How to achieve 100% member activity in your loyalty program

Name one loyalty program that have 100% member activity. No, I know, it doesn’t exist! Retailers are having problems to get activity at all, many branches are happy if their loyalty program have 20% active members and the best performing programs are proud if more than half of all members are active.

There are several reasons why loyalty programs have activity issues. The most obvious reason is of course that the program doesn´t create any value for the members (You can read more about it in an article written by our CEO). It could also be because value is produced over a too long time. This usually happens in retail. It can take years before I get my first bonus check. In attempts to shorten the period, brands bombard their members with "great" offers, making customers irritated and even less active.

Even programs that are relevant and produce value have activity problems. This is mainly because the program asks too much of the members, "don’t forget to bring your stamp card", "identify your self in the cashier to get your points" or "don’t forget to scan the QR code". The result is that members forget or just don´t care about the program.

So, are we full of sh..t or is it even possible to get all of your members active? Of course it is and the secret is relevance, value and automation.

We are fortunate to work with players that have huge potential in creating value to its members. In a city or a shopping centre there is something for everybody, always. Customers can shop, eat, fika or entertain themself everyday. This gives endless rewarding possibilities. Behaviour based rewards, the number of potential rewards and the short time frame between rewards has been a good starting point towards 100% activity.

But the single most important factor for us has been automation. We ask customer to join our program by connecting their credit cards or bank accounts and we never ask them to do anything again. We track their behaviour by connecting their spending to our platform and we reward automatic, fast and generous. With this set-up we deliver more value to our members, they don´t have to remember anything, they stay active over time and we achieve 100% member activity!