Public Relations & Social Marketing Insight
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Public Relations & Social Marketing Insight
Social marketing, PR insight & thought leadership - from The PR Coach
Curated by Jeff Domansky
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Gift cards keep on giving, sales grew 6.3% | Cashback Industry News

Gift cards keep on giving, sales grew 6.3% | Cashback Industry News | Public Relations & Social Marketing Insight | Scoop.it

Gift cards used to be a last-minute purchase when consumers were stuck for a last-minute gift, but they’re now a gift selected because it gives the recipient more buying choices and flexibility. The gift card marketplace continues to evolve and we’ve got some research and innovations to share to keep you up-to-date on gift card trends. CEB reported US gift card sales in 2015 totaled more than$129.7 billion, a 6.3% increase over 2014 sales of $122 billion.


A new research report by CashStar showed 91% of consumers were happy with their gift cards. The same report showed digital gift cards were the biggest growing gift card segment up 26% to $7.1 billion in 2015.


According to the Incentive Research Foundation, another big trend in gift cards in 2016 is the increase in luxury gift cards for purchasing electronics (cited by 31% of respondents), open-loop gift cards (28%), luggage (24%), and watches (23%).


Lyft and Starbucks launched a joint gift card promotion each selling the other’s gift cards. C-stores have seen the impact of technology and are experimenting with digital and mobile cards. Swych, Inc launched an  innovative digital gift platform and iOS mobile app for US consumers who can use a unique app to send “Swychable” gift cards redeemable at favorite retailers. Research by National Gift Card Corp shows 72% of sales came from three categories: big-box retailers (29%), open loop rewards cards such as Visa and AMEX (23%) and entertainment cards (10%)....

Jeff Domansky's insight:

Consumers still love their gift cards, with 2015 sales of $129.7 billion in the US, up 6.3% from 2014.

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For free or a fee? Why more retailers are launching premium customer loyalty programs

For free or a fee? Why more retailers are launching premium customer loyalty programs | Public Relations & Social Marketing Insight | Scoop.it

Gary Friedman has a pronounced distaste for discounts. The outspoken Restoration Hardware chairman and CEO blames the retail sector’s reliance on sales and pricing promotions for many of the problems facing the upscale home furnishings chain.

“Much of how we behave promotionally is left over from the Great Recession,” Friedman wrote in a February letter to shareholders published ahead of Restoration Hardware’s disappointing Q4 2015 earnings report. “The multiple sale events and email communications do not reflect the brand we are building, nor are these promotions aligned with how our customers shop with us.”

Restoration Hardware is eliminating traditional promotions altogether in favor of introducing a premium customer rewards program. Priced at $100 per year, its new RH Grey Card offers shoppers a flat 25% savings on all regularly priced merchandise across all of Restoration Hardware’s brands, along with 10% savings on clearance merchandise, complimentary interior design services and reduced interest rates on its RH credit card.

“Our lives are filled with complexity—and we long to break through the clutter to find simplicity,” Friedman said in a press release announcing the RH Grey Card program. “We want to shop for what we want, when we want and receive the greatest value. So rather than navigating countless promotions, we’re changing things… because time is the ultimate luxury.”...

Jeff Domansky's insight:

Keep an eye on the trend to premium customer loyalty programs in retail and e-commerce.

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Members of Customer Loyalty Programs Generate Significantly More Revenue for Retailers Than Non-Members | Accenture Newsroom

Members of Customer Loyalty Programs Generate Significantly More Revenue for Retailers Than Non-Members | Accenture Newsroom | Public Relations & Social Marketing Insight | Scoop.it

Members of retailers’ customer loyalty programs generate between 12 percent and 18 percent more revenue for retailers than do customers who are not members of the loyalty programs, according to new research from Accenture Interactive.
 
This key finding was based on a survey of retailers across specialty, big-box, department, drug and convenience stores in the United States. The Accenture research sought to identify key trends and challenges of retailers’ loyalty programs.
 
“Today’s customer loyalty programs are an increasingly expensive, complex and expansive business that extend beyond the marketing team into the entire organization,” said Farrell Hudzik, managing director of Accenture Interactive’s Global Loyalty and Rewards practice. “Given that loyalty program members generate significant incremental revenue compared with non-members, retail loyalty program leaders must anticipate future growth trends and capture the opportunity to differentiate in an increasingly fragmented marketplace.”...


Via Douglas G Hall
Jeff Domansky's insight:

Members of customer loyalty programs generate more revenue for retailers than non=members.

Doug Hall's curator insight, June 30, 2016 11:39 PM
Accenture research shows loyalty program members generate more retail revenue than nonmembers.
rodrick rajive lal's curator insight, July 1, 2016 1:41 AM
Customer loyalty programs not only  build up a customer base but also ensure loyalty, that is as long as the program continues to be run effectivley. Business houses, retailers and manufacturers will find it advantageious to spend time developing customer loyalty programs that go beyond the one or two years limit!
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Loyalty Statistics: The Ultimate Collection

Loyalty Statistics: The Ultimate Collection | Public Relations & Social Marketing Insight | Scoop.it

Customer brand loyalty is a rich and complex subject to grasp, but there is a lot of data around the subject. For your convenience, we've compiled dozens of statistics to help light the way - from how many people are active in loyalty programs to what they're looking to get out of them and how they'd like to be communicated with. We've tried to make this list as relevant as possible, which means we combed through recent research with a focus on the US (with the occasional global stat thrown in).


These stats are culled from a variety of sources, and we've provided source links for each of them (though some are gateway pages that require you to register or submit your information to receive the actual research). Sometimes the data conflict with other sources - we'll leave it up to you to decipher which is most accurate.


We'll keep this list updated on a weekly basis with the latest and greatest. If you know of a stat we're missing, or want your own research included in our collection, leave us a note in the comments....

Jeff Domansky's insight:

Check out the industry's largest collection of recent, relevant customer loyalty statistics (updated regularly by Brandon Carter.) Recommended reading for Marketers.  10/10

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