The traditional loyalty programs in retail have been on the decline within the past few years. 58% of those currently enrolled in a loyalty program do not even partake in the memberships. Customers have stated that the enrollment in most loyalty programs have not saved them any money. Traditional loyalty programs are changing, however, to a new format.

The use of Mobile loyalty programs is growing, for it has been proven that loyalty programs are beneficial in driving value. Using a mobile layout, these programs can focus on long-term benefits for the customer. Instead of occasional coupons sent out here and there, the mobile programs can see the history of what the customer has purchased as well as suggest similar items to them. Promotions that are sent out are more tailored to the individual, making them feel more unique and rewarded than just a part of a regular loyalty system. The new format enables customers to have an emotional connection with the brand.

The use of mobile loyalty programs would be beneficial to incorporate in your business. Although new customers are always needed, it is crucial to have reoccurring customers to drive sales and even bring in new customers by word of mouth.

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