Nearly all u.s. consumers think retail loyalty programs are broken according to new survey but universal reward protocol finds that consumers value reward programs and feel they need to be greatly improved. This is not the end of loyalty programs but the beginning of a new rewarding system thanks to universal reward protocol (URP)
On June 6, 2018, our blockchain-based protocol, which allows retailers to reward consumers for any type of shopping behavior from visiting a store to making a purchase or simply sharing their location, released its first Reward Program Survey, revealing what consumers value most about retail reward programs, how they would like them to improve, and how much personal information they’re willing to share for better shopping experiences.
Our new survey shows that over 80% of shoppers actually throw out any loyalty/reward punch cards they receive rather than using them to get a free item, and nearly half of U.S. consumers (43%) feel that traditional reward programs are too restricted.
Despite the popular idea that consumers are not willing to share their data freely, our survey shows that 57% of consumers are actually willing to share their data with stores that they frequent. This isn’t all that surprising considering that, over 77% of shoppers also believe that a store that understands buying behaviors could create more useful rewards programs. In other words, the retail industry is primed and ready for disruptive technology like blockchain, which can connect them on a deeper level with shoppers.
We surveyed a sample of 500 consumers in the U.S. to highlight their preferences for shopper rewards, which revealed compelling results including:
American shoppers like receiving rewards from retailers, but think the traditional loyalty programs are broken and need to be fixed
Over 80% of shoppers throw out a punch card before they get any kind of reward from it; however, nearly 80% of consumers feel that rewards programs could benefit their shopping experience
Nearly 50% of people feel that too much work is required to benefit from a traditional rewards program
43% of consumers feel that rewards programs are too restricted
People tend to prefer digital coupons/reward notifications, and don’t mind sharing their data with retailers if it means they get more personalized rewards
77% believe that a store that understands buying behaviors could create more useful rewards programs
73% of consumers like receiving promotional notifications from stores that they frequent
46% of consumers prefer digital rewards programs
Most consumers are willing to spend money, and share their personal information to receive better rewards from retailers
57% of consumers are comfortable sharing their data with stores that they frequent
53% of people are willing to spend money on as many as 10 coffees (or similar products) to get one for free
Over half of consumers will download an available app for a retailer
“The findings from the Reward Program Survey show exactly why retailers need to improve the way that they incentivize their customers,” states Yves Benchimol, our CEO and co-founder. “Nearly all consumers feel that rewards programs are beneficial, but about half of them still feel that traditional rewards programs are too restricted, and more than half are actually willing to share their data with their favorite stores. This means that retailers are potentially missing out on a big opportunity to better understand their best customers, and we’re looking to fix that through URP. Blockchain will help retailers implement more personalized rewards for their most loyal shoppers, in a way that benefits both their brand and their customers.”
To discover this new kind of interactions, don’t forget to follow us on social media:
https://twitter.com/RewardProtocol
https://www.youtube.com/channel/UCecaT5v_xswtmT1xOb3ZjdQ/featured
https://www.linkedin.com/company/reward-protocol/
https://www.reddit.com/r/RewardProtocol/
