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Are your customers loyal enough to pay for the privilege of using your rewards program?
The answer may be yes, based on May 2015 research from LoyaltyOne. The loyalty services firm found that 62% of US internet users would pay to join a rewards program if their favorite retailer had a paid loyalty offer.
That figure was substantially higher among younger respondents, reaching 77% among 25- to 34-year-olds. Younger respondents were even more likely to say that it was worth paying for relevant rewards. Around two-thirds of respondents overall agreed with that.
Just under half of respondents thought fee-based loyalty programs offered better rewards than free ones—even more thought that all rewards programs just seemed the same to them.
Respondents indicated they would be most interested in fee-based rewards from grocery stores and mass merchandisers (35%), followed by credit card companies (26%).
What shoppers really want from loyalty programs, though, are discounts—so even if shoppers say they are willing to pay, they still want to save in the end.
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