Top Technologies and Trends Driving Digital Loyalty Programmes in 2024

Loyalty programmes have evolved since the days of collecting stamps for a free coffee. They've become an integral part of the shopping experience, helping consumers navigate the cost of living crisis with discounts, rewards and personalised experiences.

According to a recent study, four out of five adults in the UK actively participate in loyalty programmes, with discounts and rewards topping the list of desired benefits.

But interestingly, consumer surveys reveal that customers no longer just want to be rewarded for their loyalty. The majority of shoppers worldwide (65%) expect brands to anticipate their unique needs and would be willing to share their data to get a more personalised shopping experience.

This shift in consumer demand is inspiring a wave of innovation in the loyalty scheme space, with mobile apps taking centre stage.

This article runs through the top technology and trends driving digital loyalty scores in 2024. We'll explore how brands can harness these trends to not only incentivise repeat purchases but attract genuine customer loyalty and lifelong brand advocates. Read on to learn more.

Integrating Advanced Data Analytics and AI

With more and more shoppers craving personalised services, investing in advanced data analytics and AI-driven technologies is becoming a top priority for brands that want to cater to individual preferences.

Technologies like Customer Data Platforms (CDPs), data warehouses, predictive analytics and Machine Learning (NL) platforms enable companies to collect and analyse vast amounts of structured and unstructured data. From here, brands can create artificial intelligence models that can accurately predict customer behaviour and position enticing offers at the right time to inspire purchases.

A recent study revealed that 70% of marketers are currently experimenting with AI and advanced analytics to empower their personalisation efforts. So, if you want your loyalty programme to keep up with the competition, start researching these cutting-edge tools. At Future Platforms, we have over 20 years of experience in web design and mobile app creation, helping big-name brands like the Premier League harness customer data to create immersive brand experiences.

Building Emotional Connections to Create Loyal Brand Advocates

The customer loyalty landscape is increasingly turning to social media platforms to enhance their campaigns' effectiveness and foster closer customer relationships.

Integrating social media platforms like TikTok and Instagram empowers customers to share their customer loyalty experiences with friends, earn reward points, and become brand ambassadors in their own right.

Taking this idea a step further, collaboration with relevant influencers enables brands to push authentic loyalty scheme content on established audience groups and resonate with millions of potential new customers.

For example, Ulta Beauty partnered with beauty YouTuber Jackie Ania to offer reward points to customers who shared their purchases and tagged Jackie in their social media posts. This strategy boosted brand awareness and helped Ulta Beauty attract over 1 million TikTok followers. This example highlights how customer loyalty programmes thrive when brands harness the power of community and social proof.

Omnichannel Experiences Inspire Loyalty Across All Touch Points

Today's customer loyalty programmes are increasingly focused on uniting online and brick-and-mortar experiences, empowering customers to earn rewards and redeem them across multiple channels.

Setting up mobile wallet integration within your mobile app is the first step in creating a truly omnichannel experience, as companies can pull valuable first-party data from the seamless checkout process and target customers with relevant offers to encourage repeat purchases.

Our previous work with Virgin Active exemplifies this approach. We created an app that seamlessly integrates the physical gym experience with an engaging digital loyalty programme where members can earn rewards from online and in-person activities – all logged within the app. This unified system helps members track their fitness habits from anywhere and take a more holistic approach to their wellness journey. Virgin Active’s revamped customer loyalty scheme inspired a 19% increase in weekly gym visits and boosted the reward redemption rate from 20% to 45%.

Gamification and Exclusive Loyalty Scheme Experiences

Unlike standard loyalty programmes (that reward purchases with discounts), gamification incorporates game-like elements to make participation more fun. For example, loyalty apps can incorporate challenges to unlock badges and share the achievements with friends. This more playful approach keeps customers hooked, and Sephora's Beauty Insider Programme is a perfect example of this.

The Sephora app features quizzes on makeup and skincare preferences. The user answers questions, and the app recommends products that match their needs. It also includes loyalty programme tiers, rewarding frequent shoppers with increasingly valuable products and beauty services. This creates a win-win scenario for the brand, as customers get personalised advice while Sephora boosts engagement and upsell potential.

To implement gamification in our loyalty scheme, consider adding leaderboards and tiered point systems. Alternatively, opt for in-app features that inspire customers to share exclusive content with their friends.

For example, we worked with EE as the official sponsor of the Glastonbury Festival App. It included a gamified 'fantasy lineup' feature where users could create their dream festival lineup and share it with friends. This playful addition not only boosted social engagement but also increased the total number of app downloads to more than the number of festival attendees. Moreover, the number of active user sessions saw a significant 264% uplift, demonstrating the power of gamification in driving user engagement.

Future Platforms: Creating Innovative Digital Loyalty Programmes That Stick

Don't settle for ordinary customer loyalty programmes. Today's customers crave personalised touches and seamless connections with the brands they love.

Here at Future Platforms, we can help you craft kickass digital experiences that drive long-term customer loyalty and exponential growth.

Over the past two decades, we've perfected our skills in creating cutting-edge digital products, garnering us prestigious awards like Mobile Marketing Brand of the Decade and B2B App of the Year.

We don't offer a one-size-fits-all approach. We work with you to understand your brand and customer base and create loyalty programmes with engaging features that keep customers coming back for more. So, if you want your mobile app to keep up with customer expectations and put you ahead of your competitors, contact us now for a design consultation. We look forward to partnering with you.