Australians are happy to have retailers monitor their buying behaviour in return for personalised offers but our openness towards ‘Big Brother’ ends there.
Seventy-three per cent of Australians are open to having their purchase behaviour tracked by retailers’ loyalty programs, according to a new study ‘Share the Love’.
But 52% are not ok with having their personal details shared with other organisiations.
“You must have an extremely good reason for requesting some of the more personally identifiable data from members such as mobile number and income,” Peter Noble, CEO of Citrus and report author, said.
This reticence has implications for large coalition programs, added fellow report author and CEO of Directivity Adam Posner.
“When people join they know their data will be shared with program partners – but 52 per cent are saying they’re uncomfortable with it, even if they get more points or rewards,” Posner said.
The ‘Share the Love: 2014 consumer study in Australian loyalty programs’ also found that 26% have left a loyalty program in recent years.
The key reason for abandoning a loyalty program are speed with which points can earned, issues with redeeming points and unappealing offers.
“Make no mistake – if members have defected from a program they’ve defected from the brand,” Noble said.
“Loyalty programs are big business and a key touch point for a brand so marketers need to ask themselves: Remove a quarter of your membership and what impact would that have on your brand?”
Coles flybuys is the country’s most recommended loyalty program with Woolworths’ everyday rewards in second place. See the full list of the top 10 below and for more information on the report click here.
Australia’s top 10 most recommended programs:
- Coles flybuys
- Woolworths everyday rewards
- Qantas Frequent Flyer
- MYER one
- Commonwealth Bank
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