37 Loyalty Program Statistics & Trends You Need To Know In 2023
DealAid curates loyalty program statistics and trends from public data, private organizations and other sources. You will find key trends and statistics for loyalty programs below. Please refer to the footnotes for original data sources.
*This resource will be updated with more statistics when more data becomes available.
Key Findings
- 90% of companies have some form (loyalty, rewards or membership) of loyalty program.
- 75% of consumers prefer a brand with rewards loyalty program than a brand without a rewards program.
- 43% of consumers spend more money on brands where they are enrolled in a loyalty program.
- There are 3.8 billion loyalty program memberships in US alone.
- Average American consumer is a part of 17 customer loyalty programs.
All Loyalty Program Statistics
1. 90% of companies have some form (loyalty program, rewards program or membership) of loyalty program.
In a vast majority of companies, approximately 90% of them, it is a common practice to implement some form of loyalty program, rewards program, or membership initiative as an integral part of their business strategy, aiming to cultivate customer loyalty, enhance customer experience, and foster long-term relationships.
2. 72% of consumers worldwide feel loyal towards at least one brand.
A significant global trend emerges as a staggering 72% of consumers across various regions express a profound sense of loyalty towards at least one brand, highlighting the enduring bond forged between customers and companies that successfully capture their trust, deliver exceptional experiences, and consistently meet their evolving needs and preferences.
3. 64% of loyalty program members have higher average order value with intent to maximize rewards.
Within the realm of loyalty programs, an overwhelming 64% of members demonstrate a discernible impact on their purchasing behavior, as they exhibit a higher average order value, driven by a strategic intent to maximize the accumulation of rewards, revealing the profound influence of incentives in shaping customer spending habits and fostering a mutually beneficial relationship between consumers and brands.
4. Average American consumer is a part of 17 customer loyalty programs.
The average American consumer actively participates in an extensive network of loyalty programs, engaging with a staggering number of 17 customer loyalty programs on average, reflecting the pervasive influence of these programs in shaping consumer behavior and the widespread adoption of loyalty initiatives as a means to cultivate brand loyalty and secure customer allegiance in a highly competitive market landscape.
5. 43% of consumers spend more money on brands where they are enrolled in loyalty program.
A significant portion of consumers, accounting for 43%, exhibit a discernible propensity to increase their spending on brands in which they are enrolled in a loyalty program, underlining the powerful impact of these programs in not only fostering customer loyalty but also driving higher customer lifetime value and revenue generation for businesses that effectively leverage loyalty initiatives to incentivize and reward their customers.
6. There are 3.8 billion loyalty program memberships in US alone.
Within the vast consumer landscape of the United States, an astonishing number of 3.8 billion loyalty program memberships exist, underscoring the pervasive nature of loyalty initiatives and the widespread adoption of these programs as a key strategy employed by businesses to forge lasting connections with customers, enhance brand loyalty, and drive customer engagement and retention.
7. Starbucks has the largest loyalty program in the US with 25+ million active members.
Positioned at the forefront of loyalty program success, Starbucks boasts the largest and most expansive loyalty program in the United States, amassing an impressive membership base of over 25 million active members, which serves as a testament to the brand’s ability to cultivate customer loyalty, drive repeat visits, and create a community of passionate coffee enthusiasts who are rewarded for their continued patronage.
8. Other popular loyalty programs in the US include Amazon, Sephora and Nike.
Joining the ranks of esteemed loyalty programs in the United States, Amazon, Sephora, and Nike have garnered immense popularity among consumers, effectively leveraging their respective programs to foster enduring brand loyalty, offer personalized rewards, and cultivate a sense of exclusivity and engagement within their dedicated customer communities, thus solidifying their positions as frontrunners in the realm of loyalty initiatives.
9. 57% of consumers will try to engage with a loyalty program on a mobile device.
In today’s increasingly mobile-centric world, a substantial majority of consumers, accounting for 57%, actively seek to engage with loyalty programs through the convenience and accessibility of their mobile devices, showcasing the growing significance of mobile platforms as a preferred channel for customer participation, reward redemption, and seamless interaction with loyalty program offerings, reinforcing the need for businesses to prioritize mobile optimization and user-friendly loyalty program interfaces to meet evolving consumer expectations.
10. Price is the most important factor (62%) among customers for loyalty consideration.
When it comes to customer loyalty consideration, a substantial majority of 62% place paramount importance on price, emphasizing the pivotal role that competitive pricing strategies play in influencing consumer loyalty decisions, underscoring the need for businesses to carefully balance value and affordability to capture and retain customer allegiance in an increasingly price-conscious marketplace.
11. Customer service is the second most important factor (57%) among customers for loyalty consideration.
In the realm of customer loyalty consideration, customer service emerges as a formidable contender, with an overwhelming 57% of customers ranking it as the second most significant factor, highlighting the profound impact of exceptional service experiences on fostering customer loyalty, retention, and advocacy, thereby necessitating businesses to prioritize customer-centric practices, personalized interactions, and prompt issue resolution to cultivate enduring relationships and gain a competitive edge in the market.
12. 41% of US consumers are loyal to brands that offer personalized products.
Reflecting the growing appetite for tailored experiences, a notable 41% of consumers in the United States demonstrate loyalty towards brands that go the extra mile to offer personalized products, emphasizing the power of customization in fostering emotional connections, deepening brand affinity, and capturing the hearts and wallets of customers who seek unique, curated offerings that cater to their individual preferences and aspirations.
13. 59% of US consumers feel loyal to brands that offer personalized gifts, gift cards and special offers through their loyalty program.
A significant majority of 59% of consumers in the United States exhibit a profound sense of loyalty towards brands that not only provide personalized gifts, gift cards, and special offers but also deliver these exclusive benefits through their well-crafted and thoughtful loyalty programs, underscoring the impact of personalized incentives in strengthening customer loyalty, enhancing brand perception, and fostering an enduring sense of appreciation and connection among customers.
14. 39% of US consumers feel loyal to companies that offer cross brand redemption of loyalty points and rewards.
In a dynamic marketplace, a considerable 39% of US consumers demonstrate a strong sense of loyalty towards companies that embrace innovative approaches by offering the option to redeem loyalty points and rewards across multiple brands, showcasing the influential role of cross-brand redemption in not only amplifying the value of loyalty programs but also fostering deeper customer engagement, satisfaction, and a sense of freedom and flexibility in maximizing the benefits of their loyalty investments.
15. 26% of US consumers think brands should offer them everything possible to earn their loyalty.
Amidst evolving consumer expectations, an appreciable 26% of US consumers hold the belief that brands should go above and beyond by providing them with a comprehensive array of offerings and incentives, leaving no stone unturned in their efforts to earn and maintain customer loyalty, underscoring the demand for brands to adopt a holistic and proactive approach that encompasses personalized experiences, exclusive rewards, exceptional customer service, and continuous innovation to establish and nurture enduring relationships with their discerning customer base.
17. 45% of consumers in US express brand loyalty via recommendations to their family and friends.
A substantial 45% of consumers in the United States actively showcase their brand loyalty by not only choosing to support and engage with favored brands but also enthusiastically sharing their positive experiences and recommendations with their family and friends, serving as passionate brand advocates who amplify the reach and impact of their preferred brands, highlighting the significant influence of word-of-mouth marketing and personal referrals in shaping consumer perceptions and driving brand growth.
18. 33% of companies that don't have a loyalty program, plan do implement one by 2027.
In a strategic response to the evolving consumer landscape, a notable 33% of companies currently lacking a loyalty program express their intention to bridge this gap and proactively implement one by the year 2027, recognizing the immense potential of loyalty initiatives in enhancing customer engagement, fostering brand loyalty, and gaining a competitive edge in an increasingly customer-centric market environment, signifying a growing industry-wide recognition of the pivotal role loyalty programs play in driving business success.
19. 44% of consumers stay loyal to brands that offer high value for money.
In an era characterized by discerning consumer behavior, a significant 44% of individuals exhibit unwavering loyalty towards brands that consistently deliver exceptional value for money, as they seek tangible benefits, competitive pricing, and superior quality, showcasing the critical role that perceived value plays in fostering customer loyalty, trust, and long-term brand advocacy in an increasingly value-conscious marketplace.
20. 42% of consumers would be willing to switch companies if alternative offered better value.
Highlighting the precarious loyalty landscape, a substantial 42% of consumers express a willingness to sever ties with their current brand affiliations and embrace alternatives that promise better value, underscoring the imperative for companies to continually reassess and enhance their value propositions, customer experiences, and competitive advantages to retain customer loyalty, prevent attrition, and secure a sustainable foothold in the fiercely competitive market ecosystem.
21. 55% of US and UK consumers feel less loyal to brands now than they did before.
In a concerning trend that spans both the United States and the United Kingdom, a notable 55% of consumers express a notable decline in brand loyalty compared to previous times, signaling a shift in consumer attitudes and preferences, potentially driven by evolving market dynamics, increased choice, and heightened expectations, thereby necessitating brands to adopt innovative strategies to rekindle customer loyalty, foster meaningful connections, and deliver exceptional experiences that resonate with the changing needs and desires of their target audience.
22. 61% of consumers have switched companies due to poor customer service experience.
Customer service experiences wield substantial influence over consumer behavior, as a significant majority of 61% have chosen to sever ties with companies and seek alternatives, attributing their decision to subpar customer service encounters, indicating the critical role of exceptional service in retaining customers, mitigating churn, and safeguarding brand reputation in an era where customer expectations and demands continue to rise.
23. 71% of consumers switched to another company when buying a product or service at least once in 2022.
In a dynamic marketplace marked by intense competition, a substantial 71% of consumers made the decision to abandon their current company and switch to an alternative provider for their product or service needs at least once in 2022, reflecting the fluid nature of consumer loyalty and the need for businesses to consistently deliver compelling value propositions, exceptional experiences, and differentiated offerings to retain their customer base in the face of evolving market dynamics and changing consumer preferences.
24. 51% of consumers would less loyal if online experience with a brand is not as enjoyable as it is in person.
Underlining the significance of seamless digital interactions, a notable 51% of consumers express that their loyalty to a brand would diminish if the online experience fails to replicate the enjoyable aspects of in-person engagement, emphasizing the critical role of user-friendly interfaces, personalized digital experiences, and seamless omnichannel integration in fostering enduring customer loyalty and satisfaction in an increasingly digitally-driven marketplace.
25. 96% of customers say that enjoyable customer services builds trust and loyalty.
Customer service emerges as a compelling driver of trust and loyalty, with an overwhelming 96% of customers acknowledging that delightful customer service experiences play a pivotal role in forging deep-rooted trust, fostering enduring brand loyalty, and cultivating strong, lasting relationships with businesses, underscoring the transformative power of exceptional service interactions in building customer confidence, satisfaction, and unwavering commitment.
26. 80% of consumers are more likely to buy from brands that offers a personalized experience.
In a highly personalized era, a substantial 80% of consumers demonstrate a heightened propensity to gravitate towards brands that prioritize and deliver personalized experiences, recognizing the profound impact of tailored interactions, customized recommendations, and individualized engagement in capturing attention, fostering emotional connections, and driving purchase decisions, thereby emphasizing the compelling role of personalization as a strategic differentiator in the competitive marketplace.
27. 62% of consumers spend more money per order after subscribing to a paid loyalty program.
The allure of paid loyalty programs resonates with consumers, as a significant 62% of individuals demonstrate a tendency to increase their average spending per order after subscribing to these exclusive programs, highlighting the powerful influence of enhanced benefits, premium rewards, and elevated customer experiences in driving not only increased customer engagement but also unlocking higher revenue potential for businesses through enhanced customer lifetime value and incremental purchases.
28. 45% of consumers are frustrated with how long it takes to earn redeemable rewards through a loyalty program.
In a landscape where instant gratification reigns supreme, a notable 45% of consumers express growing frustration with the time it takes to accumulate redeemable rewards through loyalty programs, underscoring the need for businesses to reevaluate their reward structures, offer accelerated earning opportunities, and provide transparent, attainable pathways to redemption to meet evolving customer expectations, mitigate dissatisfaction, and ensure the sustained engagement and satisfaction of loyalty program participants.
29. 62% of consumers spend more money per order after subscribing to a paid loyalty program.
The enticing value proposition of paid loyalty programs resonates strongly with consumers, as a substantial 62% of individuals exhibit a propensity to elevate their average order value after enrolling in these exclusive programs, highlighting the influential role of premium benefits, enhanced rewards, and elevated customer experiences in driving both increased spending and greater customer loyalty, thereby enabling businesses to cultivate deeper customer relationships, maximize revenue generation, and solidify their competitive position in the market.
30. 58% of American consumers expect no minimum free shipping with paid loyalty program membership.
In an era where convenience and value are paramount, a significant majority of 58% of American consumers hold the expectation that paid loyalty program membership should entitle them to the benefit of no minimum order requirements for free shipping, underscoring the growing demand for seamless, cost-effective shipping options that eliminate barriers to purchase and enhance the overall customer experience, thereby compelling businesses to align their offerings with these expectations to effectively retain and satisfy their loyal customer base.
31. Women are 15% more likely to join loyalty rewards program than men in US.
In the United States, there exists a notable gender disparity when it comes to joining loyalty rewards programs, as women exhibit a 15% higher likelihood compared to men in actively seeking and participating in these programs, highlighting the significance of understanding and catering to the distinct preferences and motivations of female consumers in order to effectively attract, engage, and retain their loyalty in a competitive marketplace.
32. 58% of Millennials abandon loyalty programs due disappointing rewards.
Millennials, known for their discerning tastes and high expectations, exhibit a substantial 58% tendency to disengage from loyalty programs when faced with underwhelming rewards that fail to meet their desired level of value, underscoring the need for businesses to continuously innovate and deliver compelling, personalized rewards that resonate with the evolving preferences and aspirations of this influential consumer segment to effectively capture and retain their loyalty in an ever-evolving marketplace.
33. 71% of 55-64 year olds are part of at least one loyalty program in US, making them the most likely demographic to be a part of a rewards program.
In the United States, the 55-64 year old demographic emerges as the most avid participants in loyalty programs, with an impressive 71% of individuals belonging to at least one program, exemplifying their inclination towards actively engaging with brands, leveraging rewards, and seeking long-term loyalty benefits, thereby highlighting the potential for businesses to target and cultivate loyalty among this demographic through tailored program offerings that align with their preferences, lifestyle, and aspirations.
34. 89% of consumers will remain loyal to a brand if they feel the brand has same values as them.
The alignment of values between consumers and brands plays a significant role in fostering enduring loyalty, as a substantial 89% of individuals express a strong inclination to remain loyal to a brand when they perceive a congruence in values, indicating the profound impact of shared principles, beliefs, and social responsibility in establishing deep connections, engendering trust, and cultivating lasting relationships that extend beyond mere transactions in today’s conscientious consumer landscape.
35. 75% of consumers will prefer a brand with rewards loyalty program than a brand without a rewards program.
In a highly competitive marketplace, the appeal of rewards loyalty programs resonates strongly with consumers, as a significant 75% of individuals exhibit a notable preference for brands that offer such programs, emphasizing the influential role of incentivized engagement, exclusive benefits, and tangible rewards in capturing consumer attention, fostering brand affinity, and driving customer choice, thereby highlighting the strategic advantage of implementing a robust loyalty program to gain a competitive edge and attract the loyalty of a majority of consumers.
36. 87% of American consumers would be willing to share some of their personal data in exchange for rewards.
In a data-driven era, a significant 87% of American consumers showcase a willingness to share a portion of their personal data, recognizing the inherent value exchange, as they anticipate receiving enticing rewards, personalized experiences, and enhanced benefits in return, underscoring the growing consumer awareness and acceptance of data-driven marketing strategies that leverage customer insights to deliver tailored offerings, foster deeper connections, and forge mutually beneficial relationships between businesses and consumers in an increasingly personalized and digital landscape.
37. 46% of loyalty program members expect early access to sales.
For an increasing number of loyalty program members, early access to sales has become an anticipated benefit, as 46% of individuals hold the expectation that their loyalty and engagement should grant them exclusive entry into sales events before the general public, highlighting the growing demand for unique and privileged shopping experiences that reward customer loyalty, drive anticipation, and foster a sense of exclusivity, thus reinforcing the importance of offering this sought-after perk to enhance member satisfaction and strengthen long-term brand loyalty.
Frequently Asked Questions (FAQ)
A loyalty program offers benefits such as customer retention, increased customer engagement and satisfaction, data collection for personalized marketing, and the potential for increased sales and revenue.
A loyalty program generates revenue through increased customer spending, repeat purchases, partnerships with other businesses, and data monetization by leveraging customer information for targeted marketing and partnerships.
The four main types of loyalty programs are points-based programs, tiered programs, paid programs, and coalition programs.
A loyalty program should offer meaningful rewards, exclusive perks, personalized experiences, and seamless customer engagement to incentivize and retain loyal customers.
The key difference between a membership program and a loyalty program is that a membership program typically focuses on offering access to specific benefits or services for a fee, while a loyalty program aims to incentivize and reward customers for their continued engagement and repeat purchases.