Consumers want loyalty programmes with mobile messaging

Anne Freier

In Mobile Advertising. September 16, 2019

Brand loyalty matters. In fact, 85% of consumers are more likely to choose a store that has a rewards programme than those without.

That’s according to research by Vibes Marketing, which asked 1,000 U.S. consumers on what they wanted from their mobile experience.

Over half of the respondents prefer to choose brands with mobile messaging platforms in place. Their favourite loyalty programme activities include receiving discount codes and rewards via text messaging.

Consumers are well aware that plastic is out with 63% preferring digital coupons over plastic cards.

But which industries do rewards perform best in? Grocery stores (60%) topped the list of reward memberships, followed by airlines (39%) and hotels (37%).

With so many consumers happy to opt into mobile messaging, rewards topped the list for reasons why they subscribe to mobile messaging (32%). Other reasons include coupons (25%) and product updates (10%). A fifth of consumers (20%) do not opt-in for rewards.

But brands shouldn’t overdo it because 86% of consumers will unsubscribe when they receive too many irrelevant messages. Another 34% said they would unsubscribe when they receive deals at the wrong time.

At the same time, more consumers are opting for mobile wallets (28%) in 2019 compared to 2018 (22%). Adoption is slow, partly due to security concerns (65%).

Over a third (37%) of respondents admitted that they did not have an interest in trying mobile wallet. Approximately a fifth (22%) would try mobile wallets to simplify organisation of their coupons and loyalty cards whilst 21% would use mobile wallets to get better deals.

Eighty percent of consumers have at least one brand app installed on their phones, but rates of deletion are high. The most popular types of branded apps include shopping and financial apps.

Almost half (47%) say they are happy to receive shipping notices whilst 44% said they would like to receive confirmation that an order is ready to be picked up. Another 40% would prefer to be sent in-app notifications about special sales and promotions.

Data privacy continues to be a dominant concern for 64% of respondents. Just 11% admitted that they weren’t thinking about protecting their data.