Growth for Customer Loyalty Programs Slowing: Census

Growth for Customer Loyalty Programs Slowing: Census

By Richard Adhikari

Jul 10, 2017 3:28 PM PT

Membership in loyalty programs grew at 15 percent this year to total 3.8 billion, according to the recently published
2017 Colloquy Loyalty Census Report.

The growth rate recorded in the 2015 loyalty census, when membership stood at 3.3 billion, was 26 percent.

Growth has slowed because the United States is a maturing market, said Melissa Fruend, author of the report.

Mergers and acquisitions in the grocery sector, which saw memberships plummet 24 percent from 188 million to 142 million, were another factor.

However, the financial services sector is growing strongly, mainly due to cash back incentives. Membership is 664 million compared with 578 million in 2015.

The retail sector, with 1.6 billion reward program memberships, dominates the field. The travel and hospitality sector comes next with 1.1 billion memberships.

One of the most dynamic sectors is the other/emerging sector, covering online-only offerings, entertainment, daily deals, point aggregators and card-linked offers. With 462 million members, this sector makes up about 12 percent of the total membership market, according to the report.

Add a Comment

Your email address will not be published. Required fields are marked *