience is a must for modern shoppers . Easy access to points balance, reward redemption, and personalized offers right at one's fingertips is what today's consumers expect. 

3. Instant Gratification 

Delayed rewards are a real buzzkill. Quick points accrual and instant rewards or discounts make modern consumers feel immediately valued. That instant gratification will make customers remember you when it’s time to buy again.

4. Flexibility in Redemption 

Having a variety of options for points redemption, be it free products, experiences, or even charity donations, gives the consumer a sense of control and satisfaction . 

5. Tiered Rewards

A structured loyalty program where consumers can "level up" based on their interactions with the brand can create an engaging and gamified experience. The promise of better rewards at higher tiers can incentivize continued brand interaction . 

6. Exclusive Experiences

Beyond discounts and freebies, exclusive experiences or early access to sales/products can make customer loyalty program members feel truly special and valued. 

7. Transparency and Simplicity  

A clear and straightforward points system, without hidden terms, makes it easy for today’s stressed and overwhelmed consumers to understand and engage with the loyalty program.

 What Today's Consumer Does NOT Want in a Loyalty Program

On the flip side, there are things consumers don’t want in a loyalty program . 

Here are seven of the biggest turn-offs for modern consumers when it comes to loyalty programs: 

❌ Overwhelming Communications 

While staying in touch is essential, bombarding consumers with daily emails or notifications can lead to annoyance and disengagement, which is the opposite of what you’re looking for. 

❌ Complicated Terms and Conditions 

Hidden clauses, blackout dates, or convoluted terms for points redemption can frustrate consumers and break trust. Who has time to read the fine print these days?

❌ Expiry of Points 

What feels worse than having a great accumulation of points only to find out that they've expired? Short expiration periods can be a real deterrent to customer loyalty program engagement. 

❌ Limited Utility 

If points can only be used in certain locations, during specific times, or on a small selection of products, it diminishes their perceived value. 

❌ Lack of Value

If consumers feel they have to spend too much to earn minimal rewards, they will question the loyalty program's value proposition.

❌ Data Privacy Concerns

Lack of clarity on data usage or weak data protection measures can be deal-breakers for today’s security-minded online shoppers. 

❌ Inconsistent Experiences Across Channels

If a consumer earns points online but can't redeem them in-store (or vice-versa), it creates a disjointed and frustrating experience. Make sure your program can work in-store and online. 

Examples of Today’s Best Customer Loyalty Programs 

While every business is different, there are many successful customer loyalty program examples to draw inspiration from. 

☕ Starbucks Rewards. Starbucks' loyalty program offers coffee-loving customers the chance to earn points (perks) for their purchases, which can be redeemed for free drinks and food. The program also offers personalized offers and early access to new products. 

💄 Sephora Beauty Insider. Sephora's customer loyalty program offers exclusive discounts, free products, and early access to sales. The program also offers personalized recommendations and experiences. 

⭐ Amazon Prime. While not strictly a customer loyalty program, Amazon Prime's subscription service offers free two-day shipping, access to exclusive discounts, and other perks that encourage repeat business. 

🎯 Target Circle. Target's customer loyalty program offers members exclusive discounts and personalized recommendations. The program also allows customers to vote on where Target donates money to charity. 

💊 CVS ExtraCare. CVS's loyalty program offers customers exclusive discounts and personalized offers. The program also offers rewards for healthy behavior, such as filling prescriptions or getting flu shots.

🏪 Costco Membership. While Costco doesn't have a traditional point-based loyalty program, its entire business model is built around a membership system, which inherently promotes loyalty among its customers. To shop at Costco, you need a membership. Members are more likely to shop at Costco to "make the most" of their membership fee. 

Not all modern customer loyalty programs hit the mark. Some have faced significant challenges or outright failures. 

Here are some examples of customer loyalty programs that didn't succeed as intended:

🤑 Plenti. Launched in 2015 by American Express, Plenti was a multi-retailer loyalty program in the U.S. where users could earn points at one retailer and use them at another. 

Despite having big names like Rite Aid, AT&T, and Exxon on board, the program faced challenges. Retailer participation dwindled over time, and consumers found the program confusing and less rewarding. Plenti was discontinued in 2018.

💻 Best Buy's Reward Zone. Best Buy's original Reward Zone program offered points for purchases that could later be redeemed for store credit. 

However, the initial version of the program had a yearly fee, which didn't sit well with many consumers, especially given that many other retailers offered free loyalty programs. Best Buy eventually recognized this misstep, making the program free and then transitioning to the "My Best Buy" program.

💵 Starbucks Gold Card (initial version). In 2008, Starbucks introduced the Gold Card, which came with a $25 annual fee. 

While members enjoyed “perks” like free Wi-Fi and discounts, many consumers balked at the idea of paying a fee, especially during an economic downturn. Starbucks soon revamped its loyalty strategy, ditching the fee and introducing the now hugely successful Starbucks Rewards program.

⛔ J.C. Penney's No Discounts Strategy. While not a traditional loyalty program, it's worth noting the significant shift in J.C. Penney's pricing strategy in 2011 under CEO Ron Johnson. 

The company aimed to simplify pricing by eliminating sales, discounts, and most coupons, opting for "Every Day" low prices instead. Loyal customers who loved hunting for deals felt alienated, leading to a steep decline in sales. The strategy was quickly reversed.

How To Create A Customer Loyalty Program

Now that we've explored what modern consumers want and don't want in a loyalty program, let's talk about how to implement a successful customer loyalty program strategy for your unique business.

1. Understand Your Customers

Before you can create a successful loyalty program, you need to understand your customers' needs and preferences. Conduct market research and gather data on your customers' behavior to inform your program's structure. 

2. Set Clear Goals

What do you hope to achieve with your loyalty program? Increased revenue? Increased customer retention? Increased brand awareness? Setting clear goals will help you design a program that meets your business's specific needs. 

3. Offer Personalization

As we've discussed, personalization is key to a successful loyalty program. Offer tailored rewards and recommendations based on your customers' behavior and preferences. 

4. Keep it Simple

A complicated loyalty program can be a turn-off for consumers. Keep your program simple and easy to understand, with clear terms and conditions. 

5. Communicate Effectively

Keep your customers informed about their rewards and how to redeem them. Avoid bombarding them with too many emails or notifications, but ensure they are aware of their rewards and how to use them. 

6. Measure Your Success

Use data analytics to measure the success of your loyalty program. Are customers engaging with your program? Are they redeeming their rewards? 

Use this data to refine and improve your program over time. In conclusion, customer loyalty programs are an essential tool for businesses looking to build lasting relationships with their customers. 

Innovative Customer Loyalty Program Ideas To Consider

🤝 Collaborate with Non-Competing Brands . Partner with a brand that complements yours to offer combined rewards. 

For example, a coffee shop might team up with a local bookstore.

💞 Exclusive Events for Members: Host events or workshops that are exclusive to loyalty program members.

For instance, if you’re a local bookstore, host writing workshops or book signings for members only.

🎂 Birthday and Anniversary Bonuses. Celebrate personal milestones with your customers by offering them special rewards.

You might try sending a discount code to your customers on their birthday or pop a small gift in the mail!

🗞️ Engage Through Content: Offer members exclusive content, such as webinars, articles, or videos, that adds value beyond just purchases.

If you’re a thought leader or subject matter expert, consider hosting an exclusive, members-only podcast. 

By understanding what modern consumers want and need in a loyalty program, businesses can create a personalized and engaging experience that keeps customers coming back for more. 

With the right strategy and a great implementation partner , a successful loyalty program can lead to increased revenue, increased customer retention, and increased brand awareness.

The Alpha Solutions team would be happy to help your company develop and implement a strategic customer loyalty program that will lead to your long-term success. 

Click here to get in touch with us.  

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CUSTOMER LOYALTY

9 Perfect Customer Loyalty Program Ideas (With Examples)

by Emma Kimmerly

November 14, 2022

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Table of Contents

These customer loyalty program ideas will help you foster the loyalty of an existing customer.

If even your most loyal customers barely know about your loyalty program — or don’t have enough reason to sign up — then you might still struggle to keep them returning to buy more. That's where these customer loyalty program ideas come into play.

Here are a few dozen ideas you can use to ensure your loyalty program gets the engagement it deserves.

When To Add A Loyalty Program To Your Business

Your customer loyalty program will create a “stickier” brand by incentivizing existing customers to remain customers. 

But the question isn’t whether to add a loyalty program. It’s when to add one. Here are a few signs that you have the engaged customer base necessary to launch a program of your own:

• A good number of customers with three purchases. Some 88% of customers say they feel loyalty to a brand after about three purchases. Is it a hard and fast rule? No. But you should look at your customer base. If you have enough customers who have bought from you multiple times, you’ll know you have a foundation to work with.
• High conversion rates, but low retention. Maybe you have an established customer base, but the long-term value of your customers leaves a little bit to be desired. If you can convert web visitors into customers, but still struggle with long-term retention, a customer loyalty program might be the medicine you need.

Learn more:  New to Loyalty Marketing? Start Here

Customer Loyalty Program Ideas For Small Businesses

If building long-term customer loyalty retention was as easy as announcing a new program and saying, “here it is,” this would be a short article. But your customer loyalty program needs to meet your customers’ preferences, too. 

After all, customer loyalty programs are all about rewarding the customer behavior you want. And depending on your business, you might want different types of customer behavior. Here are some ideas for building different types of loyalty programs .

Points-Based Loyalty Programs

A points-based loyalty program gives customers the ability to accrue rewards over time. This has the advantage of being more affordable on your end. Rather than giving out a prize for every new purchase they make, a purchase might equal a set number of points. Enough purchases, over time, could trigger a reward.

Here are a few ideas for making this work for you:

• Points per dollar spent. The Friendbuy loyalty program features , for example, let you set “ten points per $1 spent”, or whichever amount makes sense for your business. This helps build loyalty because it gives a customer a little satisfaction even if they spend only a few dollars at a time. 
• Advertise loyalty points on a product purchase page. Want to push a specific product? Have it count for more loyalty points. Or add some oomf to a product page by advertising the rewards points a customer receives from the purchase.

Tiered Loyalty Programs

Customers always love a good upgrade. That’s what tiered loyalty programs offer. Rather than giving them linear rewards ($10 spent = 10 reward points), you give them a chance to expand their rewards over time. You’ll have to be careful about just how much you give away for the highest tiers — otherwise, you face a “be careful what you wish for” situation.

Here are some best practices:

• Limit your tiered rewards . For example, Casper once ran a tiered customer referral program by limiting one tier to a $200 gift card. They still wanted to hand out an evergreen $75 gift card, however, so they created separate tiers. Be wary of setting up tiers that give your customers the potential for compounding rewards beyond what they sink into your company. Make sure to check the math on your customer incentives so that your program continues to have a high ROI.
• Show customers what they can earn with your loyalty program. Take the image below. Cora outlines exactly how much customers can earn per referral — and when the upgrades kick in. Do the same with your loyalty program to dangle a carrot in front of your customer. Let them know ahead of time what they can expect.
• Make it exciting. Unlocking a second or third tier of rewards should be exciting. So push it! Make sure customers understand that when they engage more with your loyalty program, they’ll get more out of it. A flat rate of points-per-dollar spent simply isn’t motivating enough to inspire legions of fans to become VIPs. Give them the encouragement and the incentives to land themselves on the higher tiers.

Paid Loyalty Programs

Few incentives are as motivating as cold, hard cash. A paid loyalty program is especially great if you need to inspire more customer loyalty in a young brand. As your brand builds loyalty and familiarity, you might offer other incentives. But until then, grab attention for your loyalty program by offering substantial discounts or paid rewards.

• Use introductory offers. A 2020 McKinsey study found that paid loyalty programs made customers 60% more likely to buy, compared to “free” loyalty programs and their 30% rate. Sometimes, the best way to spark loyalty is to go big right out of the gate.
• Incentivize customers to use their on-platform dashboards. When you give customers their rewards, link them to their dashboards on your site. You want them to think of your site as a “homepage” for what they do online. This doesn’t only inspire loyalty, but decreases the friction to buying more from your brand down the line — simply because they’re already on your site.

Value-Based Loyalty Programs

What inspires brand loyalty? A lot of things. But near the top of the list is a value shared between a customer and a brand. Among millennials, 83% of customers prefer to link with a brand that shares their values. 

You can structure your rewards to reflect that. For example, TOMS shoes famously donated a pair of shoes to children for pairs its customers bought. 

• Choose rewards that align with your customers’ values . Maybe people don’t come to your shop because they want cold, hard cash. Consider what else would be incentivizing for the kinds of customers you do want to attract. Then give it to them.
• Ask for customer feedback. This is when the back-and-forth conversation comes in handy. Ask for customer feedback on every aspect of your brand, including your loyalty program. What is motivating your customers? What is making them click on other brands? Answer those questions, and you’ll customize a loyalty program that suits your audience.

Customer Loyalty Cards

If you remember that episode of Seinfeld in which Elaine keeps returning to a sub shop with mediocre sandwiches because of her loyalty cards, you’ll know the appeal here. She didn’t even like the subs! But she kept coming back for the promise of a free one. 

Hopefully, you’re not selling mediocre subs. But the appeal of the customer loyalty card is that it serves as a sort of “token” of your customer’s loyalty over time.

• Find ways to keep the customer invested. If your customer loyalty cards are digital, you can create visual references that show their progress over time. After all, which customer is really going to go to a competitor’s brand if they see 9 out of 10 boxes checked off on their customer card with you ?
• Remind them about the prizes. If your customer login page says “98% of the way to a gift card,” for example, you’ll inspire action on their part. Sometimes customers need these gentle nudges to remember that they have points with you. Send them email nudges or keep an active tally on their customer page.

Loyalty Program Discounts

A good discount is incentivizing for the customer, sure. But it has an added benefit for you: it keeps the customer’s rewards in-house. This means that even when the customer is rewarded, they might use that discount toward something you’re selling. And that’s an opportunity for cross-selling, upselling, and adding to your average order value (AOV).

• Give people digestible milestones. The “ten subs for a free sub” is a great example of this. That’s less than two weeks of lunch at the same restaurant. To make your loyalty program discounts work, give people digestible milestones so they’ll be encouraged by their progress — and more likely to take action.
• Dole out store discount codes. Take the example below. No, the points aren’t cold hard cash. They’re store credit and discount codes. But do they look any less rewarding when presented as part of a customer loyalty program?

Gamified Loyalty Programs

“Gamification” refers to modeling your loyalty programs on modern-day mobile and video games. These games have made a science out of keeping people’s interest. Rewards, upgrades, “ding” notifications that add satisfaction to tiny transactions. They all add up to making your customer’s journey that much more compelling. But how do you gamify your loyalty programs? 

• Small actions, small rewards. Imagine playing “Mario” without a few stars to collect along the way. It would be a drag. To inspire more action with your loyalty programs, start new customers off with small actions to create small rewards. 
• Create competition. The competitive instinct is part of what drives us to stick with our journey. If we see our names climbing up a leaderboard, for example, we’re motivated every time we “win.” Even a set of first-place through third-place prizes (like in the Nature Box example below) can inspire people to take more action.

Tie Credit Cards To Rewards Accounts

Sometimes, getting a loyalty program to work is as simple as removing any friction from your rewards plan. Customers already have credit cards in their wallets. Tie your loyalty program to their credit cards, and you’ve made it simpler for them to redeem their rewards.

• Encourage customers to save credit card information when they sign up to your loyalty program. Saved credit card information makes for a faster ordering process in the future. It reduces customer friction and gets customers much closer to one-click ordering from your store. 
• Give customers more options. Store credit is a nice reward. But if that’s the only reward your customers can redeem? Some might prefer something more direct. Take Sephora’s Beauty Insider rewards program , which lets customers choose how they get their rewards. 

Reward Tracking On Smartphones

A customer with a rewards balance on their account is one of the warmest possible leads. It’s money that’s burning a hole in their pocket. But sometimes, customers forget about your program. They may even forget they have rewards points built up in an account. 

The solution is to enable reward tracking on smartphones. If the average person checks their smartphone 96 times per day , it’s like giving your customers a subtle nudge almost every hour. Here’s what to do:

• Place your loyalty program in a prominent location in your app. Below, you’ll see an example from Thinx, which uses reminder emails and tracked referral invitations to create a simple output: “Total credits available for use.” Make sure it’s easy for customers to view their current status on your app, or even simply the mobile version of your website.
• Use push notification reminders — but sparingly. Push notifications can annoy us when they’re irrelevant or too salesy. But a push notification (via an email reminder) that reads: “You have $40 to spend — on us”? That’s a prompt that will bring your customers back.

How To Build A Customer Loyalty Program

Launching a new loyalty program isn’t as simple as setting up rewards, setting up the loyalty program software , and crossing your fingers that customers will respond. To reap the benefits of a loyalty program , you have to build your loyalty program in a way that draws in customers. We recommend the following loyalty program best practices :

Choose Unique Earning Events 

Your first step is to nudge customers over the starting line. We recommend using “unique earning events.” These events can be triggers for inspiring someone to sign up to your loyalty program, based on an action they’ve taken on your store. For example:

• Signing up for SMS marketing
• Purchasing a specific product, or from a specific category
• Downloading your mobile app

These actions usually require granting you permission to contact them. So use it! Prompt your customers with an invitation to join your loyalty program — and make sure you tell them what kinds of rewards they’re leaving on the table if they don’t sign up.

Set Up Easy-to-Use Points and Rewards Redemption 

Remember that note about reducing customer friction? Seek out a platform that makes points easy to redeem. If a customer builds up $100 worth of discounts with your store, but finds them impossible to use, you’ve probably lost their loyalty. But if they can find one easy button for converting discounts into purchases, they’ll keep coming back.

Create Personalized Member Dashboards 

Did you know 87% of customers are open to letting you track activity if they get more personalized rewards? That’s the power of customizing your rewards program to their needs. Friendbuy’s platform helps you build customized dashboards so customers can track their loyalty rewards balance, reward activities, and recent loyalty events they’ve completed.

Integrate Loyalty Into Your Customer Journeys 

Don’t simply set up a loyalty program and wait for customers to find it. Actively integrate it into milestones along your typical customer journey.

 For example, Friendbuy and Segment partner up to integrate a loyalty program push into events like app downloads or in-store purchases. You can further optimize these sign-in pathways by using Segment to examine your customer data. Find out where customers are most amenable to your loyalty program, then send them the prompt.

Set Your Business Rules

Every good program has rules. Your customer loyalty program will be no different. After all, you want to inspire customer loyalty — not inspire customers gaming your system. Here are some examples of rules you can set with Friendbuy:

• New customer validation / security rules
• Minimum purchase thresholds
• Caps on rewards
• Customer authentication and logins required

Provide Multiple Opportunities For Customers To Enroll

Do you know that old saying “all roads lead to Rome”? You should try to get your customer loyalty program to work a little bit like that. Don’t isolate it to one small sign-up button, hidden away on a post-purchase page. Keep experimenting with multiple touchpoints. That way, you’ll see which ones generate the most engagement.

Instead, sell the customer loyalty program at multiple interaction points. For example, 46% of Walmart’s referral revenue comes from a CTA placement on mobile web:

Make Data-Driven Loyalty Decisions

Let’s be honest. Your customer loyalty program probably isn’t going to be 100% perfect right away. But that’s okay. As long as you use dashboards like Friendbuy’s 24/7, easy-access dashboards, you’ll view whether you’re on track or not. You can also isolate key variables like revenue-per-member to see where you might need to spruce up your offerings.

Best Customer Loyalty Program Examples

Want a shortcut to building a successful customer loyalty program? Look at what’s worked for some of the top brands. 

• Sephora: the art of turning loyalty into luxury. Sephora’s famous “Beauty Insider Loyalty Program” knows that its products can be expensive. And it doesn’t fight that fact. Instead, they use a tiered loyalty approach to inspire customers to take short-term action with an eye on long-term rewards. For example, $350 spent in one year grants “VIB” (very important beauty) status to customers, while $1,000 spent in a year grants “Rouge” status. This gamification-style approach to luxury beauty products grants rewards access at multiple levels. This ensures no customer feels left out.
• Starbucks: personalization at scale. We’re all familiar with the loyalty punch-card you might get from a local business. Buy 10, get one free. The challenge for Starbucks is to take a scaled business and make a similar loyalty program feel personal. So Starbucks’ unique rewards include special birthday treats for customers, choose-your-own-freebies, and “Bonus Star” challenges for leveling up. The result: every customer’s loyalty experience is a unique one.
• Delta Airlines: integrating credit cards. There’s a lot to like about SkyMiles: miles that never expire, thousands of potential destinations. But Delta builds customer loyalty with a powerful incentive: linking your credit card use to the airline you fly. They offer tens of thousands of points just for signing up for a Delta credit card — and once you’re signed up, you earn Delta miles. It’s a powerful incentive for staying queued in the Delta “system.”

What do these customer loyalty program examples have in common? They get creative with incentives. They don’t expect brand recognition alone to draw in customers. They go out and get those customers by giving customers reasons for signing up, staying in, and feeling like VIPs.

Tips for Building Customer Loyalty

Use a platform like Friendbuy and you’ll be off to the races with a great customer loyalty program. But it doesn’t mean you can set it and forget it. Incorporate the following tips to incentivize customers to keep coming back:

• Provide Exceptional Customer Service. You can offer all the incentives you want. Ultimately, you earn customer loyalty with how you treat your customers. Invest in exceptional customer service to ensure low customer churn from your loyalty programs, increasing the lifetime value of each customer you convert.
• Share Positive Customer Experiences. Don’t expect customers to discover how great your loyalty program is. Show them! Post positive customer experiences to your blog, your social media platforms, and even your post-purchase pages.
• Reward A Variety Of Customer Actions. Don’t expect customers to be thrilled with a straight “$1 spent = 1 point earned” arrangement. Like Starbucks and Sephora, give them different tiers, different rewards, and different experiences to maintain their interest.
• Offer Unexpected Rewards. Starbucks’ different “freebies” are a great idea, and not just because people like freebies. Starbucks is a frequent destination in its customers’ routines. Different rewards mix things up for customers who are used to offering them their business, prompting greater engagement from people who might otherwise buy just a coffee every morning.

There you have it! Contact our sales team to learn how to set up a Customer Loyalty Program for your business.

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Brand devotion: 10 best customer loyalty programs

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The best customer loyalty programs boost customer retention, increase revenue, and build brand advocates. They’re essential for brands in today’s hypercompetitive market, but they’re not easy.

More than 90% of companies have some type of loyalty or rewards program. Airlines, restaurants, grocery stores, and retailers of all sizes have them. Loyalty programs have become only more important as businesses try to recover from the pandemic, when customer loyalty took a big hit.

Brands invest a lot of time and money into their programs, but ROI can be elusive. According to a Harvard Business Review survey of 400 business leaders, only 42% believe their loyalty program strategy is effective. There are a lot of rewards cards collecting dust .

Bursting at the seams: Loyalty and reward cards everywhere!

Customer loyalty program: Steps to success

So what does it take to make a loyalty program work ?

• Personalization . Miles and points have been traditional rewards, but consumers today expect experiences, perks and promotions tailored for them. This requires careful, strategic use of customer data.
• Emotional connection . Customers want to feel like a brand understands them and their values. A Capgemini study found that emotions are the biggest driver of customer loyalty and that emotionally engaged customers spend more.
• Customer service. One of the best ways to make customers feel special is by giving them excellent service. Providing members with priority access to quick help is a sure-fire way to win them over.
• Transparency . Make ease-of-use with a priority with mobile access plus complete clarity on what customers get in return for their participation.
• Revisit, revamp . The most effective programs evolve over time as brands adjust to changing consumer preferences.

Customer loyalty programs: How brands can create a virtuous circle

You really like me: Companies doing it right

Loyalty programs have been around for a very long time, even before the era of S&H Green Stamps. Today, the proliferation of programs combined with a digital world and ever-changing buyer behavior make for a challenging space.

Here are some of the brands that have figured out a winning formula (in alphabetical order).

Alaska Airlines: U.S. News ranked the Alaska Airlines Mileage Plan as the No. 1 in its ranking of best airline rewards programs. The publication said members’ ability to earn and redeem miles with Alaska and 18 partner airlines is a plus, along with flexible redemption options.

CVS Pharmacy : With 74 million members, the CVS ExtraBucks Rewards program continues to gain popularity. Membership is free and rewards include personalized offers and discounts. The company recently rolled out changes to the 20-year-old program, including immediate access the 2% back on purchases and a new birthday benefit for those who share their special day with the company.

Barnes and Noble : It’s getting harder to find a Barnes and Noble these days, but the bookseller’s membership program offers book-loving members some good deals. For a $25 fee, Barnes and Noble offers 40% off hardcover bestsellers, 10% off store purchases, free shipping, early access to special offers, and a birthday gift.

IKEA : The ready-to-assemble furniture giant’s rewards program includes discount prices on select products, a birthday surprise, access to free workshops and events. Members of the IKEA Family rewards program, which is free to join, even get treated to a free hot beverage with every visit.

Kohl’s : The Wisconsin-based retailer last fall replaced its points-based rewards program with one that gives members 5% Kohl’s Cash on every purchase every day. Members also receive personalized offers and a birthday gift. Those who also have a Kohl’s credit card receive additional perks.

Macy’s : The retailer, which has been overhauling its operations amid the pandemic, counts its Star Rewards program as a bright spot. With 30 million members, the program offers points on every purchase, personalized discounts and perks, and a birthday gift. Store credit card holders receive additional benefits based on their annual spending, including free shipping.

Marriot : The Marriott Bonvoy program earned the top spot in U.S. News’ evaluation of hotel rewards programs. Members receive points when they stay at one of the hotel giant’s 30 affiliated brands and redeem them for hotel stays and room upgrades, flights, rental cars, and vacation packages. Marriott recently relaunched its Bonvoy Moments platform , offering concerts, culinary experiences, sporting events, and more in exchange for points.

Loyalty rewarded: Customer retention strategies for retail

Papa John’s: The fast-food chain’s rewards program recently reached the 20 million-member mark , up from 12 million members two years ago. Diners buying a ton of pizza during the pandemic was a big factor for the surge. The company credited its loyalty members for almost half of its first-quarter sales.

REI : The outdoor gear co-op takes a different tack on rewards programs with its $20 lifetime membership. The initial signup fee come with a instant 20% discount, special offers, exclusive events, discounts on equipment rentals and outdoor activities, and 10% of all purchases, which is paid as an annual dividend.

Starbucks: The omnipresent coffeehouse routinely receives high marks for its Starbucks Rewards program, which saw US membership surge to 24.2 million , a 48% year-over-year increase. Membership is free, and includes free in-store refills on coffee and tea and a free birthday drink, chances to win prizes by playing games, plus convenient order ahead services.

Personalization: It’s not magic. It’s method. Find out who does it best   HERE .

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Crafting a Successful Loyalty Program: A Comprehensive Guide

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by Influitive | Dec 13, 2023 | Customer Loyalty

Customers are at the heart of your business, and their ongoing support is crucial to your brand’s growth. Nurturing these relationships is more than a nice gesture — it’s the key to your success.

Research shows that loyalty is a powerful asset. Around 80% of US consumers participate in loyalty programs, showcasing their dedication to brands they trust. Customers often become loyal fans when they feel a genuine connection and sense of value from a brand. Implementing a loyalty program is an effective way to cultivate this relationship.

But how do you create a loyalty program that makes customers feel valued and stick around? In this guide, you’ll discover how to build a loyalty program that rewards and strengthens your customers’ connection to your brand.

What is a Customer Loyalty Program?

A customer loyalty program is a focused approach businesses use to thank and keep their most loyal customers. It’s a way to acknowledge customers who consistently choose your brand, offering them exclusive rewards, special deals, or unique benefits not available to everyone.

These programs thrive by building a solid bond between your customers and your brand. When customers know they’ll receive extra benefits each time they shop or engage with your brand, it motivates them to return.

However, building customer loyalty and an effective program reaches beyond tangible rewards — it focuses on showing appreciation and value to customers. This sense of gratitude keeps customers loyal and turns them into enthusiastic advocates for your brand, often leading them to share their positive experiences with others.

Why are Customer Loyalty Programs Important?

Customer loyalty programs are vital for enhancing business growth, customer retention, and increasing brand advocacy. According to McKinsey, these programs significantly influence customer behavior, offering various benefits to businesses.

Key findings from the survey reveal that 75% of members of high-performing loyalty programs engage in behaviors that benefit the brand, including:  

• 64% buy more often
• 31% are willing to pay higher prices
• 50% are more likely to recommend the brand
• 35% choose the brands over competitors

These statistics show that customer loyalty programs are essential in driving repeat business, cultivating customer loyalty, and enhancing a brand’s value.

Types of Loyalty Programs

There are several practical approaches to consider when setting up a loyalty program for your business. Each type offers unique benefits depending on your business and customers:

• Points-based programs: This popular method allows customers to accumulate points for purchases or specific actions and exchange them for rewards. It’s a straightforward approach that encourages repeat purchases.
• Tiered programs: Here, customers unlock increasingly attractive rewards as they reach higher levels of spending or engagement. This type of promotion is great for encouraging ongoing loyalty and higher spending.
• Paid membership programs: Customers pay an upfront fee to access VIP benefits in this model. These programs often provide immediate value and exclusive experiences, appealing to those who prefer premium services.
• Value-based programs: These programs align with your customers’ values or social causes. They are particularly effective for brands with a solid ethical or community focus and can deepen emotional loyalty.

When choosing a loyalty program, consider the intricacies of your business and customers. For instance, an ethical fashion brand might succeed more with a value-based program, which is likely to resonate with its socially conscious customers. On the other hand, a SaaS company could benefit more from a tiered program that rewards ongoing subscriptions and user engagement. 

Choosing a loyalty program should ultimately align with your brand’s identity, customer expectations, and strategic goals.

How to Create a Loyalty Program That Works

You need more than customer loyalty software to start a loyalty campaign. A successful loyalty program requires careful planning that keeps your customers and business in mind. To help you get it right, we’ve gathered some essential tips to help you put together a successful strategy: 

Understand your audience

The first step to a successful loyalty program is to deeply understand your target market. What motivates them? What are their purchasing behaviors? When you analyze customer interactions and behaviors, you can tailor your loyalty program to meet their needs and preferences. 

For example, capturing data at various customer touchpoints can provide insights into what products or services resonate most with your audience. Knowing your customers’ needs and behaviors can help you tailor personalized marketing campaigns to their preferences. As a result, you may see higher engagement rates and increased customer loyalty. 

Set clear goals

Defining clear objectives for your loyalty program is essential. Are you aiming to increase revenue, boost customer retention, or enhance customer engagement? Knowing your desired outcomes helps shape the loyalty program’s structure and rewards​​. 

If increasing brand awareness is your goal, engaging customers who share their experiences on social media can be a crucial strategy. Leveraging influencers and brand ambassadors can spread your message. On the other hand, if you want to deepen customer relationships and boost retention, offering loyalty rewards or discounts can be an effective way to keep customers coming back.

Offer desirable rewards

Your program’s rewards and incentives should be valuable and relevant to your customers. Perks might include discounts, freebies, exclusive access, or even non-monetary rewards that align with customers’ values​​. The key is to make these rewards appealing enough to encourage repeated engagement and purchases. 

For example, a SaaS company might reward users based on subscription tiers, while a retail brand might offer discounts on future purchases. Aligning your offers with your customers’ behaviors and desires can help you create a more effective reward system.

Promote your program

Effectively promoting your loyalty program is crucial to its success. Make full use of all communication channels to inform customers about the program and its benefits​​, including email, social media, and your website. Consider including loyalty program information in thank you emails or during customer onboarding. Making subtle mentions during other communications can introduce it to customers organically and build their trust in the brand. 

In addition, sign-up bonuses like discounts or freebies can encourage customers to join loyalty programs. Offering rewards for referrals can also help grow the loyalty program.

Use the right tools and technology

Today’s loyalty programs are more than simple points and rewards systems — they require sophisticated technology to deliver a seamless customer experience. A next-generation loyalty program should align with current trends, such as advanced personalization, seamless integrations, efficient automation, and a customer-centric omnichannel approach. These features keep your program relevant to meet modern customer expectations.

Elevate, Influitive’s next-gen platform , reimagines loyalty and engagement for the connected customer. Members can engage in faster, more intuitive experiences across devices using immersive activities and gamification. A modern rewards catalog and referral process make loyalty program management simple.

Create incentives through referrals

Referral incentives are crucial to amplifying your loyalty program’s reach. Encourage your customers to refer new clients by offering rewards for each successful referral. This strategy acknowledges your loyal customers while maximizing their networks to attract new business through trusted word-of-mouth.

For example, a boutique could offer a 10% discount to existing customers for each friend they refer who makes a purchase. Incentivizing the referrer and the prospective customer with a perk like this is an effective way to build customer loyalty while growing your business. 

Measure performance and adjust accordingly

Monitoring and adjusting your loyalty program regularly is key to its success. Metrics such as customer engagement rates and sales figures can give you insight into areas for improvement and allow you to refine your program structure and rewards. For example, if one incentive isn’t motivating participants, you can switch to another. 

Influitive’s customer loyalty software tracks engagement across multiple channels for easy monitoring. Advanced reporting allows you to identify ways to improve, for instance, by learning what activities increase customer lifetime value (LTV) so you can reward them more effectively.

Influitive Makes Building a Loyalty Program Simple

Loyalty programs are essential for retaining customers, encouraging advocacy, and driving business growth. By understanding your audience, offering desirable rewards, and leveraging platforms like Influitive, you can create a loyalty program that rewards customers and turns them into passionate advocates for your brand. 

Start crafting your loyalty program today to deepen customer relationships and drive long-term success. Learn more about how Influitive can help you build customer loyalty. Contact us or request a demo to see our platform in action.

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• Customer Loyalty

13 Loyalty Program Rewards to Show Customer Love ❤️

• Last updated April 8, 2024
• By Jessica Huhn

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• A loyalty program rewards existing customers for staying loyal to your brand over a long period, usually for repeat and frequent purchases.
• Popular loyalty program rewards include free products, cash back or store credits, discounts, birthday surprises, and exclusive sale access.
• Offer value (a reward customers care about!) and tie the reward back to your company.

The best loyalty programs are all about rewarding your customers for sticking with your business, but which rewards and incentives will work best for your brand? We’re here to help you out with this list of loyalty program rewards and incentives, including real-life examples.

How to choose the best loyalty program rewards

First, let’s go over a few simple practices for choosing the best rewards for your loyalty program.

✅ Offer value to your customers

• When you’re starting a loyalty program , your customers need to be motivated to participate. Pick rewards that they’ll want to earn.
• Choosing rewards that align with a customer’s regular purchasing habits, or rewarding them with your signature items, is a smart choice. For example, if you are a coffee shop, free coffees, or other signature drinks might serve as better rewards than hats.
• Consider personalizing the rewards you offer to each customer based on their needs and purchasing preferences.

✅ Tie the reward back to your company

• Inject your brand’s unique flair into your loyalty program if you can, down to every reward you choose.
• If your reward offers a benefit from your company, it works as an incentive to keep customers coming back.
• For example, you could offer discounts on your products, credits towards their next purchase with you, free products, free shipping, or exclusive sale access as rewards.

✅ Balance quick and instant rewards with exclusive, premium ones

• Not every reward should be hard to earn. Consider having some elements activate instantly upon joining, to kick-start customers’ motivation.
• But pull out all the stops for the VIPs who make a large amount of purchases from you, with high-value incentives (think exclusive products or access to special events and experiences)

✅ Make sure rewards are enticing for customers and cost-effective for your business

• This will also come down to how you structure your loyalty program. For example, how many purchases it takes to earn a certain reward? Is the customer is rewarded for every referral? Strike a balance.

Now, let’s get into our list of loyalty program rewards, both the mainstays and the most unique ones we’ve seen. These rewards are among the most popular and most successful loyalty program rewards we’ve seen. Customers love them!

1. Free products

One of the most popular rewards in the history of loyalty programs, this incentive works very well in the food and beauty spaces, as well as other industries where smaller, more frequent purchases are the norm.

Who doesn’t love free stuff? And when the free item is your favorite sandwich, drink, or other product, loyalty programs become especially motivating.

Many loyalty programs offer a choice of free products as the reward. The Chick-Fil-A One app  is an awesome example. Customers earn points for the food they buy while using the app, and can redeem these points for free menu items of their choice, from strips to fries to salads.

Chipotle’s program  is very similar, as points earned through their rewards app can be redeemed for a free entree of the customer’s choice.

And beauty rewards programs, like Sephora’s, let customers pick which products they’d like for free in exchange for their points. In some cases, members will receive free samples just for being part of the program!

Giving a choice of freebies really increases the value of these programs in the customer’s eyes.

2. Cash back or store credits

Cash back and store credits are the other most popular rewards on our list (usually, loyalty programs treat these two rewards as virtually identical.) For every given dollar amount spent, customers participating in these rewards programs receive cash back to use on a later purchase. One example is the structure of Kohl’s Cash: “Earn $10 cash for every $50 you spend.”

Create your own unique store credit vouchers with our gift card code generator >

3. Discounts

Valuable discounts on your products or services will motivate your customers to keep coming back to your business. The trick, though, is to limit your publicly available discounts and give the best savings to your program members. Also, consider sending out customized discount coupons for the products and product categories each customer tends to purchase the most. Customers love this personalized approach, especially when you mention them by name!

Use our coupon code generator to instantly create unique discount codes >

4. Birthday surprises

Giving your customers a free treat on their birthday is a great way to make them feel valued—and convince customers to share their birthday, a valuable piece of demographic data for your company. Sometimes these birthday surprises are free products or branded swag , and sometimes they’re discounts or instant cash back. Pick what works best for your brand. And consider keeping the birthday incentive a real surprise, where customers only find out what it is when they receive it.

P.F. Chang’s rewards members with a free appetizer or dessert during their birthday month.

Meanwhile, Kohl’s offers a discount as their loyalty program birthday treat.

5. Exclusive sale access

Some loyalty programs grant their members access to exclusive sales.

In some cases, only members of the program receive emails and other notifications about secret sales, so they’re the only ones able to take advantage of insider info.

In other cases (like with Amazon Prime’s Prime Day ), everyone can find out about the  discounts available to loyalty program members, but only members are able to cash in on these savings.

And in still other cases, like with Nordstrom, loyalty members gain access to certain big sales before the general public, so they can be the first to score the products they want at the best discounts.

6. Free shipping

Free shipping is another iconic loyalty program perk, and no other loyalty program does it like Amazon Prime  (they don’t just offer free shipping; they get your shipments to you within one to two days, and sometimes even on the day you order. Now that’s service!)

7. Partnership perks

This loyalty program perk offers rewards for shopping at multiple businesses under the same umbrella. Members of these loyalty programs can earn points for shopping at several businesses. All of these points are pooled together in one place, and customers can use them to redeem certain rewards.

Plenti was a popular example of this model, but they closed their program down in 2018. However, this model is still going strong in Shell’s Fuel Rewards loyalty program . Once you join the program, shopping at countless online retailers, dining at over 10,000 restaurants, and booking trips can earn you savings on Shell gas, in addition to extra gas savings for Shell’s best customers.

If your business is small, forming partnerships of Shell’s scale won’t be feasible. But you could always partner up with a single related, non-competing business in your area to offer joint rewards in your small business loyalty program.

Think outside the box with these more unique loyalty program rewards, or spins on rewards that only your business can offer. Check out our list for inspiration!

8. Exclusive, limited products

Take free product rewards to the next level with big-ticket items only available to your loyalty program members. The Zumiez Stash  has embraced this strategy. They’re constantly releasing limited-edition collab products with some of the brands they sell, like skate decks, bags, clothing and accessories, which you can only access with loyalty points. Check out some of their previous exclusive rewards below.

9. VIP experiences

Offering exclusive experiences is another way to reward your best customers and make your brand memorable. The key is to tailor these experiences to fit your brand.

Outerwear brand The North Face’s VIPeak program  lets members redeem their points for adventures and expeditions around the globe, aligning with their brand focus on the outdoors and exploration in extreme conditions. Some previous rewards have included endurance challenge entries, camping packages in national parks, and climbing experiences.

And fashion brand Nordstrom’s The Nordy Club  grants members access to beauty and style workshops; higher-tier members get priority access to fashion events, as well as exclusive access to the most coveted VIP events (see below).

10. First access to products

Letting your most loyal, enthusiastic customers be the first to try your new products is an awesome perk that poses unique advantages for your business. Your best customers are most committed to seeing your brand succeed. So, they’re the best people to share your latest products with, before you release them to the public! They’re often glad to give you feedback on these products, to help you make your brand better than ever. Sephora  knows the power of early access, and reserves this perk for only their top-tier loyalty program members.

11. Charitable donations

Sometimes, the best reward is giving back. Including a social good element in your loyalty program empowers customers and appeals to their desire to shop ethical brands. It’s especially effective if your donation element aligns with your brand’s mission and values. Also, consider offering program members a choice between multiple charities to donate to.

The Body Shop’s Love Your Body Club  lets members choose to donate their $10 loyalty reward to Born Free USA or the National Parks Conservation Association (both conservation and animal welfare organizations), if they wish. This ties in perfectly with The Body Shop’s commitment to sustainability, in all its forms.

And Target’s new loyalty program, Target Circle , lets members vote on how the brand should direct donations to a series of worthy charities. The more purchases someone makes, the more donation votes they receive.

12. Mobile experiences for convenience

Some brands have loyalty programs that take advantage of all the time we spend on our phones – they offer exclusive mobile and in-app perks to make using their brand even more convenient.

For example, Hilton offers a mobile check-in and room select option for Honors loyalty members , so they can access their rooms much faster and pick the rooms they want.

And Starbucks offers mobile ordering and payment in their loyalty app , for quick pickup of your favorite drinks. Order the drink you want in advance, and it will be ready for you right away once you get to Starbucks!

13. Cash back

Recently, an NYC start-up known as Stake created a rental loyalty program , with one of the most unique rewards we’ve seen. Stake app  users get up to 5% of each rent payment back, in a personal account, as long as they pay on time. And people who choose to save at least 80% of the money in their account are rewarded with the greatest payback.

Rent is expensive, especially in NYC, so the fact that Stake users get some of their rent money back is highly empowering. It better enables them to save for their goals (including potentially buying their own property eventually). Plus, it gives them more insurance in case they’d ever need extra funds for an emergency.

This rent loyalty program concept won’t be applicable to most businesses, but it’s a great example of offering value to customers and empowering them, with a unique reward they appreciate.

Get creative with loyalty program rewards

Now that you’ve seen these iconic and innovative loyalty program rewards, it’s time to pick the incentives that will work best for your business.

Check out our other articles for tips on how to increase customer loyalty (beyond the loyalty program) or browse some examples . You can also look at loyalty program software options that help keep a program like this running smoothly.

Not sure if a loyalty program is the right choice? You can also compare loyalty programs to another type of incentive program, a referral program.

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5 Creative Ecommerce Loyalty Program Ideas That Actually Engage Customers

Introduction

In the digital marketplace, ecommerce loyalty programs are crucial for customer retention and engagement. While there are numerous ecommerce rewards programs, only the most creative and user-friendly ones stand out. This comprehensive guide dives into innovative ecommerce loyalty program ideas and examples of best loyalty programs ecommerce platforms have successfully implemented. We’ll explore how to leverage ecommerce loyalty program software and various loyalty promotion ideas to enhance customer experience and loyalty.

1. Personalization: The Heart of Ecommerce Loyalty

A. understanding customer preferences.

The key to successful ecommerce loyalty programs lies in personalization. Personalization involves understanding and acting on individual customer preferences and shopping behaviors.

B. Implementing Personalized Rewards

Using ecommerce loyalty program software, businesses can track customer purchases and offer personalized rewards. This might include discounts on favorite products or points for actions that reflect their shopping habits.

C. Case Study: Personalized Ecommerce Rewards Programs

An example of this can be seen in some of the best ecommerce loyalty programs where customers receive recommendations and rewards based on their browsing and purchasing history, significantly enhancing customer engagement and loyalty.

2. Gamification: Making Loyalty Fun 

A. integrating gamification in loyalty programs.

Ecommerce loyalty can be significantly boosted by incorporating gamification elements. This involves adding game-like mechanisms such as earning badges, completing challenges, or unlocking levels.

B. Examples of Successful Gamified Loyalty Programs

Successful ecommerce rewards programs often include challenges that customers can complete to earn points or rewards, making the process of earning loyalty rewards more engaging and fun.

3. Exclusive VIP Programs: Elevating Customer Loyalty

A. designing vip loyalty programs.

Creating an exclusive VIP program offers top-tier customers special perks and benefits. This might include access to exclusive products, special discounts, or early releases.

B. VIP Program Ideas

Innovative VIP program ideas might include offering members-only events, personalized shopping experiences, or dedicated customer service. These programs make customers feel valued and special, encouraging brand loyalty and advocacy.

4. Community and Value-Driven Programs: Beyond Transactions

A. creating community-centric loyalty programs.

Modern customers often look for brands that align with their values. Implementing community-focused loyalty promotion ideas, like donating a portion of loyalty points to charity, can significantly enhance brand loyalty.

B. Examples of Value-Driven Programs

Best loyalty programs ecommerce platforms have are those that connect customers to a larger cause, creating a sense of community and shared purpose.

5. Collaborative Rewards: Partnering for More Value

A. benefits of collaborative loyalty programs.

Partnering with complementary businesses or brands can expand the value offered by your ecommerce loyalty programs. This approach can provide customers with a broader range of rewards and experiences.

B. Implementing Collaborative Programs

Collaborations can take many forms, from offering points that can be used across different platforms to co-creating exclusive products for loyal customers.

Leveraging Technology: The Role of Ecommerce Loyalty Program Software

A. choosing the right software.

Selecting the right ecommerce loyalty program software is crucial. The software should be able to track customer behavior, manage rewards, and provide insights into program performance.

B. Integrating with Business Operations

The software should seamlessly integrate with your ecommerce platform, ensuring a smooth experience for both the business and the customers.

Creating an engaging ecommerce loyalty program requires creativity, understanding your customers, and leveraging the right technology. From personalized rewards to gamified experiences and VIP treatments, there are numerous ways to enhance customer loyalty . The key is to find the right mix that resonates with your customer base and aligns with your brand values.

As we conclude our exploration of creative ecommerce loyalty program ideas, the key is turning inspiration into action. OptCulture , your catalyst for customer engagement, welcomes you to schedule a demo . Discover how to engage customers effectively – book your demo now!

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The TOP 40 Best Rewards Programs for customers

No doubt, experienced loyalty specialists who know their way around keeping customers happy realize that selling to your regulars is way easier on the pocket than chasing new ones. I mean, boosting customer retention by just 5% can shoot up profits by a good 25-95% . So, no wonder everyone's talking about reward programs.

Companies are getting all creative, trying to one-up each other with their reward program game. Some throw in points that people can redeem for various rewards, others establish tiers or segments to incentivize repeat purchases, and others collaborate with organizations to provide comprehensive offers.

However, the most successful loyalty programs go beyond just tossing out freebies, and they encompass the entire experience that a brand delivers to its clients. For this purpose, we compiled a comprehensive list of 40 exemplary customer reward programs that really hit the mark.

This report delves into how brands address loyalty issues, outlines the structures of the most popular customer loyalty programs, and dissects the key elements found in particular schemes.

As a concluding bonus, we included a collection of insights featuring the most relevant statistics on loyalty and customer reward programs sourced from Nielsen's " Get with the program " report.

What can you find in the full report?

The report covers 40 reward programs from eight industries:

• Beauty/Pharmacy : Sephora, Pampers, Walgreens, Lancôme, Elf Cosmetics
• Food : Tesco, Starbucks, JCPenney, Walmart, Dunkin’ Donuts
• Services/B2B : Uber, Verizon, Sprint, Citi, Miles and More
• Apparel/Fashion : Swarovski, Nordstrom, Carter’s, H&M, Payless
• Sport : Decathlon, Muscle & Strength, Nike, Zappos, Rewards4Golf
• Home/Decoration : Ikea Family, Kohl’s, Pottery Barn, Home Depot
• Automotive/Gas : Shell, Tesla, Speedway, BP, Canadian Tire
• Entertainment : Toys "R" Us, Disney, Marvel, Hilton, Nintendo

What is an effective rewards loyalty program?

A successful loyalty program featuring rewards is designed to encourage repeat transactions by recognizing clients for their continued patronage . Such rewards programs are an integral part of customer relationship management (CRM) strategies for businesses across various industries.

Below, you can find key elements that contribute to the effectiveness of a rewards loyalty program.

Customer-centric rewards

Start by really understanding what makes your customers tick. Are they into discounts on future purchases, or do they prefer exclusive access to new products? Maybe free shipping or special services like personal shopping experiences get them excited. The key is offering rewards that resonate with their preferences and lifestyle. It shows you're paying attention and value their business.

Easy to understand and use

Complexity is the enemy of participation. If customers have to jump through hoops to understand how your program works or to redeem their rewards, they're likely to give up. Aim for clarity in how loyalty points are earned, how they can be redeemed, and what benefits come with them. A straightforward program is a used program.

Personalization

Customization can turn a good loyalty program into a great one. By leveraging data on your people's buying behaviors and preferences, you can offer rewards that feel tailor-made. For example, if you notice that a shopper frequently buys your skin care products, sending them an offer for a beauty consultation or a free birthday gift can have a big impact. Use your loyalty platform to reward customers with such personal touches to make them feel noticed and appreciated.

Tiered rewards structure

Tiered loyalty programs can create a fun, game-like element that encourages more engagement. Customers start at a basic tier and can move up to higher ones by reaching certain milestones, unlocking more prestigious rewards as they go. This attitude not only incentivizes more frequent purchases but also builds a sense of achievement and exclusivity.

Multichannel accessibility

Your loyalty program should be as mobile as your customers are. Whether they prefer shopping online, browsing on their phone, or visiting in person, the experience should be seamless across all platforms. Such accessibility ensures that members can interact with your program whenever and wherever they like, increasing its use and visibility.

Regular communication

Communication is crucial. Regular updates through email, social media, or your app can keep customers informed about their rewards balance, upcoming promotions, and new ways to earn points. An ongoing dialogue keeps your brand top of mind and reinforces the value of staying loyal.

Feedback mechanism

Incorporating a feedback loop into your loyalty program gives customers a voice and shows that you're committed to continuous improvement. Whether it's through surveys, comment sections, or direct outreach, listening to what they have to say can provide valuable insights for refining and enhancing the program.

Integration with other marketing efforts

Make sure your loyalty program aligns with your overall marketing strategy. It should echo your brand's voice, uphold its values, and enhance brand loyalty. This coherence ensures that the loyalty program feels like a natural extension of the customer experience rather than a standalone initiative.

Measurable success metrics

Set clear, measurable goals for your loyalty program and regularly review its performance against these benchmarks. Tracking loyalty metrics like enrollment rates, engagement levels, and the impact on customer lifetime value can help you understand its effectiveness and identify areas for improvement.

Continuous improvement

The market and your audience's preferences will evolve, so your loyalty program should, too. Regularly assess and update the program to keep it relevant and engaging. Introduce new rewards, tweak the tiers, or launch special promotions to keep things interesting and maintain your customers' interest over the long haul.

Creating a loyalty program that genuinely resonates with your target audience requires a blend of simplicity, personalization, and continuous engagement. By focusing on providing real value and keeping the lines of communication open, you can foster customer loyalty and create a committed base that feels valued and understood, driving both repeat business and a positive brand reputation.

Examples of the best reward programs mentioned in the report

In this section, we shine a spotlight on a selection of top-tier reward programs as identified in the report. These reward programs have garnered acclaim for their user-centric features, dedicated to enhancing the overall experience for members. Spanning various industries, from financial services to retail and entertainment, these examples showcase the breadth and depth of reward offerings, each contributing to a heightened user experience.

‍ So, which company has the best rewards program worth noting?

Join us for examples of reward programs and their nuanced features that make them user-centric, setting high standards for customer loyalty initiatives across industries.

Citi ThankYou: Exclusive rewards, Citi's excellence

Citi ThankYou is a customer loyalty program run by CitiBank, the consumer division of the financial services multinational Citigroup. They’re an American international investment banking and financial services corporation. Citigroup is one of the largest banks in the United States, with over 200 million customer accounts, 230,000 employees, and a global reach. They operate in more than 160 countries, with a revenue of 69.87 billion dollars (2017).

To join the program, customers must register online through the CitiBank website. There's a Citi mobile app for iOS and Android , but it's only a banking app and doesn't include the program.

Citi ThankYou is available online and offline. Members can earn points using their Citi account by participating in promotional offers and purchasing points through service call centers. Points can be redeemed for different prizes. The program offers unique, limited-time offers for various occasions.

Benefits of Citi ThankYou customer loyalty program 

• Using ThankYou points to shop at participating online partners.
• Paying with ThankYou points at participating online partners.
• Redeeming points for merchandise and gift cards.
• Transferring points to participating travel loyalty programs.
• Utilizing ThankYou points for statement credits to cover the cost of recent purchases in select categories, such as dining, entertainment, utility bills, gas, grocery, clothing and department stores, and drug stores, made with the Citi credit card.
• Using points, or a combination of points and cash, when using CitiBank’s Online Bill Pay option.
• Converting points into cash (multiples of $50).
• Donating points as money to charities.

My Lancôme Rewards: Beauty perks, Parisian elegance

Founded in 1935 by Armand Petitjean, Lancôme stands as a beacon of French luxury in cosmetics and skincare, initially making its mark with the debut of five perfumes at the 1935 World's Fair in Brussels. Known for its fusion of scientific innovation in skincare and trend-setting makeup, Lancôme pledges to provide users everywhere with beauty products that marry luxury with effectiveness.

The brand is lauded not just for its exceptional product line but also for its commitment to enhancing the empowerment, beauty, and well-being of women across the globe. Carrying a rich legacy and a relentless pursuit of excellence, Lancôme continues to reign as a top contender in the beauty realm, offering an extensive array of products tailored to its international clientele's myriad needs and wishes.

My Lancôme Rewards is the exclusive, free-to-join loyalty scheme crafted to enrich members' Lancôme experience with benefits and rewards. The membership is complimentary and available to those who fit the eligibility criteria, usually regarding age and location. Clients can sign up either online or at any participating store.

As a member, individuals will gather points on qualifying Lancôme purchases, earning 10 points for every dollar spent . The program offers multiple avenues for members to accrue points, be it through purchases, virtual services, donations to charity, quizzes, and beyond. Membership perks include free shipping, special offers, early access to new products, and an exclusive rewards catalog. Lancôme may also award points for other activities, such as writing product reviews, making referrals, or engaging on social media.

Members should be mindful that points might expire if not used within a set timeframe or if their account hasn't been active for a certain period. Members are encouraged to familiarize themselves with the program's terms and conditions regarding point expiration.

The program is structured on a tier system , allowing members to ascend to higher levels based on annual spending or other criteria determined by Lancôme. Advancing to a higher tier unlocks additional benefits, including greater points accumulation rates, special gifts, and priority access to events and product launches.

Members can redeem their accumulated points for rewards by selecting from an exclusive catalog that features products, discounts, unique experiences, and other special rewards. The specifics of the redemption process, the availability of rewards, and the points needed for redemption may vary and are detailed in the program specifics.

Benefits of the My Lancôme Rewards customer loyalty program

• Earning points for every dollar spent on Lancôme products, allowing for discounts on future purchases.
• Accessing special promotions, birthday gifts, and early access to new products exclusively for program members.
• Redeeming rewards not just for product discounts but also for exclusive experiences, such as personalized beauty consultations or special events.
• Enjoying tiered membership benefits, where higher tiers offer more points per dollar spent, additional birthday rewards, and access to exclusive VIP events.
• Utilizing the program both online and in Lancôme boutiques, providing flexibility in how members shop and enjoy their benefits.

My Decathlon: Fuel your sport, earn rewards

My Decathlon is a rewards program run by Decathlon, a French designer and retailer of technical, attractive, and simple sports products. Decathlon is one of the world's largest sporting goods retailers, with a global footprint in 70 countries and an impressive network of 1,747 stores and 105,000 employees. The company's notable achievements in 2021 took center stage, as Decathlon achieved remarkable sales of nearly 14 billion euros , excluding taxes, a significant increase of +21% year-on-year, measured in euros and at constant exchange rates.

It's worth noting that the digital aspect of Decathlon's business brought in nearly €3 billion, excluding taxes, equivalent to about 21% of the group's total revenue and reflecting a noteworthy growth of +30% from 2020. The group's net result for 2021 is an impressive €913 million.

This program is crafted to foster a closer relationship between the brand and its customers by providing many exclusive benefits, rewards, and personalized services.

Here's a more detailed look at what My Decathlon offers:

• Customized recommendations. Based on your shopping history and preferences, Decathlon offers personalized product recommendations to enhance your sporting experience.
• Easy order tracking. Members can easily track their orders in real time, providing a seamless shopping experience from purchase to delivery.
• Special offers and promotions. Access to exclusive and member-only discounts, promotions, and early bird offers on various sporting goods and equipment.
• Events and workshops. Invitation to exclusive events, workshops, and activities organized by Decathlon. These events are often tailored to members' interests, offering unique experiences and learning opportunities.
• Digital receipts. Easy access to digital receipts for all purchases, simplifying returns, exchanges, and warranty claims.
• Efficient account management. Members can manage their personal data, preferences, and subscriptions all in one place, making the shopping experience more streamlined and tailored.

The membership is free to join, offering immediate benefits to customers. It represents Decathlon's commitment to selling sporting goods and enhancing the overall customer experience by making it more personal, engaging, and rewarding. 

Also, My Decathlon is available online and offline. The brand decided to use points for their loyalty program. Points can be redeemed for vouchers to spend at Decathlon stores. The program includes My Decathlon cards that are available as actual cards and in virtual versions in their mobile app for Android.

Members can choose their favorite sports and activities to receive special personalized offers.

To join the rewards program, customers must join online through the Decathlon website or offline in one of the Decathlon stores. A mobile app is available for iOS and Android where members can shop and manage their accounts. The app also contains a member card, which can be used while shopping.

Benefits of My Decathlon customer loyalty program

• Participating in the Decathlon Sport Series for free.
• Enjoying 365-day returns without a receipt.
• Free next-day click and collect for purchases made before 12 PM.
• Receiving tips and advice from sports experts.
• Improving product traceability for warranty support.
• Validity in every Decathlon store.

Ikea Family: Special offers, better homes.

Ikea Family is a customer rewards program run by Ikea, a multinational group headquartered in the Netherlands. They design and sell ready-to-assemble furniture, kitchen appliances, and home accessories. Ikea is the world's largest furniture retailer, with a global reach of approximately 370 stores in around 47 countries, more than 14,000 employees, and a revenue of about $13.5 billion in 2017.

Membership in the IKEA Family program is usually free and offers a range of advantages that can enhance the shopping experience at IKEA. Benefits often include:

• Discounts on products. Members may receive special offers and discounts on various products throughout the store.
• Exclusive access to sales. IKEA Family members can sometimes access sales before the general public.
• Free coffee or tea. Members can enjoy complimentary coffee or tea in some locations when they visit IKEA's in-store restaurants.
• Extra services. There may be additional services offered to members, such as free or discounted use of the Småland children's play area (where available), among other benefits.
• Product insurance. Some purchases might come with added insurance or guarantees exclusively for IKEA Family members.
• Workshops and events. Members can participate in exclusive workshops, events, and activities that IKEA organizes, ranging from home decoration advice to tips on sustainability.
• Newsletter and updates. Members receive newsletters and updates that include information about new products, inspirational content, and exclusive offers.

Ikea Family is available online and offline. By signing up, either online or in-store, people can join a community of home furnishing enthusiasts who enjoy exclusive perks and insights. Also, the rewards program includes Ikea Family Cards that are available as actual cards and in virtual versions through the Ikea mobile app.

To join the rewards program, customers must register online through the Ikea website mobile app, available on iOS and Android, or offline in Ikea stores.

Benefits of the Ikea Family customer loyalty program

• Accessing exclusive coupons and special monthly in-store offers.
• Enjoying members-only prices on the Ikea Family Range.
• Receiving complimentary tea or filter coffee from Monday to Friday.
• Accessing exclusive discounts on special food offers.
• Getting an additional 10% off sale prices.
• Enjoying free product insurance for added peace of mind.
• Winning prizes while swiping an Ikea Card.
• Exploring inspirations that include the latest product news, step-by-step assistance for home projects, or seasonal inspirations.

Disney Rewards: Points for enchanted experiences

Disney Rewards is a loyalty program run by Walt Disney Company, an American diversified multinational mass media and entertainment conglomerate. Disney employs approximately 195,000 employees in more than 1,500 locations, with revenue of about $55.632 billion in 2016. Disney also has six Walt Disney Parks and Resorts, which employ approximately 130,000 of the company's 195,000 employees.

The Disney Rewards loyalty program is available online and offline. The program is divided into two segments:

• For Disney Premier Visa card owners
• For Disney Visa card owners

Members can earn reward points by paying with Disney cards and then redeeming them for special perks at Disney's online and offline stores and at Disney Parks and Resorts.

The Disney Rewards Redemption Card is a feature associated with the Disney Visa Credit Cards, offered through a partnership between Disney and Chase Bank. The described card allows cardholders to earn Disney Rewards Dollars on everyday purchases made with their Disney Visa Card. The accumulated Rewards Dollars can then be transferred onto the Disney Rewards Redemption Card.

Here are some key points about the Disney Rewards Redemption Card:

• Earning rewards. Cardholders earn Rewards Dollars for qualifying purchases with their Disney Visa Credit Card. The rate at which rewards are earned can vary depending on the type of purchase and the specific card product (e.g., Disney Premier Visa Card typically offers higher reward rates on specific categories).
• Redemption. The Rewards Dollars accumulated can be loaded onto the Disney Rewards Redemption Card. This card can then be used toward purchases at most Disney locations, including Disney theme parks, Disney stores, Disney Cruise Line, and Disney's official website. It can be used for a variety of things, including admission tickets, hotel stays, dining, merchandise, and more.
• No expiration on rewards. Once transferred to the Disney Rewards Redemption Card, the Rewards Dollars don't expire, allowing users to save for bigger Disney adventures or spend on smaller purchases over time.
• Exclusivity. The Disney Rewards Redemption Card is exclusive to Disney Visa Card members. It's a physical card that users can carry and use at eligible Disney locations.
• Management. Cardholders can manage their Disney Rewards Redemption Card online, keeping track of balances and reloading Rewards Dollars from their Disney Visa Card account as needed.

Customers can register online through the Disney website to join the rewards program. The brand also offers a mobile app for iOS and Android ) where members can manage their time in Disney Parks and Resorts.

Benefits of Disney Rewards customer loyalty program

• Redeeming reward dollars at Walt Disney Parks and Resorts.
• Accessing special limited-time offers.
• Enjoying perks throughout the year.
• Accessing special Disney-themed perks in different locations.
• Accessing the Disney Vacation Club.
• Exploring Disneyland Resort vacation packages.
• Utilizing the Disneyland private card member phone line.
• Participating in exclusive Disney Visa cardmember events at the Disney Store.
• Enjoying a 10% discount every day on select merchandise purchases in online and offline stores.
• Accessing VIP packages for The Lion King or Aladdin on Broadway, including premium seating, a non-alcoholic beverage in a keepsake cup, a souvenir lanyard with a pin, and a commemorative photograph.

Triangle Rewards™: Diverse rewards, Canadian spirit

Triangle Rewards is a loyalty program run by Canadian Tire, a Canadian retail company that sells a wide range of automotive, sports, leisure, and home products. Canadian Tire employs approximately 58,000 employees in about 50 locations, with a revenue of about $12.46 billion in 2014.

The brand decided to provide special benefits and coupons to Canadian Tire customers. Their reward program allows members to earn loyalty points and redeem them on purchases made at Canadian Tire and its partner stores, which include SportChek, Mark's, Atmosphere, Gas+, and others. Members of the Triangle Rewards program earn points for every dollar spent on eligible purchases at these stores. These points can then be redeemed for discounts on future purchases.

The program offers two main types of memberships:

• The Triangle Rewards card is a basic loyalty card that tracks points and rewards
• The Triangle Mastercard is a credit card that offers additional benefits, including the ability to earn points at a faster rate and collect points on purchases made anywhere Mastercard is accepted.

The Triangle Mastercard often includes bonus points offers, no receipt returns, personalized offers, and exclusive events or sales access.

Members can manage their accounts, track their points balance, and access personalized offers through the Triangle mobile app or website. The program is designed to encourage customer loyalty and repeat business by rewarding customers for their purchases across Canadian Tire Corporation's family of stores.

To join the rewards program, loyal customers can register online through the Canadian Tire website or mobile app for iOS and Android , or pick up a card offline at one of the stations.

‍ Benefits of the Triangle Rewards customer loyalty program

• Accessing exclusive offers and special events.
• Redeeming points on over 90,000 in-store items.
• Receiving personalized offers via email.
• Gaining early access to the weekly flyer.
• Accessing digital coupons.
• Creating shopping lists conveniently.
• Facilitating easy returns.
• Receiving paperless receipts.

Wrapping up this selection of the top 40 rewards programs for customers, it's clear that the standout loyalty schemes are about much more than just giving points for purchases. They're all about building a strong, positive relationship between brands and their customers, making every buy feel like a part of something bigger.

From the exclusive rewards of Citi ThankYou to the beauty benefits of shopping with My Lancôme Rewards, each program we highlighted shows how creating personalized experiences, making things simple to use, and offering real value can keep customers coming back for more.

The secret sauce for these customer loyalty programs isn't just about rewarding shopping – it's about putting end-users first, being easy to reach across different channels, and always looking for ways to get better based on what active members say . The mentioned rewards programs shine because they tailor the experience, set up different levels of prizes, and make sure they fit in with the bigger picture of what the brand is doing.

The insights from every leading value-based loyalty program are gold for businesses wanting to stay ahead of the curve. They show that if you really listen to what your audience wants, keep tweaking and improving, and track how well your loyalty efforts are doing, you can build a group of loyal customers who don't just keep buying from you but also become big fans of your brand.

So, whenever you ask yourself: Are rewards programs worth it? After reading the report and seeing all these successful examples, I bet you'll put them on your marketing strategy to-do list!

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Are you aware that it is a lot easier to sell your product to an existing customer than to a new one? That is because your current customers already know what you have to offer, and they’re already passionate about your brand. That’s why a comprehensive membership management system is very much essential to retain loyal customers. There’s a lot of competition in the market today. But, you don’t need to worry because you can still keep winning your existing customers with a loyalty program. The right membership software can help you offer the best and most unforgettable loyalty program for your customers. 

A loyalty program could be one of the most effective ways to retain your existing customers while attracting new ones. Many companies are now adopting the best membership system that is flexible for every member and allows them to create unique promotions. However, many are still contemplating the pricing scheme calculations . If you don’t have an idea about what kind of loyalty program you will offer yet, check out some of these creative loyalty programs to get inspired. Other than that, you can always use the help of a sophisticated membership management system . 

Table Of Content

1. sephora’s beauty insider, 2. my starbucks rewards, 3. amazon prime, 4. tokopoints by tokopedia, 5. e.l.f.’s beauty squad, 6. toms one for one, 7. the north face.

Sephora offers one of the most innovative loyalty programs ever through Beauty Insider. The program serves more than 17 million loyal members from various countries, and they make up as much as 80 percent of Sephora’s annual sales.

Customers swipe their Beauty Insider card at every purchase, and then the card tracks the amount of money spent. Every dollar spent generates one Beauty Insider point. Customers can redeem their rewards points for things like discounts, limited edition products, gift cards, or even free beauty classes. Sephora also offers VIB and VIB Rouge programs. Those programs provide customers more prizes if they spend more money at Sephora for more loyal customers . This means that the rewards can be scaled up according to how much money customers spend.

Nowadays, providing loyalty programs through mobile apps has become very common, but it was a fresh idea when Starbucks launched My Starbucks Rewards.

To get loyalty points, customers must order or pay using the Starbucks app. By centralizing customer transactions, Starbucks can automatically store all important information of their customers . This can make them easily provide personalized promotions and rewards according to the customers’ preferences and behavior. If your store has a mobile app that records customer data, then that’s great. Otherwise, you can still collect and centralize your customer data through an advanced Point of Sale system . This system acts the same as a loyalty app; it records important customer information such as their favorite products, their shopping frequency, funny 40th birthday gifts , credit card information, and many more.

Amazon is famous for its Prime loyalty program. Customers who are members of Prime get access to unlimited free two-day shipping on millions of items, as well as other benefits that Amazon has added such as their streaming service and Prime Day sales.

Amazon faces heavy competition from other retailers like Walmart. Products sold on Amazon can also be found elsewhere. What distinguishes Amazon from other online retailers is the loyalty program provided. Through the Prime program, Amazon has increased its repeat sales; Prime loyal members spend an average of $ 1,500 per year on Amazon.com (four times more than other Amazon customers).

Read our related article:  7 Ways to Keep Your Customers Satisfied and Loyal

To increase repeat orders from their loyal customers, Tokopedia, one of Indonesia’s most prominent e-commerce sites, successfully launched its loyalty program called TokoPoints. Although Tokopedia is not the first in Indonesia’s marketplace to provide such a loyalty program, TokoPoints proved to be able to steal the attention of online shoppers, let alone Tokopedia has indeed managed to dominate e-commerce in Indonesia. Through TokoPoints, Tokopedia customers can collect Loyalty and Points either through the site or the app. Points can be redeemed into coupons available in the Katalog Kupon, while Loyalty can level up the membership status (classic, silver, gold, and platinum). The membership benefits can include free shipping, discounts, and cashback.

The process of building consumer loyalty can also be done through email marketing. However, sending email marketing to many consumers will be challenging to implement if you still use the manual method. Therefore, a marketing automation system is a right choice to automate relationships with clients . This system helps companies automatically send marketing emails to multiple recipients, perform SMS marketing, and create custom email templates according to company needs. 

e.l.f., a famous cosmetic brand from New York, offers a loyalty program that is not less creative than Sephora’s, which is known as Beauty Squad. e.l.f. understands how to reward their loyal customers properly. A-Lister members (those who have more than 401 points) are given early access to new products and have the opportunity to choose new product colors. Transactional gifts such as personalized sale days and various full-size gifts make e.l.f. ‘ss VIP customers feel valued and special.

TOMS, one of the world’s largest shoe manufacturers and retailers, has chosen another way to offer its loyalty program. They do not give rewards in the form of points or prizes provided by other retailers, but an opportunity to make a real difference on a global scale .

With every purchase of a pair of shoes, TOMS customers earn the non-monetary incentives that allow them to donate shoes to communities in need and share profits with the Wildlife Conservation Society. This proves that a loyalty program does not always have to be in the form of money and can appeal to the customer’s values and sense of worth.

As one of the world’s most prominent outdoor clothing and equipment retailers, The North Face offers a flexible loyalty program that allows their loyal customers to redeem their points with rewards that best suit their lifestyle. Through the VIPeak program, customers can redeem their points in unique ways; from attending The North Face events, checking in at specific locations, and experiencing memorable adventures, such as climbing the Himalayas in Nepal.

The NorthFace’ss rewards are more than encouraging customers to spend more. They are not common discounts on products but curated experiences that help strengthen the relationship between the customers and the brand. You don’t need to award a trip abroad as The North Face does, but you can still create loyalty programs tailored to your customers” characters and lifestyles, which help strengthen the bond between you and them. To make it easier for you to manage your loyalty and membership programs, consider using membership management software . This system can help you manage the membership database in a centralized repository, automate membership updates, offer various membership levels, and personalize the loyalty program you offer. If you are still contemplating which system to use, download the pricing scheme calculations to help you decide!

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The Most Successful Loyalty Program Examples to Learn From

We’ve all heard that it costs 5x more to get a new customer than keep an old one. That’s true! So, as a result, programs to boost loyalty are part of our everyday lives. If you were asked about some of your favourite brands, you’d immediately think of a few names. That’s likely because they’ve demonstrated their value through the quality and appreciation they show to their loyal customers. For all brands, retaining customers is a core goal and today, we can learn from some of the best loyalty program examples on the planet to see just how it’s done.

Table of Contents

The benefits and advantages of customer loyalty

What are loyalty programs.

• #1. Gamification
• #2. Cashback programs
• #3. Subscription loyalty programs
• #4. Celebrate customer birthdays with discounts/ coupons/ gift cards
• #5. Refer-a-friend programs
• #6. Social impact loyalty programs

Marriott Bonvoy Program

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• Boost to CX – Customer experience is a critical element of the buyer journey and it’s where the desire to make a repeat purchase is often won or lost. It involves every interaction with your brand and whether it meets or exceeds your expectations. Customer loyalty programmes can help enhance these interactions by adding value.
• Better retention – A retention rate is the percentage at which you maintain a stable of repeat purchasers and churn is the inverse. Loyal customers are less likely to leave your brand and therefore help keep your retention rate high.
• Create brand advocates – Delighted customers will tell other people. This is advocacy. And you need to do more than offer a good product to win this kind of loyalty. You must show that you don’t take repeat customers for granted. Some of the best loyalty program examples do this with reinvestment and other value-adds.
• CLV Increases – Customer lifetime value is the estimated spend per head of your customers as an average over their tenure with the brand. The higher you can get this figure, the more profit you’ll generate from every customer you acquire. Following in the footsteps of the loyalty program examples provided below can help you do this.
• Win new customers – Acquiring customers is a costly endeavour. But, brands with a long history of looking after their customer base are more likely to win in the consideration phase of the buyer journey. When consumers know you’ll reward them for their loyalty, they are much more likely to engage with your brand in the first place.
• Acquire data – Even today, data is one of the most valuable commodities on the planet. Having access to the inboxes, SMS and mailboxes of consumers without having to go through data aggregators like Facebook or Google means that you will benefit from audience insights, reduced direct marketing costs and own a powerful asset. Running a good loyalty program increases the likelihood that customers will share their data.

When you create a system or group of processes designed to reward your regular customers, this is a customer loyalty program . The goal of these programmes is to increase the customer’s selection of that brand’s products over another. Truly effective loyalty program examples show that loyal customers will display this preference even when a different brand is more accessible or lower priced. This means that true loyalty is not cost or availability-dependent.

How to create a loyalty program strategy?

# 1. gamification.

Gamification helps you drive action and increase the emotional connection with your company when you apply it to a loyalty program. Create curiosity, delight and excitement through game mechanics deployed across the full buyer journey with a gamified loyalty program .

One of the most common loyalty programs, this format rewards customers for their custom and interactions with points. This virtual currency can be turned in for discounts, free items, perks at a certain level, cashback and more. With this system, the conversion rate is usually clearly shared with the consumer so they know how close they are to achieving the reward they want.

How points are used in loyalty programs?

The goal of loyalty points is to reward customers for doing things that drive their integration with the brand up. The best loyalty program examples see consumers earn points on a range of positive activities like making bulk or repeat purchases, engaging with time-limited offers, trying out a new collection or doing any other sort of brand-facing interaction.

Tiered loyalty programs

Ranking your customers by how much value they add to your business is an old strategy but it’s still effective. With a tiered program, the most popular loyalty program examples will divide customers into levels that confer different perks based on (usually) sales figures. The higher the rank, the more exclusive the rewards become.

Coupon system

More and more loyalty program examples show how coupons can be used to reward your customers with a range of perks designed just for them. This can increase engagement when it takes into account their previous purchases and shopping habits. Plus, modern coupons can be secured with account validation to ensure the right person is rewarded. Really good loyalty program examples will allow customers to earn discounts, points, shipping vouchers and the like with digital or POS coupon systems.

How can you give tangible benefits and reward customer loyalty with a coupon system?

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# 2. Cashback programs

Cashback is fairly straightforward. For the money spent, customers are returned a portion. Common in physical stores, cashback encourages repeat visitation with higher purchase quantities. This increased frequency and purchase value mean that retailers are becoming more fond of cashback over discounting. The cashback format seen offered by big-name loyalty program examples like Halifax , creates trust and provides clear reinvestment to the consumer. Customers feel they are getting something real and useful back (money) instead of just giving out something less (discounts).

# 3. Subscription loyalty programs

In exchange for a one-time or ongoing fee, customers can get benefits via a paid loyalty programme. Some loyalty program examples like this are TasteCard , ASOS Premier and Amazon Prime . To run a profitable program, the benefits need to have a perceived value that’s worth more than the fee. And you’ll need to retain users with added experiential bonuses and interactions that drive the engagement upward.

# 4. Celebrate customer birthdays with discounts/ coupons/ gift cards

Everyone loves a freebie and the most popular loyalty program examples almost always layer on discounts, coupons or gifts for their customer’s birthdays. This helps to humanise the brand and deepen the attachment with the customer. Birthdays are personal and inserting your brand message with a thoughtful gift at the right time during this festive occasion can generate good feelings from customers.

# 5. Refer-a-friend programs

Referral schemes turn every customer into a salesperson. On top of reviews or feedback, customers can directly advocate for your product or service to family and friends. By giving them a discount code or referral link, they’ll go to market for you and evangelise about your service. The goal is to make sure there’s something in it for your customer too. The best loyalty program examples are offers like £10 in credit when you refer a friend or 20% off your next shop when your friends buy twice. Referrals are more likely to already have a positive view of your company because of how your existing customer would have advocated for you.

# 6. Social impact loyalty programs

Offering rewards that benefit our planet or encourage healthy habits tap into our value systems and build loyalty based on shared ideals. Your rewards could include donations to social programs or cashback for community-positive behaviours. For some loyalty program examples like this, think of Ocado’s bag recycling program or the Toms one-for-one . You can combine value-based loyalty programs with traditional rewards like cashback to create a hybrid offering.

Loyalty program examples in hotels

In general, loyalty programs in the hotel industry are designed to drive repeat visitation, increased occupancy and better retention. Most do this with points that are redeemable for free stays or discounts. Plus, these programs usually have a tiered element which confers additional benefits for the upper levels like complimentary upgrades, discounts at the restaurant or spa and late checkout service. The goal is to increase loyalty by (amongst others) triggering a sunk cost bias and creating exclusionary loyalty where that hotel chain is one’s exclusive choice due to the benefits already acquired.

What is the Marriott Bonvoy program?

With 30 brands and hundreds of locations across the globe, Bonvoy is one of the largest hotel loyalty programs in the world. It’s one of the loyalty program examples that uses points to drive visitation across their hotel estate. As you level up, get even more perks and preferential rates with the brand.

How to earn Marriott Bonvoy points?

Earning points in the program is easy. First, you get them for anything you spend with Marriott. This is tiered both to the brand level and your membership level. Then, if you use a Marriott credit card you’ll earn points on top (although a lot of these cards have an annual fee). Some cards earn you points only for spending at Marriott locations, but others like their business AMEX will earn reward points at other businesses like restaurants and petrol stations. Members can also buy points directly or transfer points from other loyalty programs if they need to top up their balance in order to reach a tier or redemption threshold. 

How to use Marriott Bonvoy points?

Bonvoy points can be turned into a donation, gifted to others, used for services like Uber, transferred to airline partners or redeemed for vouchers via shopping portals. However, the most common use is for getting free stays at Marriott locations. 

In addition to the standard tiered points programme, Marriott also offers paid loyalty programs or subscription-based programs in some hotels. For example, in the Meridien Dubai village , you can pay a one-time yearly subscription and get access to benefits such as:

• Spa vouchers and discounts
• Gourmet dining freebies and discounts
• Fitness centre access
• Laundry vouchers
• Best room rates

What is the All – Accor live limitless program?

The points-based loyalty program for Accor properties is one of the loyalty program examples which -like Marriott- covers thousands of locations globally. So it needs to appeal to everyone. Points are earned for spending across the estate and with selected partners. Loyal customers are categorised into membership tiers according to their level of commitment with the brand.

How to earn Accor points?

Members can earn when they stay with Accor, use their credit card, book cars and transfers, shop from their e-boutiques, book experiences with their excursion partners on their website or eat in their partner restaurants.

How to use All points?

Overall, these are extremely versatile points. They can be redeemed via nearly all the earning methods above. So, members can use them for dining, hotel rooms, shopping, taxi rides, activities or donate them to charity.

What is the Wyndham rewards  program?

Another points-based rewards program, Wyndham rewards are earnable and redeemable across 22 brands worldwide. This is also one of our loyalty program examples with a tier system; the highest being Diamond.

How to earn points in Wyndham hotels?

Points are earned with qualified stays, via purchases on their own-brand credit card or via other travel and shopping partners.

How to redeem points from Wyndham hotels?

Redemption is easy via the simple members portal. This allows 24/7 access to turn points into rewards like petrol vouchers, charity donations, hotel stays, airline miles, car rentals, gift cards, merch and tours.

What is the Hilton honors program?

Focused on perks, this point-based and tiered loyalty program example really talks up the soft benefits like rollover nights, buy 4 get the 5th night free and free water on arrival. It also cross-sells the co-branded Hilton credit card by offering automatic elite status when you open the account. In addition, clients can level up their benefits according to the silver, gold or diamond tiers.

How to earn points with Hilton Honors?

Like most loyalty program examples for hotels, you get points for spend on property. In addition, Honors points are earned with partner brands on dining, shopping, travel or gross spending. There are also ways to get bonus points on top of spend but they don’t count towards your tier within the program. Lastly, members can top up their balances by purchasing points directly if they’re close to a tier or reward amount needed for a perk.

How to redeem points from Hilton Honors hotels?

First and foremost, you can use these points on hotel stays. Then, there are experiences like concerts and sports events to cash in on. Lastly, members can spend their points on Amazon or via their airline partners for flights.

What is the IHG® one rewards  program?

The tiered and points-based reward program from InterContinental Hotels Group, IHG ONE applies to over 6k properties and confers special perks like late checkout to travellers as they increase in status. It’s one of the many loyalty program examples in the hotel industry which is free to join. However, IHG does have a subscription program (IHG InterContinental Ambassador) which charges an annual fee.

How to earn points with IHG® one rewards

On registration, members can earn points on hotel stays and the quantity increases as the member’s status increases. They can also earn them for qualifying spending on their IHG credit card, via the Apple shopping partnership, via IHG’s Dine & Earn program or if they complete a transfer of points from another eligible reward program. Lastly, members can buy or receive gifted points which can help get them to a status goal for extra perks. In addition, for a $200 fee, they can join the IHG InterContinental Ambassador program to get upgrades, bar credits and more just on registration. Equally important, IHG offers Lounge Club membership at one of its highest tiers; a perk not offered by any other major hotel chain

How to redeem points from IHG® one rewards ?

Spending points are easy as IHG is one of the loyalty program examples with dynamic pricing. So, in low-demand periods, you can turn in points for free stays at a better rate than during peak demand. As such, this encourages off-peak bookings. Plus, with the IHG credit card, the 4th night is free anyway; allowing you to create a custom holiday package. You can cover all or some of the costs with your points. Or, you can transfer your points to an airline partner to cover your flights or use them to buy gift cards or purchase merchandise from the IHG Shopping Mall.

Loyalty program examples in restaurants

The best loyalty program examples in restaurants are simple, straightforward points or visitation counting schemes. They award stamps, stars or points for purchases and aim to give benefits after a certain number of visits are met. These perks could be physical items to take home like merch, money off their next visit or a completely free item. The goal is to track and reward progression clearly and measurably so that members choose their chain to complete the offer versus other high street options.

In late 2022, Dunkin Donuts replaced the beloved DD Perks with Dunkin Rewards to widespread criticism . At launch, and overnight, the program increased the cost to redeem points for items; requiring more spending. Now, the chain awards 10 points for every dollar spent and coffee drinks start at 500 points to redeem. However, there’s a rapid earning mode that can kick in if they visit 12 times in a month that gives members 20% more and there’s an additional point boost on their birthday.

The Costa club is a very simple program that awards members for buying coffees both in-store and from Costa vending machines at petrol stations and supermarkets. Once the member buys 8 drinks, the 9th is free – or if they use a reusable cup- they get a free drink after 4 purchases. There’s also a cake for the member’s birthday plus extra bonuses that drop randomly each month.

This is one of the simplest loyalty program examples. You get 10 points for every dollar spent eating at Wendy’s with the option to get bonus points from time to time. Then, when you have enough points, turn them in for rewards within the app. Also, if you forget to scan your app at the point of purchase, that’s okay – you can add it later. You just need to input details from the receipt.

Once you download and register via the app, you can start earning 1 point for every penny spent at Mcdonald’s. This is one of the most granular loyalty program examples out there as most others have an earning threshold of one dollar. You also get 1000 bonus points with your very first order and the lowest point cost reward is only 1500 points to unlock via the app.

Loyalty programs examples in air companies

Air miles are just a fancy word for points. The loyalty program examples from the air travel industry are all about status and point balances that you can redeem for a coveted upgrade, transfers and more. Not only can they save you money and bundle in perks that you’d otherwise pay for, but they are saving air companies overall. By collateralising these point balances, airlines were able to raise loans from global banks to improve their assets.

The popular SkyMiles program is a partnership between a range of carriers including Delta Air Lines, Virgin Atlantic and WestJet. One of the many collaborative loyalty program examples, SkyMiles lets you earn points when flying, using partner credit cards and spending with partner companies. Plus, when you earn points, you can go up in status to unlock more perks like rollover miles, Delta Sky Club access, complimentary upgrades and priority boarding. With more than 92m members globally , it’s one of the largest loyalty programs in the world.

Brainchild of American Airlines, this second conglomeration of carriers includes British Airways, Iberia and Qatar Airways. Another one of our loyalty program examples that combines points and tiers, this program allows you to earn status based on a percentage of miles flown. As a result, this requirement keeps a lot of the spending with the air carriers. But non-airline core partner companies include Avis, Kohls and Holiday Inn. Overall with top-tier status, members get attractive benefits like 3 checked bags, auto-upgrades and preferred seating.

This partnership is one of the most discount-heavy loyalty program examples in the air travel industry with preferential rates dipping as low as 50% off. Perhaps that’s why it attracts 100k in new signups each year. In addition to the core partners, collaborative airlines include Delta, Korean Air and Aeromexico. Travel up the tiers to unlock amazing perks like free seat selection, SkyTeam lounge access with a plus one and lifelong membership after holding the Platinum status for 10 years.

Loyalty programs examples in retail

Brick-and-mortar retail isn’t the only loyalty program example we should look to. With programs that try to understand consumer spending to suggest the most compelling promotions and offer discounts, B1G1 sales and perks like free 2-day shipping; e-commerce is also learning the way. Loyalty programs in retail are usually points-based. However, Amazon Prime is one of the largest loyalty programs on the planet and it’s a paid-for service.

Amazon Prime is a subscription-based loyalty program that offers different perks depending on where you are in the world. In UAE, you’ll get access to Amazon Music, Prime Video, free global shipping, free 2-day or better domestic shipping, discounts and free partner programs like Deliveroo Plus. Then there are lighting deals, Prime Day and early Black Friday deals which Prime members can get early access to as well. The membership fee offsets the cost of these perks and makes the program truly valuable for members.

The Sephora Insider program is tiered to offer more benefits with more spending. At the top tier of $1000 spent per year, members unlock all the perks from cash to spend in-store, savings & discounts, point multiplier days, free shipping, auto-replenish of their favourite products, events & launches, free product samples and gifts. Points are earned at 1:1 dollar spent and redeeming them is easy via the app / online or with their partnership at many Kohl’s retail stores.

Right away, the Body Shop Club lures you in with 15% off your first purchase at registration. Then you get 10 points for every £1 spent and when you get to 500, they trigger a £5 off voucher for you to use. There’s another fiver for your birthday and access to exclusive promotions and offers with this membership. Lastly, as one of the few loyalty program examples to reward members for being green, this program gives double points on eco-refills.

Across all of the loyalty program examples we looked at in this piece, one thing is very clear. Rewarding members for their loyalty through points, tiers, subscription-based programs and more is a successful way to reduce churn and retain more of your customer base. Gamification is a great way to do this with engaging mechanics that boost the uptake and ongoing use of your program. If you want to explore how Mambo can help make your loyalty program more sticky, talk to us here .

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How to Name Your Loyalty Program (and 5 Examples of Names Done Right)

When you decide to start a loyalty program, you want to get everything right. From the value of the rewards you offer to your program branding , you take the time to research everything you can, and why shouldn’t you? You want to get it right the first time, and looking at what others are doing will help you do that.

However, over the years we’ve noticed an interesting trend in how most brands do research. No matter how prepared they try to be, many of them seem to ignore one of the most important rewards experience elements: their program’s name.

A loyalty program's name is often undervalued but is crucial to establishing a relationship with those who join.

Ultimately, your program’s name is responsible for setting the tone for your shoppers and members. It can be the difference between a customer choosing to join your brand community or shop somewhere else. If you want your program to perform its best, that means a generic name like “My Points Program” just won’t cut. Instead, you want to make it sound exclusive, exciting, and on-brand so that your customers actually want to take part in it.

So how do you do that? To help get your creative juices flowing, we’re going to start with a few quick tips on naming your loyalty program and then tell you about 5 of our all-time favorite program names.

Let’s take your naming game to the next level!

How to properly name a loyalty program

When it comes to naming your rewards program, there are 2 big ideas you need to keep in mind.

1. Establish an emotion

Above everything else, you want your program’s name to evoke an emotion in your shoppers. There are two reasons for that. For starters, loyalty is an emotion your customers feel for your brand. The emotion your program’s name creates will influence your members’ perception of your program and help establish that long-lasting commitment to your store.

Secondly, emotions are one of the best ways to encourage customers to join your brand community . In a world where customers are looking to connect with brands on a deeper level, what you name your program can go a long way to making them feel like your community is exactly where they want to be.

The trick is to inspire an emotion that aligns with your brand and the products you sell. No matter what type of products you sell, emotion is key to building a relationship with your shoppers.

2. Incorporate your loyalty program currency

Customers will only want to join your rewards program if they believe it can deliver value. This is why an amazing rewards currency can be instrumental in delivering on that promise.

For example, a cosmetics company who offers customers ‘Beauty Bucks’ as part of their ‘Beauty Bucks Boutique’ program sounds a lot more appealing than a competitor that rewards shoppers with ‘Beauty Points’ for joining their ‘Rewards Program’. By putting value at the forefront of their program, the first brand is guaranteeing its members an exceptional experience that is satisfying and on-brand.

Your program name needs to clearly communicate the value of joining your program.

When you incorporate your currency into your program name, you build a clear connection between the value you’re promising and the value you’re going to deliver. This correlation will strengthen your program as a whole and help emphasize the value customers can expect to receive after joining your brand community.

The best loyalty program names

Now that you know how to effectively name your loyalty program, it’s time to show you what that looks like out in the wild. Every great rewards program is able to create the desire to join, engage, and share, and the following 5 examples do a great job of not only creating community but maintaining it, too.

D'addario's Players Circle

For those of you who aren’t familiar with D’Addario , they’re a world-renowned instrument and music accessories brand. Most popular for their guitar strings, D’Addario chose to name their loyalty program after their ideal customer: players.

This name works on two levels. For one, it explains the type of people that will benefit the most from participating in the program (players of instruments). It then pushes this categorization even further by adding an element of exclusivity with the word “Circle”. By using a circle, D’Addario is implying that the rewards program is only open to like-minded instrumentalists who take their craft and the instruments they use seriously. Who wouldn’t want to be a part of that exclusive group of people?

As a name, Players Circle does an amazing job of both explaining who benefits from the loyalty program and creating the desire to join.

Blume’s Blumetopia

Blumetopia is one of our all-time favorite reward experiences. From the second you land on their website, you’re treated to a completely branded experience encouraging you to reach Blumetopia.

From their beautiful explainer page, to their friendly and fun calls-to-action (CTAs) like “Are you a Blume Babe?” Blume delivers an on-brand customer loyalty experience. They’ve done a phenomenal job of tying together their program name and reward points name . Blume’s ‘Blume Bucks’ are easy to remember because of the inclusion of the brand’s own name, the association with cash, and the use of memorable alliteration.

The use of the term “BBs” is also entirely appropriate, as the term is slang for baby, a flirty and fun term of endearment. This value of creating an inviting brand community is further driven home by the VIP tier titles of: Friends, BFFs and Soulmates. It’s clear from the second you land on Blume’s website that they want their customers to feel like they are entering a utopian universe. This 360 degree rewards experience demonstrates the strength of their loyalty program name as well as the value of belonging to their brand community.

Left Field Brewery’s Fan Club

Left Field Brewery’s Fan Club is another great example of making sure your loyalty program name aligns with your brand values. This sporty beer brand makes baseball references all over their website from their store name to their product names like Seven Inning Seltzer to Squeeze Play.

The Fan Club is no different as an obvious reference to sports fan clubs. Left Field Brewery hit a homerun with this name for 2 reasons. First, with a message that says, “The Fan Club is our small way of saying thanks for your support,” it shows that they are their customers biggest fans. Second, the use of the word ‘club’ is associated with a tight-knit group that people want to join–exactly what your loyalty program should be.

Left Field Brewery knocks it out of the park again with their loyalty program social media marketing . By promoting their program on Instagram through helpful tutorials like this, they’re ensuring customers know exactly how to use their program and get the most value out of it. No curve balls around here for their Fan Club!

Sephora's VIB Rouge

Whether you’re a makeup artist or not, you’ve probably heard about Sephora’s loyalty program. That’s because their VIB Rouge program is arguably the best loyalty program in the world , making it the perfect example to learn from.

The acronym VIB is what makes this name so outstanding. VIB stands for “Very Important Beauty,” playing on the concept of VIPs. This fits perfectly with Sephora’s three-tiered program structure which requires customers to spend over $1,000 per year to unlock the coveted VIB title. While this might seem like a steep “membership fee,” it also makes the program feel extremely elite which is hugely motivating for their target customer.

View this post on Instagram A post shared by Ceo of Hydration (@hydrationceo)

This, combined with the VIB pun, is why so many people brag about becoming members. If you don’t believe me, just do a quick search on Instagram, Twitter, or Facebook for #VIBRouge and you’ll see what I mean. With over 80K posts using that hashtag on Instagram, it’s clear customers are proud to be a VIB Rouge. Obviously the success of this program isn’t based purely only on its name, but we definitely think it’s a significant factor.

Designer Bums’ Camp DB

When a loyalty program brings you on an exciting journey through a screen, you know it's a good one. Australian reusable diaper brand, Designer Bums, takes its customers an exciting camping trip through their loyalty program, Camp DB.

We love this loyalty program name for many reasons. For starters, it incorporates the brand’s initials so it’s easy for customers to remember. Second, it transports customers into an entirely new world–one filled with exciting challenges and the opportunity to make their way through a loyalty program map to collect badges and rewards along the way. Camp DB is definitely one of the most creative loyalty experiences we’ve seen and we’re loving every aspect of it.

Customers have the opportunity to level up through different VIP tiers at Camp DB. Just like a scout earning their badges at camp, customers can go from a ‘Happy Camper’ all the way to a ‘Star Gazer’, earning more exclusive perks along the trail. Their VIP tier names are also perfectly in-line with the program name. We don’t know about you, but we definitely want s’more of what Designer Bums is bringing to the (picnic)table.

The key to a great loyalty program name

All in all, we think it’s clear that an amazing loyalty program name is one that’s related to both what you do and the brand community you are trying to build. When you establish the right emotion and relate your program to your brand, the rest will follow (specifically more loyal, engaged customers).

Bonus: Brand your Smile loyalty program like a pro

Editor’s Note: This post was originally published in March 2016 and was updated for accuracy and comprehensiveness on January 23, 2023.

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Hands up if you’re ready to be dazzled! From a ceremony structure designed to float on water to a jaw-dropping reception room with flowers blooming from every service, we’re swooning over every bit of this wedding. If you can believe it, that’s just the beginning. Julia Kaptelova artfully shot every detail, like the ballet performance guests were treated to and snow falling from the ceiling for the first dance! Prepare to be amazed and take a visit to the full gallery .

From About You Decor … Our design is a symbol of dawn and a distant endless horizon. Ahead is a long, happy life without any borders. An international couple, Pavel and Cherry, met in London and have been walking together for many years.

From the Bride, Cherry… My husband and I we decided to have our summer wedding in Moscow because the city is where his roots are. As we knew we were going to have the other wedding ceremony in China, we wanted our Moscow one to be very personal and intimate. We’ve known each other since we were fourteen, together with many of our friends whom we’ve also known for a decade.

I didn’t want to walk down the aisle twice so the plausibility of my request quickly came into discussion. The open pontoon stage was constructed in order to facilitate the bridal entrance on water, although there were concerns about safety as the last thing we wanted was probably a drowned bride before she could get on stage, picture that! I have to say on that day it wasn’t easy to get on the pontoon stage from the boat, in my long gown and high heels. Luckily my bridesmaids still noticed even though they stood the furthest from me on the stage, and helped me out without prior rehearsal. My girls could just tell whenever I needed a hand or maybe they were just so used to my clumsiness. Who knows 😂

We all love our photographer Julia! She’s so talented and her style is so unique. Our beloved host Alex is exceptional who made everyone laugh and cry. It was truly a blessing to have so many kind and beautiful souls on our big day. Thank you all!

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Photography: Julia Kaptelova Photography | Wedding Planner: Caramel | Cake: Any Cake | Invitations: Inviteria | Rings: Harry Winston | Band: Menhouzen | Grooms attire: Ermenegildo Zegna | Wedding Venue: Elizaveta Panichkina | Bridesmaids’ dresses: Marchesa | Bridesmaids’ dresses: Alice McCall | Bride’s gown : Jaton Couture | Bride’s shoes: Manolo Blahnik | Decor : About you decor | Earrings: Damiani | Muah: Khvanaco Studio | Video: Artem Korchagin

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I’m still not convinced this Moscow wedding, captured to perfection by  Sonya Khegay , isn’t actually an inspiration session—it’s just  that breathtaking. From the beautiful Bride’s gorgeous lace wedding dress and flawless hair and makeup to the pretty pastel color palette and stunning ceremony and reception spaces, this wedding is almost too good to be true. Do yourself a favor and see it all in The Vault now!

From Sonya Khegay … It was the last day of April and still very cold in the morning. The weather forecast wasn’t pleasing and no one expected that the sun would come out, but miracles happen and light rain gave way to the warm rays.

I love how all the details went together, you could feel the harmony in everything throughout the entire wedding day from the morning until the fireworks.

A gentle look of the bride, elegant but so airy and unique decor, the fresh and light atmosphere of early spring and, of course, true happiness in the eyes. My heart becomes so warm from these memories, it is always a pleasure to see the birth of a new family of two loving hearts.

Photography: Sonya Khegay | Event Design: Latte Decor | Event Planning: Ajur Wedding | Floral Design: Blush Petals | Wedding Dress: La Sposa | Stationery: Special Invite | Bride's Shoes: Gianvito Rossi | Hair + Makeup: Natalie Yastrebova | Venue: Rodniki Hotel

• by Elizabeth Greene

You really can’t go wrong with simple: a beautiful Bride , perfectly pretty petals , loved ones all around. But add in an amazing firework show  to cap off the night and simple just became downright extraordinary. Captured by Lena Elisseva , with assistance by  Katya Butenko , this rustic Russian celebration is simply fantastic. See it all in the Vault right here !

From Lena Eliseeva Photo …  This cozy and warm summer wedding of gorgeous Natalia and Anton was in the middle of June. The young couple decided to organize their wedding themselves, and the day was very personal and touching. I am absolutely in love with rustic outdoor weddings, and this one is my favourite because of the free and easy atmosphere.

All the decor excluding the bride’s bouquet was made by a team of ten friends of the bride and groom. And it was charming – a light and beautiful arch, eco-style polygraphy and succulents, candy-bar with caramel apples and berries – sweet joys of summer.

At the end of ceremony the guests tossed up white handkerchiefs embroidered by Natalia’s own hands.

The most touching moment was the happy eyes of the groom’s grandmother, the most estimable person on the wedding. And the fireworks were a bright end to that beautiful day.

Photography: LENA ELISEEVA PHOTO | Floral Design: Katerina Kazakova | Hair And Makeup: Svetlana Fischeva | Photography - Assistance: Katya Butenko

These photos from Lena Kozhina are so stunningly beautiful – as in you can’t help but stop and stare – it’s hard to believe it’s real life. But these pics are proof of this gorgeous Bride and her handsome Groom’s celebration at Moscow’s Fox Lodge , surrounded by vibrant colors and breathtaking blooms . Oh, and the idea of prepping for your Big Day outside in the sun ? Brilliant. See more bright ideas right here !

From Lena Kozhina … When we met with the couple for the first time, we immediately paid attention to Dima’s behavior towards Julia. There was a feeling of tenderness and awe, and we immediately wanted to recreate this atmosphere of love, care and warmth on their Big Day.

Later, when we had chosen a green meadow and an uncovered pavilion overlooking a lake as the project site, it only highlighted a light summer mood with colorful florals and a great number of natural woods. The name of the site is Fox Lodge and peach-orange color, as one of the Bride’s favorites, set the tone for the whole design – from the invitations, in which we used images of fox cubs to elements of serving guest tables and other decorative elements with the corresponding bright accents.

Photography: Lena Kozhina | Event Planning: Ajur Wedding | Wedding Dress: Rosa Clara | Shoes: Marc Jacobs | Catering: Fox Lodge | Makeup Artist: Elena Otrembskaya | Wedding Venue: Fox Lodge | Cake and Desserts: Yumbaker | Decor: Latte Decor

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Country: Russia

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