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eMoney News

Businesses 'are not making enough use of loyalty schemes'
14 Dec 2011

Companies have been criticised for not making enough use of loyalty schemes, especially those that can be used via smartphones.

A study by 2ergo found that 56 per cent of people would use personalised loyalty promotions, while 21 per cent would spend more if they received "relevant and timely offers", How Do reports.

However, 2ergo believes that only six per cent of retailers on the high street are capitalising on this by providing such initiatives.

Director of loyalty at the company Ariya Priyasantha said simply providing discounts is no good for either the brand or the customer.

"Using mobile as the platform for an integrated, intelligence-based loyalty scheme means marketers can target them effectively ... promoting relevant products or rewards based on their purchasing history," the source added.

This follows comments from Aimia UK's David Buckingham earlier this week, who told Marketing Week that good loyalty schemes will permit the collection of information that can improve companies and the services they offer.