Pointspay, the global leader in real-time loyalty payment solutions, has announced a strategic partnership with Dutch payment service provider Pay. to enable thousands of merchants to integrate loyalty programs directly into their online checkout experience.

Through this integration, Pay. merchants can now allow their customers to collect and spend loyalty points or Miles instantly during online purchases – starting with Flying Blue, the loyalty program  of the Air France-KLM group.

This marks a significant evolution in the world of digital commerce. By embedding loyalty directly into the checkout flow, merchants gain a powerful new tool to enhance customer experience, increase basket size, improve conversion rates, and drive long-term retention. Crucially, the solution requires no additional technical development and can be activated through merchants’ existing Pay.nl setup.

“This is a game-changer for merchants,” said Dominic Hofer, CEO of Pointspay. “Loyalty has long been an afterthought in digital commerce. We’re flipping that model by making it an instant collect or spend experience of the online checkout journey. With Pay. we’re giving thousands of merchants a powerful tool to grow revenue and build long-term customer relationships.”

Customers making online purchases across Pay.’s merchant network can now be rewarded instantly for their loyalty, either by using their Miles or points to reduce the cost of their purchase or by collecting rewards on their transactions. At launch, the integration will support the Flying Blue+ payment solution, allowing members to  earn/spend Miles on their purchases and to engage with the Flying Blue program beyond the world of travel.

“Loyalty isn’t just about points, it’s about value, connection and smart business,” said Olaf Kok, COO of Pay. “Our partnership with Pointspay gives our merchants a meaningful advantage. Together, we’re delivering a more engaging, more rewarding online checkout experience that customers will remember.”

This initial rollout is only the beginning. In the coming months, Pay. merchants will be able to connect with a growing portfolio of global loyalty programs from diverse sectors, expanding their ability to attract and retain high-value customers – all through a single online integration with Pointspay.

Merchants can activate the loyalty integration quickly and effortlessly through their existing Pay. dashboard. For more information, visit pointspay.com or pay.nl.

Loylogic has partnered with celebrated thought leader M. Tamra Chandler to introduce a groundbreaking approach to employee recognition: The 100 Moments That Matter – exclusively designed for Ultimate.  

Tamra has devoted her life's work to elevating human and team performance through practices that put people first, and The 100 Moments That Matter is a unique and powerful platform for achieving these goals.

For the first time, organizations worldwide will have access to a curated, science-backed framework for employee motivation, integrated directly into Ultimate, Loylogic’s Points as a Service (PaaS) platform. This innovative framework ensures that HR teams can recognize employees in the right way, at the right time, and for the right reasons, without the complexity of managing vendors, currencies, or logistics across multiple markets.

A first-of-its-kind framework for employee motivation

Tamra Chandler has redefined how organizations drive engagement, performance, and workplace culture. Drawing from her decades of research, consulting, and thought leadership, she has now created the first-ever curated list of 100 Moments That Matter – a framework that identifies the key recognition moments proven to drive employee engagement and retention.

This exclusive framework has been developed specifically for Ultimate, making it the only rewards platform with which companies can seamlessly embed a research-backed recognition strategy into their employee motivation programs.

Unlike generic recognition programs that focus solely on tenure or performance-based bonuses, The 100 Moments That Matter provides a structured yet flexible approach that HR teams can use to inspire their people with meaningful, personalized rewards.

Ultimate: removing complexity, maximizing impact

Global companies often struggle to maintain consistent, impactful employee recognition programs across different regions, facing challenges such as multiple suppliers, fragmented platforms, and operational inefficiencies. Ultimate solves this by offering:

- A single, seamless platform for all employee rewards globally
- Ultimate Stars – a global rewards currency that employees can redeem for experiences, merchandise, travel, gift cards, and more via Loylogic’s award-winning marketplace
- Automated, AI-driven recommendations that match recognition moments with meaningful rewards
- Seamless integration into HR systems, eliminating manual processes and multiple vendors

A data-driven approach to employee engagement

By integrating Tamra’s exclusive The 100 Moments That Matter framework, Ultimate ensures that recognition isn’t an afterthought, but rather  a strategic tool that creates thriving cultures and delivers differentiated business performance.

This unique collection of moments focuses on recognizing and rewarding meaningful actions and behaviors that contribute to an exceptional and inspiring workplace culture, driving employee connections and organizational success.

Each of the 100 Moments That Matter is grouped into 25 themes, such as:

- Nice Job!: Recognizing exceptional performance, such as consistently delivering high-quality work or meeting deadlines under difficult circumstances.
- The Best of Us: Rewarding collaboration and resilience, like mediating between colleagues to resolve an issue or leading by example during challenging times.
- Delighting Customers: Celebrating customer-centric behaviors, including exceeding customer expectations through service or solving long-standing customer issues.
- Helping Them Grow: Supporting team development by intentionally transferring skills and know-how to others or coaching and mentoring team members to succeed.
- Innovation: Encouraging creative thinking, such as proposing new and novel ways of working or exploring possibilities while constructively challenging the status quo.

These moments prompt employees to think beyond familiar recognition themes while creating a structured, scalable approach to appreciation.

"Companies today recognize that engaged employees drive success, but traditional reward programs are often reactive, transactional, and disconnected from what truly motivates people," said Gabi Kool, CEO of Loylogic.

"With the launch of The 100 Moments That Matter exclusively within Ultimate, we are providing HR teams with the first-ever framework that combines behavioral science, AI-driven automation, and frictionless global rewards all in one solution. This is not just about offering rewards; it’s about ensuring they create real impact."

So how does Ultimate go beyond just providing rewards? By ensuring that recognition becomes a meaningful aspect of the culture, and that it flows with the rhythm of work. . Further, Ultimate helps your employees take notice of the contributions of others and say, “I see you and the positive impact you have on our team.”

Key capabilities include:

- AI-driven recommendations that suggest relevant moments for recognition
- Global scalability, making it easy for companies to maintain a unified rewards strategy across all locations

Looking forward, Ultimate peer-to-peer recognition will also be developed, enabling employees to reward each other instantly to further improve motivation and drive team-based recognition.

Transforming employee motivation for the future

According to the 2025 US Appreciation Index Report, employees who feel valued at work are significantly more engaged, productive, and likely to stay with their organization. However, many businesses lack a structured approach to recognition, leading to inconsistency and missed opportunities to build loyalty.

"By creating The 100 Moments That Matter specifically for Ultimate, we are giving companies a pathway to a recognition culture that is not only meaningful but also effortless to implement at scale," said Tamra Chandler.

"I’m thrilled to partner with Loylogic and their Ultimate PaaS solution to redefine workplace recognition. This is the future of employee motivation: one that is rooted in science, powered by technology, and designed for real human connection."

Tamra will share more insights on the partnership at the HR World Summit in Lisbon this May, where she will present the framework alongside Loylogic leadership. We have a limited number of exclusive tickets available. Register your interest now and be part of the conversation shaping the future of workplace recognition.

Companies looking to transform their approach to employee engagement and create a truly strategic rewards program can learn more by visiting Ultimate.one and booking a demo today.

A little bit about M. Tamra Chandler

Tamra Chandler is a globally recognized thought leader, speaker, and author who has devoted her career to elevating human and organizational performance through people-first practices. With over three decades of experience in business transformation, she has revolutionized how organizations approach performance management, feedback, and employee recognition.

Named one of Consulting Magazine's "Top 25 Consultants" in both 2007 and 2014, Tamra founded PeopleFirm LLC in 2009, leading it to recognition by Forbes as one of "America's Best Management Consulting Firms." She is known for her groundbreaking books "How Performance Management is Killing Performance" and "Feedback (and Other Dirty Words)," as well as creating the innovative "100 Moments That Matter" framework—a research-backed approach to meaningful employee recognition.

Through her down-to-earth style and results-driven approach, Tamra helps organizations discover the sweet spot where inspired people and inspired performance intersect. Her work demonstrates that when companies create environments fostering genuine human connection, meaningful feedback, and purposeful recognition, extraordinary results naturally follow. From nonprofits to multinational corporations, her transformative approaches continue to shape how forward-thinking organizations build cultures where both people and performance thrive.

https://www.tamrachandler.com/

Loylogic has partnered with celebrated thought leader M. Tamra Chandler to introduce a groundbreaking approach to employee recognition: The 100 Moments That Matter – exclusively designed for Ultimate.  

Tamra has devoted her life's work to elevating human and team performance through practices that put people first, and The 100 Moments That Matter is a unique and powerful platform for achieving these goals.

For the first time, organizations worldwide will have access to a curated, science-backed framework for employee motivation, integrated directly into Ultimate, Loylogic’s Points as a Service (PaaS) platform. This innovative framework ensures that HR teams can recognize employees in the right way, at the right time, and for the right reasons, without the complexity of managing vendors, currencies, or logistics across multiple markets.

A first-of-its-kind framework for employee motivation

Tamra Chandler has redefined how organizations drive engagement, performance, and workplace culture. Drawing from her decades of research, consulting, and thought leadership, she has now created the first-ever curated list of 100 Moments That Matter – a framework that identifies the key recognition moments proven to drive employee engagement and retention.

This exclusive framework has been developed specifically for Ultimate, making it the only rewards platform with which companies can seamlessly embed a research-backed recognition strategy into their employee motivation programs.

Unlike generic recognition programs that focus solely on tenure or performance-based bonuses, The 100 Moments That Matter provides a structured yet flexible approach that HR teams can use to inspire their people with meaningful, personalized rewards.

Ultimate: removing complexity, maximizing impact

Global companies often struggle to maintain consistent, impactful employee recognition programs across different regions, facing challenges such as multiple suppliers, fragmented platforms, and operational inefficiencies. Ultimate solves this by offering:

• A single, seamless platform for all employee rewards globally
• Ultimate Stars – a global rewards currency that employees can redeem for experiences, merchandise, travel, gift cards, and more via Loylogic’s award-winning marketplace
• Automated, AI-driven recommendations that match recognition moments with meaningful rewards
• Seamless integration into HR systems, eliminating manual processes and multiple vendors

If this has sparked your interest and you'd like to explore further, visit the Ultimate website to learn more or book a demo today!

A data-driven approach to employee engagement

By integrating Tamra’s exclusive The 100 Moments That Matter framework, Ultimate ensures that recognition isn’t an afterthought, but rather  a strategic tool that creates thriving cultures and delivers differentiated business performance.

This unique collection of moments focuses on recognizing and rewarding meaningful actions and behaviors that contribute to an exceptional and inspiring workplace culture, driving employee connections and organizational success.

Each of the 100 Moments That Matter is grouped into 25 themes, such as:

- Nice Job!: Recognizing exceptional performance, such as consistently delivering high-quality work or meeting deadlines under difficult circumstances.
- The Best of Us: Rewarding collaboration and resilience, like mediating between colleagues to resolve an issue or leading by example during challenging times.
- Delighting Customers: Celebrating customer-centric behaviors, including exceeding customer expectations through service or solving long-standing customer issues.
- Helping Them Grow: Supporting team development by intentionally transferring skills and know-how to others or coaching and mentoring team members to succeed.
- Innovation: Encouraging creative thinking, such as proposing new and novel ways of working or exploring possibilities while constructively challenging the status quo.

These moments prompt employees to think beyond familiar recognition themes while creating a structured, scalable approach to appreciation.

"Companies today recognize that engaged employees drive success, but traditional reward programs are often reactive, transactional, and disconnected from what truly motivates people," said Gabi Kool, CEO of Loylogic.

"With the launch of The 100 Moments That Matter exclusively within Ultimate, we are providing HR teams with the first-ever framework that combines behavioral science, AI-driven automation, and frictionless global rewards all in one solution. This is not just about offering rewards; it’s about ensuring they create real impact."

So how does Ultimate go beyond just providing rewards? By ensuring that recognition becomes a meaningful aspect of the culture, and that it flows with the rhythm of work. . Further, Ultimate helps your employees take notice of the contributions of others and say, “I see you and the positive impact you have on our team.”

Key capabilities include:

- AI-driven recommendations that suggest relevant moments for recognition
- Global scalability, making it easy for companies to maintain a unified rewards strategy across all locations

Looking forward, Ultimate peer-to-peer recognition will also be developed, enabling employees to reward each other instantly to further improve motivation and drive team-based recognition.

Transforming employee motivation for the future

According to the 2025 US Appreciation Index Report, employees who feel valued at work are significantly more engaged, productive, and likely to stay with their organization. However, many businesses lack a structured approach to recognition, leading to inconsistency and missed opportunities to build loyalty.

"By creating The 100 Moments That Matter specifically for Ultimate, we are giving companies a pathway to a recognition culture that is not only meaningful but also effortless to implement at scale," said Tamra Chandler.

"I’m thrilled to partner with Loylogic and their Ultimate PaaS solution to redefine workplace recognition. This is the future of employee motivation: one that is rooted in science, powered by technology, and designed for real human connection."

Tamra will share more insights on the partnership at the HR World Summit in Lisbon this May, where she will present the framework alongside Loylogic leadership. We have a limited number of exclusive tickets available. Register your interest now and be part of the conversation shaping the future of workplace recognition.

Companies looking to transform their approach to employee engagement and create a truly strategic rewards program can learn more by visiting Ultimate.one and booking a demo today.

A little bit about M. Tamra Chandler

Tamra Chandler is a globally recognized thought leader, speaker, and author who has devoted her career to elevating human and organizational performance through people-first practices. With over three decades of experience in business transformation, she has revolutionized how organizations approach performance management, feedback, and employee recognition.

Named one of Consulting Magazine's "Top 25 Consultants" in both 2007 and 2014, Tamra founded PeopleFirm LLC in 2009, leading it to recognition by Forbes as one of "America's Best Management Consulting Firms." She is known for her groundbreaking books "How Performance Management is Killing Performance" and "Feedback (and Other Dirty Words)," as well as creating the innovative "100 Moments That Matter" framework—a research-backed approach to meaningful employee recognition.

Through her down-to-earth style and results-driven approach, Tamra helps organizations discover the sweet spot where inspired people and inspired performance intersect. Her work demonstrates that when companies create environments fostering genuine human connection, meaningful feedback, and purposeful recognition, extraordinary results naturally follow. From nonprofits to multinational corporations, her transformative approaches continue to shape how forward-thinking organizations build cultures where both people and performance thrive.

https://www.tamrachandler.com/

Online retailers can now seamlessly integrate Pointspay to engage, convert, and retain customers from Flying Blue, the loyalty programme of the Air France-KLM Group.

Pointspay, the innovative marketing and payment solution, has announced the launch of its new Shopify plugin, enabling online retailers to engage, convert, and retain new customers more efficiently than ever before. The first version that has launched is for Flying Blue+, the new payment method launched earlier this year in partnership with Pointspay.

The Shopify plugin is a quick and straightforward alternative to API integrations for merchants using the Shopify platform for their e-commerce business. Merchants can simply download the Flying Blue+ plugin directly from the Shopify App Store, configure it, and conduct a test transaction, all within a matter of minutes.

"Shopify is the leading global commerce company that provides essential infrastructure for commerce," said Jasper Mulder, Chief Growth Officer at Pointspay. "We are thrilled to be part of Shopify's ecosystem and to offer a solution that is engineered for speed, customization, reliability, and security. With Pointspay's new plugin, merchants can quickly tap into the power of loyalty programs, enhancing their customer experience and driving growth."

Retailers that have already integrated Pointspay into their online shopping experience include Oger, Diamond Point and Polaar, showcasing the solution’s growing adoption among brands seeking to leverage loyalty programs for customer engagement and retention.

In the latest episode of the Loylogic Podcast, we welcome Len Llaguno, founder of KYROS Insights, the world’s only actuarial firm exclusively focused on loyalty programs, to discuss how actuarial techniques are transforming loyalty program design and delivering commercial success.

Len combines actuarial science, machine learning and deep loyalty expertise to tackle the financial complexities behind some of the biggest loyalty programs on the planet. Len and Loylogic have worked together for many years to elevate loyalty success, including transforming how organizations like African Bank optimize their award-winning Audacious Rewards programs.

Based around the philosophy of “Show me the incentive, and I’ll show you the outcome” this episode offers actionable insights into how actuarial science, data-driven strategies, and thoughtful redemption design allied to effective redemption marketplaces can transform loyalty programs into sustainable, profit-driving assets.

Talking points include:

- Member Equity as a Growth Driver: Using actuarial analytics to gain the insights needed to understand the behaviors behind loyalty-based growth.
- Designing effective loyalty programs: Leveraging data to identify member actions that increase CLV and EFP, driving both loyalty and financial growth.
- Data-Driven Decision-Making: Harnessing predictive models to de-risk liability, optimize redemption activities, grow loyalty program success and amplify ROI.
- The Redemption Marketplace Advantage: Why offering a broad choice of rewards options – which members actually want – is critical for engagement and long-term profitability, because burn drives earn.
- Balancing engagement and financial integrity: how redemption marketplaces power loyalty success.
- Liability Management: Properly accounting for redemption costs ensures programs avoid short-term decisions that actually harm customer experience and long-term loyalty.
- Future-Proofing Loyalty Programs: The evolving role of actuarial science in ensuring financial integrity and sustained member loyalty.

Ready to redefine loyalty using financial science? Listen now. A full transcript of the podcast is also available below.

(01:36) Len, how did you end up bringing your actuarial expertise to the world of loyalty?

Len Llaguno: "Maybe Austin it would be good to start with the question of, what is an actuary? Not a lot of folks in the loyalty space have interfaced with actuaries before. The stereotype of an actuary is we're sort of like the math nerds that work for insurance companies, and we're building the models to predict, for example, how long you're going to live, right? And obviously that's a really important model to have if you're trying to price a life insurance policy. So, the work that we're doing, fundamentally, is trying to predict over a long horizon, how long somebody is going to live, as a long-term prediction exercise. We're trying, as actuaries, to predict over long horizons and use that information to make smarter business decisions today.

"So many years ago, when I was a young actuary working for a big actuarial consulting firm, one of the big hotel chains came to us and said, 'Hey, my auditors are asking me a bunch of questions about all of these loyalty points that we give out to our to our members whenever they stay with us, and they're saying, Hey, you're issuing all these points that may not get redeemed for years into the future, but you need to book this liability on your balance sheet, as these points are eventually going to cost something, and that amount is x, right?' The hotel chain had no idea how to estimate that number, so the auditor said, 'You should go talk to an actuary. Actuaries are good at this.' Luckily, I got staffed on this project, and it was so interesting. It was way more interesting than sort of traditional actuarial work in the insurance industry! And I found it so much fun.

"The main thing that we started to realize when we got into this was, you know, traditional actuarial techniques that were built for the insurance industry, 50 years ago, didn't work that well for loyalty programs. You know, loyalty programs are just much more fluid and dynamic than an insurance policy or insurance portfolio, generally speaking, and you know that's because, by definition, you're trying to change people's behavior with the loyalty program, right? And so, these traditional methods that really were quite old, developed decades ago, just weren't responsive enough to really pick up the signal that was necessary to accurately predict these long-term redemption behaviors.

"I did my degree in computer science and actuarial science, and so at the time, I was doing a lot of machine learning type work and, although back then it wasn't called data science, I was doing a lot of data science type work. And, you know, I thought that there was something really interesting at the intersection of modern-day machine learning, data science and actuarial science. And I thought if we could really tap into that intersection, we could build something really interesting for loyalty programs that would solve a lot of their problems. And so, I set out to build that, and I've been on that journey for more than a decade now, probably coming up on like 15 years, trying to work through and optimize that.

"Every single loyalty program has this very difficult problem of quantifying and managing the liability related to outstanding points that they're issuing. This estimation problem is very hard. There's all kinds of complex accounting rules that you have to apply, and often it's a huge item on the balance sheet. It's financially material. The CFO cares about it. The auditors care about it. And even then, there's all kinds of other stakeholders within the organization that are seeing this massive cost, and they're wondering, what is the ROI we're getting on this? And you know, how do we optimize that ROI? All of these are very difficult problems that, if done poorly, if answered poorly, can create a lot of financial risk and volatility for the organization. And so that's what we try to do Austin, is we try to solve all of these problems for our clients. We strive to build the world's best financial operating system for loyalty programs, and basically take all that financial complexity and just make it very, very simple.”

(05:51) Fantastic. So, as I touched on in the introduction, you've been collaborating with Loylogic and the work that we've been doing with African Bank over the past couple of years. To provide context and taking into account your explanation there of what you're doing, what has the work entailed, and how has this contributed to the success of the program so far?

Len: "Yeah, we've been working with the team at African Bank, and they've just done such a tremendous job. Their head guy, Nceba, is a tremendous leader, visionary and just all round, really great guy. He's led them to win several awards, both domestically, in South Africa and internationally, too. So, it's been wonderful to work with them.

"We do a wide range of actuarial analytics for them. First thing we do is we help them understand and forecast redemption behavior, which is really critical to understanding redemption costs and liability. You know, redemption cost is the single largest expense in the loyalty program business model, so it's really important that you have a really good understanding of what those costs are. So that's sort of the first thing we do for them.

"We also build all kinds of models to predict customer lifetime value, or CLV. CLV is an estimate of how much profit a customer will generate over their lifespan as a customer. And this is profit, so it's a bottom line number. It's profit net of the redemption costs. And making a net of redemption cost is really important because it's a bottom line notion, as opposed to liability, which is just focused on cost, right? So, customer lifetime value being net of redemption cost being a bottom line notion, it really gives you a sense for the net economic picture and helps put the liability into context.

"So, you need both of these, this understanding of liability, and you also want to have this understanding of customer lifetime value to get the full picture of a program's financial foundation and economic performance. So those are the type of things that we do for African Bank, and we use these models and the insights we can gain from these models to help uncover risks that they should be mitigating and opportunities that they should be trying to exploit, right to ultimately help them drive business performance."

(08:08) I think it's fair to say that we're talking about making the loyalty program as sustainable as possible and unpacking that member equity. Thinking more broadly, away from just the African Bank example, how would you define member equity, and why is it critical for loyalty programs?

Len: "Yeah, that term member equity is a really, really important one. So, let's start with defining it. I spoke about customer lifetime value. This is the expected profit that a customer will generate over their lifespan as a customer, net of redemption costs. When we think about customer lifetime value or CLV, you can really decompose that into two components. There's the profit that a customer has generated to date. It's a known quantity. We know how much profit they've generated. And then there's the profit we expect the customer to generate in the future, right? The expected future profit, right? And we call expected future profit EFP.

"EFP is really the one you mostly care about, because the profit to date, you know, you can't influence that. It's already happened. The only thing you can influence is the future profit. So, most of our time is spent focused on EFP, expected future profit. Now, expected future profit is sort of a long-term prediction exercise, again, right? Because we're trying to predict not just how much profit they're going to generate next month, but many years into the future, over a very long future horizon. It's an actuarial prediction exercise at the end of the day. So that's what EFP is, the expected future profit for a given Member.

"Member equity is simply the sum of EFP across all of your members. So EFP is an average per member. And member equity is the total profit across all members, right? That's what member equity is. Why is that critical? The reason is every single loyalty program is trying to increase customer lifetime value. That's a fundamental goal of every single loyalty program, because the whole point is to win the loyalty of the customer, so they keep coming back. And we want them to come back, not just next month, but the month after that, the month after that, the month after that, the year after that, the year after that. We want them. We want to improve their retention forever into perpetuity. The perfect way to quantify the impact of improving long-term loyalty and long-term retention and putting that into dollars and cents is CLV. Or, more specifically, EFP, the future part, right?

"Here's how it all connects to you. If a loyalty program is increasing customer lifetime value, we're increasing member equity. If we're increasing member equity, it means we're expecting more profits in the future. And if we're expecting more profits in the future, it means the company is more valuable, because companies are valued based on how much profits are expected in the future. Member equity is a powerful concept because it directly links the loyalty program and everything the loyalty program managers are doing to financial results and enterprise value creation. Does that make sense?"

(11:36) It does absolutely. So, I guess the obvious follow-on question from that is, how deep do your analytics go? What sort of insights do you provide into optimizing that lifetime value of loyalty program members?

Len: "The first thing you need to have are good EFP models to predict that future profit. You want to predict it at the individual member level. It's really important that you're able to look at all the characteristics of each individual member and make this forecast of how much profit they're going to generate in the future. Once you have these EFP models, there's still a lot more analysis that needs to be done.

"What these models enable you to do is study the customer journey from an economic perspective. So, what does that mean? Most companies certainly look at the customer journey from a customer experience perspective, and this is extremely valuable, and they should absolutely do this, but that is not what we're talking about here. When you look at the customer journey from an economic perspective, what you're focused on is identifying where the inflection points are in the customer journey, where EFP really increases the points where a customer does a certain behavior, and that behavior work results in EFP taking a jump upwards. What that means is, when the customer does that behavior, they become much more likely to return and spend more in the future. Ultimately, if you can identify those behaviors, and you can get more people to do those behaviors than they otherwise would, you're increasing EFP and creating incremental value for the organization. That's the basic notion.

"What we excel at is taking a rigorous, scientific approach to doing this, which really enables us to quantify the incremental value the program is generating and then communicating that to stakeholders and also finding the levers to drive even more incremental value, and then, of course, communicating that ongoing improvement of incremental value to stakeholders. And what this does at the end of the day is help our clients get recognized for the value that they're creating through the loyalty programs.

"For far too many programs, this value just goes completely unrecognized and unnoticed, because it's very difficult to quantify. So, a lot of important stakeholders within the organization just sort of think as loyalty as a cost center rather than a value generator. And it's this sort of process and analytics that helps to change that perspective."

(13:54) That's interesting, and I'm going to go slightly off script here, Len, if that's okay. We're talking about a very scientific approach to loyalty programs, which is clearly transformative. But how do you take into account the emotional loyalty, that emotional connection that a customer has with a brand because they've experienced great service or something memorable has happened, or whatever? How do you build that into your modeling?

Len: "Yeah, so it's sort of implicitly in the data. Even though I don't have a variable in the data that measures the emotional reaction that somebody had when they did a redemption, they nonetheless had that emotional reaction and therefore embedded in the future behavior that they're going to do. I'm a big believer that there is actually a huge emotional reaction that happens when you do a redemption for something valuable and something meaningful to you.

"A personal anecdote here Austin. Last spring, I took my wife and my kids on a spring break in the Caribbean for free, because I was able to redeem a ton of points, and we were all able to go. It was wonderful. We had such a great time. And what happened was, because it was so much fun, I told everybody about it! All my friends heard about it. All my family heard about it, and they probably heard about it multiple times! And the same thing happened this Christmas. We went back to Canada to visit my family. We all got to fly for free. And I tell you what, everybody heard about it, and so that sort of emotional connection and engagement I was having by just sort of talking about it, really reinforced my connection to the brand and my loyalty. That's just a personal lane, though. I think that that happens a lot.

"A lot of contemporary thinking is all about the customer experience and trying to drive unique and bespoke customer experiences for people. And yes, you should absolutely do that. But that doesn't mean that points aren't also really, really powerful, or that the ability to actually redeem isn't really, really powerful in driving emotional connections. I think it's quite the opposite. The beauty also, of points, is you can do that at scale. I fly United because I'm here in Chicago. Think of all the United customers that are having this same experience that I am. That's probably millions. And that level of scale is very difficult to do with bespoke, one-off experiences. They are certainly going to wow your customers, but you can only do so many of those per year."

(16:38) Do you have any other examples of how predictive analytics are driving impactful customer engagement strategies?

Len: "Predictive analytics is certainly a massively underutilized tool for loyalty programs, I think. And so let me try to explain why. Do you know who Charlie Munger is Austin?"

Austin: “No, I don't.”

Len: "Charlie Munger is basically Warren Buffett's right-hand man. Well, maybe even saying right hand man is, not doing justice, he's Warren Buffett's partner at Berkshire Hathaway, a legendary investor and businessperson, right? One of the things he once said was, 'show me the incentive, and I'll show you the outcome', which is a very simple quote that just speaks to the power of incentives to drive human behavior. A loyalty currency is simply an incentive mechanism to drive the behaviors you want, at this most sort of basic form. It can be an incredibly powerful tool to drive member equity if you know what behaviors you want, which you know I spoke about earlier, we now do because we've studied the customer journey from an economic perspective and can identify those behaviors. It could be an incredibly powerful tool if, one, you know the behaviors you want to drive, and two, you know the optimal incentives to drive that behavior. The problem is the incentive that is optimal is different for each individual person.

"For example, I might require 1,000 bonus points to do something, whereas you Austin, maybe you require 5,000 points to motivate you enough to do the same thing. If you really want to maximize the effectiveness of your currency as an incentive mechanism, you need to do it with precision. You need to create personalized points-based offers for each member that maximize the likelihood that each individual is going to do the desired behavior. The problem here is most programs are not doing that. They're using their loyalty currency more as like a sledgehammer to incentivize where sort of everybody gets the same thing, rather than like a scalpel, where the right offers are sent to the right people with precision. And when we do this, you know, we're seeing incredible impact, like a two to five times improvement on ROI, on your campaigns. And so that's very worthwhile. And I think it's, you know, a great opportunity for all the loyalty programs out there.

"The key to it really is sophisticated predictive modeling, machine learning and a couple of proprietary algorithms that we've developed, or the tools that we found are extremely useful to unlock this value. You know, it's a great example of how predictive analytics can be really impactful and helpful to drive customer engagement strategies."

(19:16) I guess there's a nice segue there into redemption marketplaces, which obviously is where Loylogic's strength lies. How important is it from your perspective that you have a wide range of rewards options that entice and can be personalized, etc.? And secondly, how do you ensure that the proper liability accounting principles are in place to ensure the ongoing success, the sustainability, if you like, of that program?

Len: "Let me tackle Part B of that question first, because I think there's a lot to say that is really important. I mentioned earlier that redemption cost is the single largest expense in the loyalty program business model. So that alone makes it extremely important. You should spend a lot of time really understanding it, but it's unlike other business expenses. You know, if you're in the business of making widgets, you buy all the raw materials to make your widget, and then you make your widget and you sell it. And you know, immediately, without any uncertainty, the cost of making that widget, because you incur that cost immediately. That is not true with the loyalty program.

"With a loyalty program, you're issuing points today, you're selling your widget basically today, but you're not actually going to know how much it's going to cost you until people redeem those points, potentially years into the future. And by the way, a ton of them are not going to redeem the points. That's breakage that also affects the cost of these points. It's very, very different from other types of business models, and so it makes it even more challenging to try to understand what that cost is, what the redemption expense is going to be, which, again, is your single largest expense in your loyalty program business model, right?

"So, it's not really a good idea to run your loyalty program or any business without really understanding that expense, particularly as it's the largest one. So, we need to do this to ensure that the program is standing on a strong financial foundation. But a lot of programs are not spending a lot of time to do it right. It's very hard. It requires expertise, sort of at the intersection of actuarial science, data science, finance, accounting, economics and, of course, loyalty programs, which is just sort of really hard to find, and for most loyalty program managers, this is literally the most boring part of a loyalty program. They're loyalty marketers, they're excellent at, you know, building engaging strategies and campaigns and communicating with customers and creating incredible experiences, right? They're not experts at, you know, debits and credits on your balance sheet, or the nuances of actuarial analytics. Most of them, from my experience, don't really care too much about that stuff. It's extremely boring. Program managers are just not excited about doing this work. So, this work often gets sort of under invested, and that's why we exist. We find it interesting, but other people find it very boring and very hard, and just make it some into something very, very easy for loyalty programs."

“So that's sort of a lot of the context around why liability, proper liability management, is so important. You did have a question about the importance of having a lot of redemption options, and that is also really, really critical, less so for liability management, but more so for the broader success of the loyalty program. And let me explain what we always see when we look at the customer journey from an economic perspective is that redemption is a key inflection point in the customer journey.

“Whenever people redeem, we see a meaningful and often material increase in EFP. But what that means is you really want to enable people to redeem on the things that they want, right? You want to give them the option to be able to redeem on whatever is most valuable to them. And that's likely what's going to be the thing that creates that sort of emotional reaction when you get the redemption. And that's where Loylogic is extremely strong, right? And the value of what they do is they make it super easy for people to be able to have a wide range of redemption options that they can offer to their members. And so that's how and why having those redemption options is important to the success of a loyalty program."

(24:00) So my final question on the whole redemption marketplace side of things is, how can the methods that you employ ensure redemption marketplaces prevent short term counterproductive measures like currency devaluation?

Len: "This is a great, great question. When companies do that, it's, I think, a great example of not wanting to deal with building really sophisticated actuarial analytics to understand the financial foundation, and oftentimes the outcome is currency devaluation or removing popular redemption items to be annual budget targets. Forecasting redemption volumes is very difficult because programs are just so dynamic, and there's often, like, a very big lag between when the points are earned and when they'll actually be redeemed.

"What we've actually seen is programs not getting the right expertise and helping them produce accurate budgets. And as a result of that, they blow through their redemption budget for the year within just a few months. So, what do they do then? Well, they do drastic short-term things to meet their budgetary targets, right? So often that means shutting down a redemption option to reduce costs.

"The implication of that is, it's a terrible customer experience, right? You're gonna make your customers angry, which is never a good thing. And even beyond that, we know, as I spoke about earlier, redemption is always a key inflection point in the customer journey. So, you're really destroying EFP and member equity if you're not letting your customers redeem when they want to. So ultimately, you sort of get this short-term cost savings, but it comes at the cost of long-term loyalty and long-term profitability, which doesn't seem like the right trade off you ultimately want to make.

"The better solution here is just start your year with a good budget. And yes, in often cases, that means your budget for redemption costs will have to be much higher. But if you can credibly demonstrate that these redemptions drive amazing ROI, then it's absolutely a great idea to spend that money and then. So that's a big part of what we try to do with our engagements with our clients, is give them the tools to be able to articulate that and set accurate budgets so they don't run into these issues."

(26:14) Len, to wrap up the discussion, I want to just look ahead a little bit and look at how we future proof loyalty programs. So how do you envision the role of actuarial science evolving loyalty programs over the next five to 10 years, and what should businesses focus on to stay ahead?

Len: "Actuarial Science is all about long term prediction. We're predicting over long horizons so that we can make smarter business decisions today. So much about the economics of loyalty programs is centered around long-term outcomes, right? Redemption costs. Redemption on points you issue today will not happen for years in the future, right? So how are you supposed to estimate the cost at these points? Actuarial Sciences is the key.

"The value that a loyalty program creates comes from improving long-term retention, many periods into the future. So how do you quantify and prove that you're creating and finding the right levers that allow you to drive even more value? Actuarial Science is key here. If we really want to see the value that a loyalty program creates and learn the tactics that can maximize the value, I think actuarial science has to play a key role for in all loyalty programs. It's a big part of our mission to help programs around the world see that and make it easy for them to get the value of actuarial science in in their program."

(27:36) What practical advice can you provide businesses looking to integrate these approaches into their strategies?

Len: "Every single loyalty program is sitting on a goldmine of data. Every loyalty program has the data needed to be able to do what I described here today. The hard part is extracting the insights from the data. They say, you know, that data is the new oil, which is a great analogy. We're in an era where loyalty programs have basically struck oil, and now they need to build the infrastructure to extract and refine that oil, to capture the value, right? And so, you know, I think what a lot of loyalty programs can do today is really start working to set aside the budgets and make the investments in the analytics needed to really extract the value from that gold mine that they have, and start doing a lot of this, this research.

"From what I can tell and the work we've done, the ROIs are very clearly there. And most importantly, with this work, you could start actually quantifying in a very credible way what those ROIs are, so that you could turn those loyalty skeptics into loyalty advocates."

Xavier George, Global Director of Business Development at Loylogic, examines why traditional cashback programs are struggling to meet modern demands and how innovative, data-driven strategies can help banks reduce costs, boost engagement, and stay competitive in a changing financial landscape.

In the fiercely competitive financial services sector, customer retention is paramount, with cashback programs a cornerstone of customer retention strategies across all sectors, and especially for banks and financial institutions. In 2023, global cashback spending was estimated at approximately US$188.95 billion*.

However, in a rapidly evolving financial landscape, these programs are becoming a double-edged sword for the financial sector. They remain essential for staying competitive, but their rising costs are squeezing profit margins while offering diminishing returns in customer engagement.

For banks to thrive in today’s cashback landscape, they need to go beyond the slow, steady and often unremarkable accumulation of cashback rewards. Customers expect more; they want engagement, excitement, and personalization.

The challenges facing traditional cashback programs include:

1. High costs: Cashback programs often eat into profits, especially when designed with little flexibility or optimization. The sheer volume of transactions combined with fixed cashback rates makes these programs a costly affair.
2. Lack of engagement: Incremental cashback accumulation lacks the emotional pull of modern loyalty mechanisms. It’s a passive experience that doesn’t excite customers or encourage additional spending.
3. Operational inefficiencies: Many existing cashback systems operate independently of broader customer analytics, making it difficult to track and optimize reward distribution effectively.

These challenges will no doubt only become more acute over time too, especially as card cashback is projected to grow at a compound annual growth rate of 12.3% from 2024 to 2029, driven by consumer demand for more value in their purchases and supported by ongoing innovation in fintech and digital payment methods.

This leaves the financial sector with a pressing question: How can cashback programs evolve to meet these expectations without breaking the bank?

Rethinking customer engagement

To succeed, banks must rethink what cashback can be. Modern strategies need to integrate seamlessly with payment systems and data analytics, allowing for real-time tracking of customer behaviors and tailored reward mechanisms.

Instead of offering flat cashback rates, banks can explore dynamic reward systems—programs that incentivize specific behaviors, such as increased card usage, timely payments, or referrals. By gamifying rewards and offering instant gratification through unique experiences or virtual prizes, banks can foster stronger emotional connections with their customers.

Benefits of a smarter approach

1. Improved customer engagement: Rewards that are personalized and gamified create a sense of excitement, making customers more likely to interact with the program and stay loyal to the brand.
2. Cost efficiency: By shifting from flat-rate cashback to dynamic, behavior-driven rewards, banks can achieve the same—or better—customer engagement at a lower cost.
3. Competitive differentiation: In a crowded marketplace, innovative reward programs can help banks stand out and attract new customers.
4. Data-driven optimization: Seamless integration with analytics allows banks to measure the effectiveness of their cashback strategies and refine them in real time.

The future of financial cashback

To compete effectively, banks need to invest in technology that enables smarter, more flexible reward systems. By leveraging gamification and real-time data insights, financial institutions can create programs that not only drive customer loyalty but also contribute to long-term profitability.

The days of “one-size-fits-all” cashback are over. In their place, a new era of dynamic, engaging, and cost-effective reward strategies is taking shape. The banks that adapt will not only retain their customers but also secure a stronger foothold in a competitive market.

It’s time to rethink cashback—and make it a cornerstone of smarter, more impactful customer engagement.

First-mover advantage

At Loylogic, we've been at the forefront of loyalty and engagement innovation for over two decades. From launching the first Rewards Marketplace to introducing the Virtual Reward Card and pioneering cash-plus-points payments, our commitment to setting industry standards is unwavering. Today, we're excited about our latest innovation: Gift Hub—a cutting-edge solution designed to drive impactful, short-term consumer engagement across multiple industries, including banking.

Gift Hub empowers banks to define specific actions they wish to incentivize—such as credit card usage, referrals, or other behaviors that create value—and reward customers through instant gifts or virtual currency. This approach not only enhances consumer engagement but also reduces costs and drives higher sales. By integrating gamification and virtual rewards, Gift Hub offers solutions that are 50% more cost-effective than traditional cashback models.

The financial landscape is evolving, and so are consumer expectations. Customers now seek more personalized and immediate rewards. Traditional cashback programs, while effective, often lack the dynamism required to captivate today's consumers. Gift Hub addresses this gap by introducing gamified elements and instant gratification, making the reward experience more engaging and memorable.

For banks ready to lead the way, Gift Hub offers a first-mover advantage, helping to boost ROI, strengthen customer loyalty, and drive business results. By adopting this innovative approach, financial institutions can differentiate themselves in a crowded market, offering rewards that resonate with modern consumers.

In conclusion, the time is ripe for banks and financial institutions to rethink their cashback strategies. With escalating costs and changing consumer preferences, traditional models may no longer suffice. Embracing innovative solutions like Gift Hub can provide a competitive edge, ensuring that rewards programs are not only cost-effective but also aligned with the expectations of today's consumers. At Loylogic, we're committed to helping financial institutions grow through smarter engagement strategies. Are you ready to transform how you connect with your customers?

To rethink your cashback proposition, drive cost savings, and enhance customer engagement, contact us today: https://2ly.link/1ztLW

*Source

Xavier George, Global Director of Business Development at Loylogic, examines why traditional cashback programs are struggling to meet modern demands and how innovative, data-driven strategies can help banks reduce costs, boost engagement, and stay competitive in a changing financial landscape.

In the fiercely competitive financial services sector, customer retention is paramount, with cashback programs a cornerstone of customer retention strategies across all sectors, and especially for banks and financial institutions. In 2023, global cashback spending was estimated at approximately US$188.95 billion.

However, in a rapidly evolving financial landscape, these programs are becoming a double-edged sword for the financial sector. They remain essential for staying competitive, but their rising costs are squeezing profit margins while offering diminishing returns in customer engagement.

For banks to thrive in today’s cashback landscape, they need to go beyond the slow, steady and often unremarkable accumulation of cashback rewards. Customers expect more; they want engagement, excitement, and personalization.

The challenges facing traditional cashback programs include:

1. High costs: Cashback programs often eat into profits, especially when designed with little flexibility or optimization. The sheer volume of transactions combined with fixed cashback rates makes these programs a costly affair.
2. Lack of engagement: Incremental cashback accumulation lacks the emotional pull of modern loyalty mechanisms. It’s a passive experience that doesn’t excite customers or encourage additional spending.
3. Operational inefficiencies: Many existing cashback systems operate independently of broader customer analytics, making it difficult to track and optimize reward distribution effectively.

These challenges will no doubt only become more acute over time too, especially as card cashback is projected to grow at a compound annual growth rate of 12.3% from 2024 to 2029, driven by consumer demand for more value in their purchases and supported by ongoing innovation in fintech and digital payment methods.

This leaves the financial sector with a pressing question: How can cashback programs evolve to meet these expectations without breaking the bank?

Rethinking customer engagement

To succeed, banks must rethink what cashback can be. Modern strategies need to integrate seamlessly with payment systems and data analytics, allowing for real-time tracking of customer behaviors and tailored reward mechanisms.

Instead of offering flat cashback rates, banks can explore dynamic reward systems—programs that incentivize specific behaviors, such as increased card usage, timely payments, or referrals. By gamifying rewards and offering instant gratification through unique experiences or virtual prizes, banks can foster stronger emotional connections with their customers.

Benefits of a smarter approach

1. Improved customer engagement: Rewards that are personalized and gamified create a sense of excitement, making customers more likely to interact with the program and stay loyal to the brand.
2. Cost efficiency: By shifting from flat-rate cashback to dynamic, behavior-driven rewards, banks can achieve the same—or better—customer engagement at a lower cost.
3. Competitive differentiation: In a crowded marketplace, innovative reward programs can help banks stand out and attract new customers.
4. Data-driven optimization: Seamless integration with analytics allows banks to measure the effectiveness of their cashback strategies and refine them in real time.

The future of financial cashback

To compete effectively, banks need to invest in technology that enables smarter, more flexible reward systems. By leveraging gamification and real-time data insights, financial institutions can create programs that not only drive customer loyalty but also contribute to long-term profitability.

The days of “one-size-fits-all” cashback are over. In their place, a new era of dynamic, engaging, and cost-effective reward strategies is taking shape. The banks that adapt will not only retain their customers but also secure a stronger foothold in a competitive market.

It’s time to rethink cashback—and make it a cornerstone of smarter, more impactful customer engagement.

First-mover advantage

At Loylogic, we've been at the forefront of loyalty and engagement innovation for over two decades. From launching the first Rewards Marketplace to introducing the Virtual Reward Card and pioneering cash-plus-points payments, our commitment to setting industry standards is unwavering. Today, we're excited about our latest innovation: Gift Hub—a cutting-edge solution designed to drive impactful, short-term consumer engagement across multiple industries, including banking.

Gift Hub empowers banks to define specific actions they wish to incentivize—such as credit card usage, referrals, or other behaviors that create value—and reward customers through instant gifts or virtual currency. This approach not only enhances consumer engagement but also reduces costs and drives higher sales. By integrating gamification and virtual rewards, Gift Hub offers solutions that are 50% more cost-effective than traditional cashback models.

The financial landscape is evolving, and so are consumer expectations. Customers now seek more personalized and immediate rewards. Traditional cashback programs, while effective, often lack the dynamism required to captivate today's consumers. Gift Hub addresses this gap by introducing gamified elements and instant gratification, making the reward experience more engaging and memorable.

For banks ready to lead the way, Gift Hub offers a first-mover advantage, helping to boost ROI, strengthen customer loyalty, and drive business results. By adopting this innovative approach, financial institutions can differentiate themselves in a crowded market, offering rewards that resonate with modern consumers.

In conclusion, the time is ripe for banks and financial institutions to rethink their cashback strategies. With escalating costs and changing consumer preferences, traditional models may no longer suffice. Embracing innovative solutions like Gift Hub can provide a competitive edge, ensuring that rewards programs are not only cost-effective but also aligned with the expectations of today's consumers. At Loylogic, we're committed to helping financial institutions grow through smarter engagement strategies. Are you ready to transform how you connect with your customers?

To rethink your cashback proposition, drive cost savings, and enhance customer engagement, contact us today: https://2ly.link/1ztLW

*Source

Emma Shakespeare, Global Head of Sales at Loylogic, explores effective strategies to enhance loyalty program adoption and ensure enduring success.

In the dynamic landscape of the loyalty industry, balancing long-term and short-term adoption strategies is crucial for achieving both immediate engagement and sustainable growth. Customers today expect loyalty programs to deliver instant rewards while also offering lasting value. Programs that succeed in meeting these expectations combine short-term wins with long-term relationship-building, creating a balanced approach that drives enduring success.

That requires a number of effective strategies that combine to build loyalty program adoption and deliver sustained engagement.

Benefitting from short-term adoption strategies

Immediate engagement is pivotal in capturing the interest of new customers and encouraging their participation in loyalty programs. One effective method is behavior-based rewards, where new members receive bonus points or discounts for signing up or making their first purchase. These rewards provide instant gratification, motivating customers to engage with the program from the start.

Another powerful tactic is the use of limited-time offers, which create a sense of urgency and prompt swift action from customers. These promotions are particularly effective in driving immediate participation and building momentum.

Gamification also plays an important role in encouraging short-term engagement. By highlighting quick wins, such as easy ways to earn and redeem points through challenges or interactive features, loyalty programs demonstrate immediate value. Showing members how simple actions can lead to tangible rewards builds excitement and encourages continued participation.

Looking after new members

Capturing the enthusiasm of new members is essential for long-term success. To ensure the honeymoon period lasts as long as possible, it’s important to provide a comprehensive onboarding process that ensures that new members understand and appreciate the benefits of the loyalty program. A couple of strategies include:

1. Detailed onboarding campaigns that educate new members about the program's workings can both foster immediate engagement and drive enduring, long-term loyalty.

2. Demonstrating how to earn and use points, possibly with real-time examples, helps new members navigate the program with ease and confidence.

Strong customer support during the onboarding phase significantly enhances the experience, resolving any initial challenges and ensuring members start off positively. Offering tailored support to help new members get the most out of the program not only builds trust but also encourages early activity. Establishing clear feedback channels also allows loyalty programs to identify and resolve concerns quickly, enhancing satisfaction and encouraging members to remain active participants.

Continuous refinement and optimization drives ongoing engagement

Loyalty programs cannot afford to remain static. To maintain relevance and appeal, it is vital to continuously measure performance and optimize offerings. Regularly updating the rewards catalog with fresh, exciting options, such as seasonal rewards or partnerships with trending brands, ensures that members remain engaged.

Pilot launches and A/B testing are invaluable tools in refining loyalty programs. Testing new features, such as personalized offers or dynamic rewards, on a smaller scale allows for adjustments based on member feedback before a wider rollout. Similarly, A/B testing of different ad formats, offers, or messaging helps identify what resonates most with members, enabling programs to focus on strategies that drive the best results.

Personalization, powered by technologies like AI and machine learning, can further enhance optimization efforts. Tailored recommendations and dynamic messaging create more relevant experiences for members, helping them feel valued and deepening their loyalty to the program.

Focusing on long-term loyalty strategies

Creating a loyalty program that delivers long-term value is essential for sustained engagement and customer retention. Tiered programs are particularly effective for encouraging long-term loyalty by rewarding members with increasing benefits as they progress to higher tiers. These structures incentivize continued participation and reward brand commitment.

Offering exclusive experiences and services, such as VIP events, personalized perks, or early access to new products, creates emotional connections with members. These unique offerings make members feel valued and appreciated, enhancing their satisfaction and engagement.

Strategic partnerships are another critical element in building long-term loyalty. Collaborating with brands in complementary industries, such as travel, hospitality, or retail, can expand earning and redemption opportunities. These partnerships create a broader loyalty ecosystem, enhancing the program’s value and appeal.

To stay relevant and engaging over time, loyalty programs must embrace continuous innovation and regularly adapt to changing consumer preferences. Introducing new features, technologies, and services ensures that the program evolves alongside customer needs, maintaining its appeal.

Balancing both strategies

The most successful loyalty programs seamlessly integrate short-term and long-term strategies. For example, a gamified promotion might provide instant rewards while also encouraging members to progress to higher membership tiers. Insights gained from short-term strategies can inform long-term improvements, ensuring the program remains responsive to member needs.

By clearly communicating both the immediate and long-term benefits of the program, loyalty programs can reinforce their value proposition and build sustained member engagement. Combining immediate adoption tactics with strategies for long-term loyalty ensures programs remain dynamic, relevant, and effective at every stage of the customer journey.

By implementing this balanced approach, loyalty programs can achieve immediate traction and establish a foundation for lasting customer relationships and profitability.

Take your loyalty program to the next level

Ready to enhance engagement and drive lasting success? Explore how the right mix of short-term wins and long-term strategies can transform your loyalty program into a dynamic, customer-centric powerhouse. Click here to talk to our award-winning team.

Emma Shakespeare, Global Head of Sales at Loylogic, explores effective strategies to enhance loyalty program adoption and ensure enduring success.

In the dynamic landscape of the loyalty industry, balancing long-term and short-term adoption strategies is crucial for achieving both immediate engagement and sustainable growth. Customers today expect loyalty programs to deliver instant rewards while also offering lasting value. Programs that succeed in meeting these expectations combine short-term wins with long-term relationship-building, creating a balanced approach that drives enduring success.

That requires a number of effective strategies that combine to build loyalty program adoption and deliver sustained engagement.

Benefitting from short-term adoption strategies

Immediate engagement is pivotal in capturing the interest of new customers and encouraging their participation in loyalty programs. One effective method is behavior-based rewards, where new members receive bonus points or discounts for signing up or making their first purchase. These rewards provide instant gratification, motivating customers to engage with the program from the start.

Another powerful tactic is the use of limited-time offers, which create a sense of urgency and prompt swift action from customers. These promotions are particularly effective in driving immediate participation and building momentum.

Gamification also plays an important role in encouraging short-term engagement. By highlighting quick wins, such as easy ways to earn and redeem points through challenges or interactive features, loyalty programs demonstrate immediate value. Showing members how simple actions can lead to tangible rewards builds excitement and encourages continued participation.

Looking after new members

Capturing the enthusiasm of new members is essential for long-term success. To ensure the honeymoon period lasts as long as possible, it’s important to provide a comprehensive onboarding process that ensures that new members understand and appreciate the benefits of the loyalty program. A couple of strategies include:

1. Detailed onboarding campaigns that educate new members about the program's workings can both foster immediate engagement and drive enduring, long-term loyalty.

2. Demonstrating how to earn and use points, possibly with real-time examples, helps new members navigate the program with ease and confidence.

Strong customer support during the onboarding phase significantly enhances the experience, resolving any initial challenges and ensuring members start off positively. Offering tailored support to help new members get the most out of the program not only builds trust but also encourages early activity. Establishing clear feedback channels also allows loyalty programs to identify and resolve concerns quickly, enhancing satisfaction and encouraging members to remain active participants.

Continuous refinement and optimization drives ongoing engagement

Loyalty programs cannot afford to remain static. To maintain relevance and appeal, it is vital to continuously measure performance and optimize offerings. Regularly updating the rewards catalog with fresh, exciting options, such as seasonal rewards or partnerships with trending brands, ensures that members remain engaged.

Pilot launches and A/B testing are invaluable tools in refining loyalty programs. Testing new features, such as personalized offers or dynamic rewards, on a smaller scale allows for adjustments based on member feedback before a wider rollout. Similarly, A/B testing of different ad formats, offers, or messaging helps identify what resonates most with members, enabling programs to focus on strategies that drive the best results.

Personalization, powered by technologies like AI and machine learning, can further enhance optimization efforts. Tailored recommendations and dynamic messaging create more relevant experiences for members, helping them feel valued and deepening their loyalty to the program.

Focusing on long-term loyalty strategies

Creating a loyalty program that delivers long-term value is essential for sustained engagement and customer retention. Tiered programs are particularly effective for encouraging long-term loyalty by rewarding members with increasing benefits as they progress to higher tiers. These structures incentivize continued participation and reward brand commitment.

Offering exclusive experiences and services, such as VIP events, personalized perks, or early access to new products, creates emotional connections with members. These unique offerings make members feel valued and appreciated, enhancing their satisfaction and engagement.

Strategic partnerships are another critical element in building long-term loyalty. Collaborating with brands in complementary industries, such as travel, hospitality, or retail, can expand earning and redemption opportunities. These partnerships create a broader loyalty ecosystem, enhancing the program’s value and appeal.

To stay relevant and engaging over time, loyalty programs must embrace continuous innovation and regularly adapt to changing consumer preferences. Introducing new features, technologies, and services ensures that the program evolves alongside customer needs, maintaining its appeal.

Balancing both strategies

The most successful loyalty programs seamlessly integrate short-term and long-term strategies. For example, a gamified promotion might provide instant rewards while also encouraging members to progress to higher membership tiers. Insights gained from short-term strategies can inform long-term improvements, ensuring the program remains responsive to member needs.

By clearly communicating both the immediate and long-term benefits of the program, loyalty programs can reinforce their value proposition and build sustained member engagement. Combining immediate adoption tactics with strategies for long-term loyalty ensures programs remain dynamic, relevant, and effective at every stage of the customer journey.

By implementing this balanced approach, loyalty programs can achieve immediate traction and establish a foundation for lasting customer relationships and profitability.

Take your loyalty program to the next level

Ready to enhance engagement and drive lasting success? Explore how the right mix of short-term wins and long-term strategies can transform your loyalty program into a dynamic, customer-centric powerhouse. Click here to talk to our award-winning team.

Jasper Mulder, Chief Growth Officer at Pointspay, explains how Pointspay’s Alternative Payment Method overcomes the challenges of tracking by focusing on payments rather than traditional tracking, ensuring seamless rewards, better user experiences and improved engagement for advertisers.

Having spent 15 years in affiliate marketingI’ve witnessed firsthandhowonline advertisersand publishersgrapple with the growing complexity of affiliate tracking.In this ever-evolvingindustry, regulationshavebecome more stringent,andwith browsersfollowing suit (in questionable manners) to follow suitto these requirements, the accuracy of affiliate tracking has become increasingly questionable. Discrepancies, which we see averaging 5% at a program level, are not just minor glitches.They're significant issues that can affect the entire affiliate ecosystem.

The trust is in the tracking

Affiliate tracking is fraught with challenges that have only intensified in recent years. Loyalty and cashback communities are particularly affected, as their members expect rewards that often do not materialize due to tracking issues. This situation frustrates users and raises concerns about the effectiveness and trustworthiness of affiliate tracking for these loyalty programs.

Compounding the issue are the varying consent and privacy regulations across different regions. For instance, the General Data Protection Regulation (GDPR) in Europe and its local interpretations imposes strict requirements on data collection and consent, which also differ from those in other markets such as the United States, where regulations can vary even at the state level. This patchwork of rules makes consistent andaccurate tracking a daunting task for advertisers,publishers and affiliate networks.

Browsers adapting to user privacy expectations and the changeable plans around the ending of third-party cookies add another layer of complexity. As browsers tighten privacy controls, traditional tracking methods become less reliable, leading to increased discrepancieswhichnegativelyimpacts the user experience.Ultimately, the victim is the loyalty member, whom these rules are meant to protect.

Pointspay’s AlternativePaymentMethod

Havingcrossed paths with thousands of publishers in my career,I was particularly excited abouthowone companyapproached these issues on a fundamental level. Pointspay, aFintech that has developed a bona fide white-label Alternative Payment Method (APM) for loyalty communities,nullifies allthe above issues, and many more. Pointspay offers an innovative solution that shifts the focus away from traditional tracking methods altogether. Instead of relying on outdated tracking systems, Pointspay leverages a payment solution to ensure accuracy and transparency. I was so excited aboutPointspay’s solution, that Ijoined them!

Pointspay’s APM integrates directly into advertiser checkout pages, currently connecting frequent flyer loyalty communities like Flying Blue, SASEuroBonus, Swiss Miles & More and Etihad Guest with over 100 brands signed up to the Pointspay ecosystem including the likes of ECCO, Samsung and Thrifty. This direct integrationallows us to handle the money flow, meaning we collect the payment from the consumer and pay out to both the advertiser for the purchase to the loyalty community in the form of points, miles, or cashback instantly.

This out-of-the-box approach makes issues like consent, cookie tracking gaps, and delayed rewardsa thing of the past. The reward isdirectly linked to the purchase, creating a seamless experience forloyalty membersandeliminating the traditional challenges associated with affiliate tracking.

Delivering benefits foradvertisers

For advertisers, the advantages ofPointspay's solution aresubstantial. Traditional affiliate tracking models involve navigating a complex web of privacy regulations, browser changes,resulting intracking discrepancies. This not only creates a significant administrative burden but also poses a reputational risk if loyalty members do not receive the rewards they expect.

On theflip side – because we handle the money flow, Pointspaymake these issuesa thing of the past and canprovide guaranteed,and moreover -instant rewards. This shift from delayed rewards, usually ranging between 40 to100 days, to instant gratificationgreatly enhances user engagement and loyalty. Users can redeem their points or milesimmediately, leading to more repeat transactions and overall satisfaction.

Anadditional disruptive feature of being an APM is the ability to unlock on-site redemption during checkout. This means members can use their reward/loyalty wallet to pay for aportion of the purchase, creating tangible engagement and increasing the value of the rewards. This direct integration of miles, points or cashback balances extends the customer’s spending power in a frictionless way, influencing the market mindset and driving higher conversion rates and basket values for advertisers.

Pavinga newwayfor loyalty partnerships

Pointspay’s solution not only benefits advertisers and loyalty programs but also offers an exciting opportunity for affiliate networks. While these networks have traditionally relied on their extensive relationships with brands and publishers, their technology has struggled to keep pace with new privacy regulations and tracking challenges.

Pointspay offers a way for affiliate networks tomaintain their valuable relationships whileleveraging cutting-edge technology. By integratingPointspay’s payment-level tracking into their systems, affiliate networks can offer their partners a revolutionary approach to affiliate marketing. This approacheliminates issues related to tracking discrepancies and consent,is fully omni-channelbydefault including in-app, allowing networks to focus on their core strength, which is building andmaintaining relationships & performance campaigns.

The new standard for loyalty and cashback

Let’s face it, the traditional affiliate marketing model was never an ideal fit for loyalty and cashback programs. Converting affiliate marketing advertising commission into a loyalty reward results in non-consumer centric complexities which dilutes the potential value and impact of the loyalty program. The most successful loyalty partnerships require a far deeper integration andareciprocal proposition.Pointspay’s technology deliver this at scale, providing a cost-effective solution for advertisers of all sizes.

It's high time for disruption in online loyalty partnerships. Pointspay is leading this transformation by offering a solution that transcends traditional tracking methods. By focusing on payments, Pointspay is helping online advertisers overcome the challenges of affiliate tracking, ensuring a better experience for consumers and a more efficient process for all advertisers.

As the digital marketing landscape continues to evolve,Pointspay’s innovative approach is poised to become the new standard for e-commerce loyalty, offering a secure, convenient, and rewarding payment experience that enhances both customer satisfaction and merchant success.

To find out how Pointspay can eliminate your tracking challenges and power business growth, contact us today by clicking here.

Jasper Mulder, Chief Growth Officer at Pointspay, explains how Pointspay’s Alternative Payment Method overcomes the challenges of tracking by focusing on payments rather than traditional tracking, ensuring seamless rewards, better user experiences and improved engagement for advertisers.

Having spent 15 years in affiliate marketingI’ve witnessed firsthandhowonline advertisersand publishersgrapple with the growing complexity of affiliate tracking.In this ever-evolvingindustry, regulationshavebecome more stringent,andwith browsersfollowing suit (in questionable manners) to follow suitto these requirements, the accuracy of affiliate tracking has become increasingly questionable. Discrepancies, which we see averaging 5% at a program level, are not just minor glitches.They're significant issues that can affect the entire affiliate ecosystem.

The trust is in the tracking

Affiliate tracking is fraught with challenges that have only intensified in recent years. Loyalty and cashback communities are particularly affected, as their members expect rewards that often do not materialize due to tracking issues. This situation frustrates users and raises concerns about the effectiveness and trustworthiness of affiliate tracking for these loyalty programs.

Compounding the issue are the varying consent and privacy regulations across different regions. For instance, the General Data Protection Regulation (GDPR) in Europe and its local interpretations imposes strict requirements on data collection and consent, which also differ from those in other markets such as the United States, where regulations can vary even at the state level. This patchwork of rules makes consistent andaccurate tracking a daunting task for advertisers,publishers and affiliate networks.

Browsers adapting to user privacy expectations and the changeable plans around the ending of third-party cookies add another layer of complexity. As browsers tighten privacy controls, traditional tracking methods become less reliable, leading to increased discrepancieswhichnegativelyimpacts the user experience.Ultimately, the victim is the loyalty member, whom these rules are meant to protect.

Pointspay’s AlternativePaymentMethod

Havingcrossed paths with thousands of publishers in my career,I was particularly excited abouthowone companyapproached these issues on a fundamental level. Pointspay, aFintech that has developed a bona fide white-label Alternative Payment Method (APM) for loyalty communities,nullifies allthe above issues, and many more. Pointspay offers an innovative solution that shifts the focus away from traditional tracking methods altogether. Instead of relying on outdated tracking systems, Pointspay leverages a payment solution to ensure accuracy and transparency. I was so excited aboutPointspay’s solution, that Ijoined them!

Pointspay’s APM integrates directly into advertiser checkout pages, currently connecting frequent flyer loyalty communities like Flying Blue, SASEuroBonus, Swiss Miles & More and Etihad Guest with over 100 brands signed up to the Pointspay ecosystem including the likes of ECCO, Samsung and Thrifty. This direct integrationallows us to handle the money flow, meaning we collect the payment from the consumer and pay out to both the advertiser for the purchase to the loyalty community in the form of points, miles, or cashback instantly.

This out-of-the-box approach makes issues like consent, cookie tracking gaps, and delayed rewardsa thing of the past. The reward isdirectly linked to the purchase, creating a seamless experience forloyalty membersandeliminating the traditional challenges associated with affiliate tracking.

Delivering benefits foradvertisers

For advertisers, the advantages ofPointspay's solution aresubstantial. Traditional affiliate tracking models involve navigating a complex web of privacy regulations, browser changes,resulting intracking discrepancies. This not only creates a significant administrative burden but also poses a reputational risk if loyalty members do not receive the rewards they expect.

On theflip side – because we handle the money flow, Pointspaymake these issuesa thing of the past and canprovide guaranteed,and moreover -instant rewards. This shift from delayed rewards, usually ranging between 40 to100 days, to instant gratificationgreatly enhances user engagement and loyalty. Users can redeem their points or milesimmediately, leading to more repeat transactions and overall satisfaction.

Anadditional disruptive feature of being an APM is the ability to unlock on-site redemption during checkout. This means members can use their reward/loyalty wallet to pay for aportion of the purchase, creating tangible engagement and increasing the value of the rewards. This direct integration of miles, points or cashback balances extends the customer’s spending power in a frictionless way, influencing the market mindset and driving higher conversion rates and basket values for advertisers.

Pavinga newwayfor loyalty partnerships

Pointspay’s solution not only benefits advertisers and loyalty programs but also offers an exciting opportunity for affiliate networks. While these networks have traditionally relied on their extensive relationships with brands and publishers, their technology has struggled to keep pace with new privacy regulations and tracking challenges.

Pointspay offers a way for affiliate networks tomaintain their valuable relationships whileleveraging cutting-edge technology. By integratingPointspay’s payment-level tracking into their systems, affiliate networks can offer their partners a revolutionary approach to affiliate marketing. This approacheliminates issues related to tracking discrepancies and consent,is fully omni-channelbydefault including in-app, allowing networks to focus on their core strength, which is building andmaintaining relationships & performance campaigns.

The new standard for loyalty and cashback

Let’s face it, the traditional affiliate marketing model was never an ideal fit for loyalty and cashback programs. Converting affiliate marketing advertising commission into a loyalty reward results in non-consumer centric complexities which dilutes the potential value and impact of the loyalty program. The most successful loyalty partnerships require a far deeper integration andareciprocal proposition.Pointspay’s technology deliver this at scale, providing a cost-effective solution for advertisers of all sizes.

It's high time for disruption in online loyalty partnerships. Pointspay is leading this transformation by offering a solution that transcends traditional tracking methods. By focusing on payments, Pointspay is helping online advertisers overcome the challenges of affiliate tracking, ensuring a better experience for consumers and a more efficient process for all advertisers.

As the digital marketing landscape continues to evolve,Pointspay’s innovative approach is poised to become the new standard for e-commerce loyalty, offering a secure, convenient, and rewarding payment experience that enhances both customer satisfaction and merchant success.

To find out how Pointspay can eliminate your tracking challenges and power business growth, contact us today by clicking here.

As sports organizations strive to adapt to the challenges of modern fan engagement, one successful model offers a wealth of insights: Frequent Flyer Programs (FFPs). The best frequent flyer programs have revolutionized customer engagement for airlines, creating ecosystems that not only reward customers for their loyalty but also provide valuable data and unlock new revenue streams.

The good news, as was discussed in a recent episode of the Loylogic Podcast, From Frequent Flyer Programs to Fan Engagement Programs: How Loyalty Can Be the Savior of Sport,the principles that make FFPs successful can easily be applied to Fan Engagement Programs (FEPs), helping sports clubs and leagues build deeper connections with their audiences.

In this article we explore some of the key learnings from FFPs that loyalty experts Gabi Kool and Philip Shelper believe can transform how sports loyalty programs work. To listen to the podcast in full, simply click below, or read on to find out more.

1. Building a partner ecosystem for broader engagement

One of the most powerful elements of FFPs is their ability to create extensive partner networks, allowing customers to earn miles not just from flights but from everyday activities, such as shopping, dining, and using credit cards. Gabi, in the podcast, highlighted this key advantage: “Frequent flyer programs have built loyalty by creating ecosystems. Sports organizations should do the same, allowing fans to earn points through different touchpoints.”

FEPs can emulate this model by partnering with businesses and brands that resonate with fans, extending the ways in which they can engage. Fans could earn points not only from attending games but also from buying merchandise, subscribing to content, or interacting with a team’s sponsor network. This allows sports organizations to keep fans connected, even outside of game days, and opens up additional revenue opportunities.

2. Flexible and meaningful rewards are critical

FFPs succeed because they offer flexible ways for travelers to accrue points and redeem them for rewards that matter—whether it’s a free flight, an upgrade, or access to exclusive airport lounges. The key is in offering rewards that provide real value to customers, incentivizing them to stay loyal over the long term.

Fan Engagement Programs should also focus on offering a diverse range of rewards that appeal to different segments of their fanbase. As Philip explained, “Redemption is key. If fans can only use their points for things they don’t care about, it’s not going to work.”

For sports fans, valuable rewards could range from VIP tickets and exclusive team merchandise to once-in-a-lifetime experiences like meeting players or attending a training session. Offering a variety of options allows FEPs to cater to both casual and passionate fans, increasing the likelihood of sustained engagement.

3. Creating emotional bonds with fans

One of the strengths of FFPs is their ability to create emotional bonds between the airline and its customers. FFPs don’t just offer material rewards; they make customers feel recognized and valued. Priority boarding, access to lounges, and personalized offers are designed to make frequent flyers feel like part of an exclusive community.

In the sports world, the emotional connection between fans and teams is already strong, but FEPs can enhance this by offering personalized experiences that deepen that bond. Gabi noted, “Loyalty is about emotion. Offering a fan the chance to meet their favorite player or get behind-the-scenes access—that’s about creating memories.”

By offering exclusive experiences as rewards, FEPs can turn fan loyalty into something much more personal and meaningful, ensuring long-term support and engagement.

4. Unlocking hidden value in non-traditional fans

Just as FFPs allow even infrequent travelers to stay engaged through partner programs, FEPs can tap into non-traditional fans who may not attend games regularly but are passionate about the team. Philip emphasized, “There’s a huge segment of fans who aren’t going to games regularly but are engaging digitally. These fans are incredibly valuable.”

By allowing fans to earn points through digital interactions, such as watching live streams, following social media, or purchasing merchandise, FEPs can engage a wider audience and unlock value from fans who may otherwise be overlooked. This helps teams build a more inclusive engagement strategy that caters to fans wherever they are, whether in the stadium or at home.

5. Data is a key asset for tailored engagement

As discussed in a previous episode of the Loylogic Podcast - click here to listen - FFPs are known for generating vast amounts of data on customer preferences and behaviors, allowing airlines to tailor their offerings and communications. As Gabi noted, “Data is the future of fan engagement. Loyalty programs give you the tools to understand exactly how your fans are interacting with the club.”

FEPs can harness the same potential by using fan data to personalize the fan experience. By tracking how fans engage with digital content, attend games, or interact with sponsors, teams can create targeted marketing strategies, offer tailored rewards, and strengthen sponsor relationships. The data can also help sports organizations make smarter decisions, refine their offerings, and create fan experiences that are more aligned with individual preferences.

6. It is possible to monetize fan engagement

One of the biggest advantages of modern FFPs is their ability to monetize engagement across a wide range of activities, beyond just air travel. In the same way, FEPs can monetize fan interactions that go beyond the stadium. Philip observed, “Loyalty programs are a great way to monetize digital behavior. You don’t need fans to come to every game for them to stay loyal.”

By encouraging fans to engage with the team through multiple platforms—whether it’s mobile apps, live streams, or social media—FEPs can turn every interaction into a revenue opportunity. This approach is particularly effective for digital-first fans who may engage heavily online but don’t attend games in person. Monetizing fan engagement across platforms ensures that the club can capture value from fans wherever they are.

Fan Engagement Programs have the potential to revolutionize how sports organizations interact with their audiences. By learning from the success of frequent flyer programs, fan engagement programs can create broader ecosystems, offer meaningful rewards, and build emotional connections that deepen fan loyalty. With the right strategy, sports clubs can harness fan data, monetize digital engagement, and extend their reach to non-traditional fans.

In a rapidly changing sports landscape, the lessons from FFPs provide a proven model for success in the future of sports loyalty programs, helping organizations at all levels to overcome some serious challenges along the way.

As sports organizations strive to adapt to the challenges of modern fan engagement, one successful model offers a wealth of insights: Frequent Flyer Programs (FFPs). The best frequent flyer programs have revolutionized customer engagement for airlines, creating ecosystems that not only reward customers for their loyalty but also provide valuable data and unlock new revenue streams.

The good news, as was discussed in a recent episode of the Loylogic Podcast, From Frequent Flyer Programs to Fan Engagement Programs: How Loyalty Can Be the Savior of Sport,the principles that make FFPs successful can easily be applied to Fan Engagement Programs (FEPs), helping sports clubs and leagues build deeper connections with their audiences.

In this article we explore some of the key learnings from FFPs that loyalty experts Gabi Kool and Philip Shelper believe can transform how sports loyalty programs work. To listen to the podcast in full, simply click below, or read on to find out more.

1. Building a partner ecosystem for broader engagement

One of the most powerful elements of FFPs is their ability to create extensive partner networks, allowing customers to earn miles not just from flights but from everyday activities, such as shopping, dining, and using credit cards. Gabi, in the podcast, highlighted this key advantage: “Frequent flyer programs have built loyalty by creating ecosystems. Sports organizations should do the same, allowing fans to earn points through different touchpoints.”

FEPs can emulate this model by partnering with businesses and brands that resonate with fans, extending the ways in which they can engage. Fans could earn points not only from attending games but also from buying merchandise, subscribing to content, or interacting with a team’s sponsor network. This allows sports organizations to keep fans connected, even outside of game days, and opens up additional revenue opportunities.

2. Flexible and meaningful rewards are critical

FFPs succeed because they offer flexible ways for travelers to accrue points and redeem them for rewards that matter—whether it’s a free flight, an upgrade, or access to exclusive airport lounges. The key is in offering rewards that provide real value to customers, incentivizing them to stay loyal over the long term.

Fan Engagement Programs should also focus on offering a diverse range of rewards that appeal to different segments of their fanbase. As Philip explained, “Redemption is key. If fans can only use their points for things they don’t care about, it’s not going to work.”

For sports fans, valuable rewards could range from VIP tickets and exclusive team merchandise to once-in-a-lifetime experiences like meeting players or attending a training session. Offering a variety of options allows FEPs to cater to both casual and passionate fans, increasing the likelihood of sustained engagement.

3. Creating emotional bonds with fans

One of the strengths of FFPs is their ability to create emotional bonds between the airline and its customers. FFPs don’t just offer material rewards; they make customers feel recognized and valued. Priority boarding, access to lounges, and personalized offers are designed to make frequent flyers feel like part of an exclusive community.

In the sports world, the emotional connection between fans and teams is already strong, but FEPs can enhance this by offering personalized experiences that deepen that bond. Gabi noted, “Loyalty is about emotion. Offering a fan the chance to meet their favorite player or get behind-the-scenes access—that’s about creating memories.”

By offering exclusive experiences as rewards, FEPs can turn fan loyalty into something much more personal and meaningful, ensuring long-term support and engagement.

4. Unlocking hidden value in non-traditional fans

Just as FFPs allow even infrequent travelers to stay engaged through partner programs, FEPs can tap into non-traditional fans who may not attend games regularly but are passionate about the team. Philip emphasized, “There’s a huge segment of fans who aren’t going to games regularly but are engaging digitally. These fans are incredibly valuable.”

By allowing fans to earn points through digital interactions, such as watching live streams, following social media, or purchasing merchandise, FEPs can engage a wider audience and unlock value from fans who may otherwise be overlooked. This helps teams build a more inclusive engagement strategy that caters to fans wherever they are, whether in the stadium or at home.

5. Data is a key asset for tailored engagement

As discussed in a previous episode of the Loylogic Podcast - click here to listen - FFPs are known for generating vast amounts of data on customer preferences and behaviors, allowing airlines to tailor their offerings and communications. As Gabi noted, “Data is the future of fan engagement. Loyalty programs give you the tools to understand exactly how your fans are interacting with the club.”

FEPs can harness the same potential by using fan data to personalize the fan experience. By tracking how fans engage with digital content, attend games, or interact with sponsors, teams can create targeted marketing strategies, offer tailored rewards, and strengthen sponsor relationships. The data can also help sports organizations make smarter decisions, refine their offerings, and create fan experiences that are more aligned with individual preferences.

6. It is possible to monetize fan engagement

One of the biggest advantages of modern FFPs is their ability to monetize engagement across a wide range of activities, beyond just air travel. In the same way, FEPs can monetize fan interactions that go beyond the stadium. Philip observed, “Loyalty programs are a great way to monetize digital behavior. You don’t need fans to come to every game for them to stay loyal.”

By encouraging fans to engage with the team through multiple platforms—whether it’s mobile apps, live streams, or social media—FEPs can turn every interaction into a revenue opportunity. This approach is particularly effective for digital-first fans who may engage heavily online but don’t attend games in person. Monetizing fan engagement across platforms ensures that the club can capture value from fans wherever they are.

Fan Engagement Programs have the potential to revolutionize how sports organizations interact with their audiences. By learning from the success of frequent flyer programs, fan engagement programs can create broader ecosystems, offer meaningful rewards, and build emotional connections that deepen fan loyalty. With the right strategy, sports clubs can harness fan data, monetize digital engagement, and extend their reach to non-traditional fans.

In a rapidly changing sports landscape, the lessons from FFPs provide a proven model for success in the future of sports loyalty programs, helping organizations at all levels to overcome some serious challenges along the way.

Robert Clements, Loylogic’s Lead Consultant, joined us at our Loylogic LIVE event recently to explore one of the biggest opportunities and challenges loyalty program leaders have today: the all-important transition to community driven engagement.

In his presentation, which can be viewed on demand below, Rob discussed how customer engagement has evolved over time and how brands can leverage communities to build a more personal, dynamic and connected experience with their customers. As he says, why build a program when you can build a community?

Key talking points include:

- The definition of community-driven engagement and how it has matured into a viable strategy for most customer-centric organizations.
- The six elements that brands can leverage to build a sense of community.
- Four reasons why brands should invest in community-driven engagement.
- Key steps to building a community, including identifying the right customers, integrating them into the right engagement framework, finding the right incentives, community management, and celebrating the contributions of the community.

To find out how, through embracing community driven engagements, you can build brand new, deep connections and passionate advocates for your brand, press play below.

To talk to Rob in more details about community driven engagement and how to build engagement for your loyalty program, email This email address is being protected from spambots. You need JavaScript enabled to view it..

Robert Clements, Loylogic’s Lead Consultant, joined us at our Loylogic LIVE event recently to explore one of the biggest opportunities and challenges loyalty program leaders have today: the all-important transition to community driven engagement.

In his presentation, which can be viewed on demand below, Rob discussed how customer engagement has evolved over time and how brands can leverage communities to build a more personal, dynamic and connected experience with their customers. As he says, why build a program when you can build a community?

Key talking points include:

- The definition of community-driven engagement and how it has matured into a viable strategy for most customer-centric organizations.
- The six elements that brands can leverage to build a sense of community.
- Four reasons why brands should invest in community-driven engagement.
- Key steps to building a community, including identifying the right customers, integrating them into the right engagement framework, finding the right incentives, community management, and celebrating the contributions of the community.

To find out how, through embracing community driven engagements, you can build brand new, deep connections and passionate advocates for your brand, press play below.

To talk to Rob in more details about community driven engagement and how to build engagement for your loyalty program, email This email address is being protected from spambots. You need JavaScript enabled to view it..

Etihad Guest, the award-winning loyalty programme of Etihad Airways, has extended its partnership with Pointspay in a move that will lead to the first introduction of a groundbreaking new solution to the Middle East region later this year.

The new solution introduces the ability for members to earn and redeem Etihad Guest miles via online retailers, providing value and convenience for members.

By integrating this new solution, Etihad Guest members will be able to seamlessly incorporate the programme into their daily lives, transforming how they earn and redeem their miles across a variety of retail partners within the Etihad Guest ecosystem. This enables them to save money, expand their options for earning and redeeming miles, and accelerate their path to earning rewards such as upgrades and more.

Dominic Hofer, CEO of Pointspay, commented: “We are thrilled to extend our long-term partnership with Etihad Guest and launch our new white label solution. This collaboration represents another significant milestone in Pointspay’s mission to innovate and enhance loyalty programmes globally. Etihad Guest’s dedication to enriching member experiences aligns perfectly with our vision, and we are excited to see the positive impact this will have on both members and retail partners.”

For retailers, the new partnership provides a powerful tool to engage with millions of members, supported by extensive omnichannel marketing and advertising opportunities. Ultimately, this leads to increased customer retention and engagement, and more sales.

Pete Howroyd, Pointspay’s CMO, added: “Pointspay has demonstrated its ability to significantly enhance engagement amongst millions of loyalty program members by connecting them to Pointspay’s trusted network of global shops providing the ability to earn and redeem miles via our payment solution. Through our patented technology, Pointspay gives online shops the ability to grow sales in a unique and targeted way, tapping into previously inaccessible communities of frequent flyer members.”

Mark Potter, Managing Director Etihad Guest, said: "We’re constantly evolving our programme to offer our members a more rewarding experience. In the spirit of innovation in line with Etihad’s core values, we’re pleased to be partnering with Pointspay on this new payment solution, giving our members the chance to earn and pay at online retailers seamlessly using their Etihad Guest Miles.”

Etihad Guest, the award-winning loyalty programme of Etihad Airways, has extended its partnership with Pointspay in a move that will lead to the first introduction of a groundbreaking new solution to the Middle East region later this year.

The new solution introduces the ability for members to earn and redeem Etihad Guest miles via online retailers, providing value and convenience for members.

By integrating this new solution, Etihad Guest members will be able to seamlessly incorporate the programme into their daily lives, transforming how they earn and redeem their miles across a variety of retail partners within the Etihad Guest ecosystem. This enables them to save money, expand their options for earning and redeeming miles, and accelerate their path to earning rewards such as upgrades and more.

Dominic Hofer, CEO of Pointspay, commented: “We are thrilled to extend our long-term partnership with Etihad Guest and launch our new white label solution. This collaboration represents another significant milestone in Pointspay’s mission to innovate and enhance loyalty programmes globally. Etihad Guest’s dedication to enriching member experiences aligns perfectly with our vision, and we are excited to see the positive impact this will have on both members and retail partners.”

For retailers, the new partnership provides a powerful tool to engage with millions of members, supported by extensive omnichannel marketing and advertising opportunities. Ultimately, this leads to increased customer retention and engagement, and more sales.

Pete Howroyd, Pointspay’s CMO, added: “Pointspay has demonstrated its ability to significantly enhance engagement amongst millions of loyalty program members by connecting them to Pointspay’s trusted network of global shops providing the ability to earn and redeem miles via our payment solution. Through our patented technology, Pointspay gives online shops the ability to grow sales in a unique and targeted way, tapping into previously inaccessible communities of frequent flyer members.”

Mark Potter, Managing Director Etihad Guest, said: "We’re constantly evolving our programme to offer our members a more rewarding experience. In the spirit of innovation in line with Etihad’s core values, we’re pleased to be partnering with Pointspay on this new payment solution, giving our members the chance to earn and pay at online retailers seamlessly using their Etihad Guest Miles.”

Continuing our review of the best sessions from our recent Loylogic LIVE event, this time we’re sharing a great conversation all about creating incremental value from an FMCG loyalty program by marketing your community.

In this session, Joël Muller from Nescafé Dolce Gusto PREMIO and Dani Schmidt from Loylogic delve into the world of FMCG loyalty programs and how incremental value can be created, using Nescafé Dolce Gusto’s supremely successful multi-market Premio Loyalty scheme as an example.

Key talking points from the session include:

- The need to partner with brands that are relevant to your target audience. This will increase the value proposition of a program and make it more relevant to members.

- Carefully select brands to partner with. The brands should be a good fit with your brand and target audience, which means understanding your program members is vitally important.

- This isn't about selling member data. You can partner with brands by inviting them into an ecosystem where they can offer their value proposition to members. Members can then decide whether or not they are interested.

- There’s an opportunity to charge brands a fee for access to your target audience. This can be done through a co-funding model where the brand pays for points that are redeemed by members.

The video from the Loylogic LIVE session can be viewed below, or head to Loylogic's YouTube channel hereto view all the session videos from Loylogic LIVE.

To discuss how Loylogic can help you build a new FMCG loyalty program or supercharge your existing one, just like we have for Nescafé Dolce Gusto, click here and we’ll be in touch.

Like this? Then don't miss our podcast featuring Joël and Dani here.

Continuing our review of the best sessions from our recent Loylogic LIVE event, this time we’re sharing a great conversation all about creating incremental value from an FMCG loyalty program by marketing your community.

In this session, Joël Muller from Nescafé Dolce Gusto PREMIO and Dani Schmidt from Loylogic delve into the world of FMCG loyalty programs and how incremental value can be created, using Nescafé Dolce Gusto’s supremely successful multi-market Premio Loyalty scheme as an example.

Key talking points from the session include:

- The need to partner with brands that are relevant to your target audience. This will increase the value proposition of a program and make it more relevant to members.

- Carefully select brands to partner with. The brands should be a good fit with your brand and target audience, which means understanding your program members is vitally important.

- This isn't about selling member data. You can partner with brands by inviting them into an ecosystem where they can offer their value proposition to members. Members can then decide whether or not they are interested.

- There’s an opportunity to charge brands a fee for access to your target audience. This can be done through a co-funding model where the brand pays for points that are redeemed by members.

The video from the Loylogic LIVE session can be viewed below, or head to Loylogic's YouTube channel hereto view all the session videos from Loylogic LIVE.

To discuss how Loylogic can help you build a new FMCG loyalty program or supercharge your existing one, just like we have for Nescafé Dolce Gusto, click here and we’ll be in touch.

Like this? Then don't miss our podcast featuring Joël and Dani here.

One of the most hotly anticipated sessions at Loylogic LIVE 2024, was the discussion that centred around the power of marketplace and how loyalty programs can leverage the Brands2Communities strategy discussed earlier in the event to incentivize engagement.

For this session, Loylogic’s Emma Shakespeare and Ahmad Oneissi delved into the strategy of using incentives to enhance consumer engagement and foster enduring loyalty. The pair used examples from Loylogic’s incentives marketplace to show how a wide-ranging reward catalog can give consumers the power of choice and boost loyalty, while optimizing incentive costs for programs.

Further key talking points from the session included the need for personalization, why data is so important to loyalty program success and the trends that are impacting global marketplace engagement, including brand relationships with communities of loyal customers, sustainability and high customer expectations.

Find out more in our video from Loylogic LIVE here:

To chat with one of the team about how Loylogic’s Brands2Communities approach can boost engagement across your loyalty program, click here.

One of the most hotly anticipated sessions at Loylogic LIVE 2024, was the discussion that centred around the power of marketplace and how loyalty programs can leverage the Brands2Communities strategy discussed earlier in the event to incentivize engagement.

For this session, Loylogic’s Emma Shakespeare and Ahmad Oneissi delved into the strategy of using incentives to enhance consumer engagement and foster enduring loyalty. The pair used examples from Loylogic’s incentives marketplace to show how a wide-ranging reward catalog can give consumers the power of choice and boost loyalty, while optimizing incentive costs for programs.

Further key talking points from the session included the need for personalization, why data is so important to loyalty program success and the trends that are impacting global marketplace engagement, including brand relationships with communities of loyal customers, sustainability and high customer expectations.

Find out more in our video from Loylogic LIVE here:

To chat with one of the team about how Loylogic’s Brands2Communities approach can boost engagement across your loyalty program, click here.

At last month’s Loylogic LIVE event, Loylogic’s CEO, Gabi Kool, opened proceedings by presenting a strategy for loyalty success called Brands2Communities.

In his presentation, Gabi stressed how traditional loyalty programs are becoming too generic, offering one-size-fits-all rewards and relying on easy technological integrations. Instead, Loylogic is working with brands to deliver a more effective approach that focuses on the unique makeup of each loyalty program's community.

Brands2Communities is all about making sure loyalty programs can be more effective by understanding the unique characteristics of their member base and partnering with brands that resonate with those communities.

During the session, which can be viewed on demand here, four key themes emerged:

1. Loyalty programs must understand community DNA

Loyalty program operators must delve deeply into the distinct characteristics of their community segments. This involves recognizing both commonalities and differences among members across various regions and demographics. For example, an Asian airline needs to distinguish between the preferences of its Platinum members in the US, China, Japan, and the Middle East. By doing so, operators can create more relevant and engaging marketing campaigns and brand partnerships.

2. Successful engagement requires segmentation strategies

To effectively understand and segment the community, loyalty leaders should start with basic demographic and behavioral data. These include but are not limited to geographical distribution, tier levels and customer value, engagement metrics, demographic insights that analyze age brackets, income levels, gender distribution, and communication channel preferences, and, of course, redemption behavior. As Gabi says, it’s important to monitor reward redemption patterns to understand member engagement.

3. Creating loyalty program value through brand partnerships

Once a detailed understanding of these segments is achieved, loyalty marketers can position themselves as valuable partners for external brands. These brands are keen to target specific audience segments that align with their own brand values and objectives. For instance, brands known for quality, innovation, customer focus, integrity, or sustainability can be matched with relevant community segments within the loyalty program.

4. Curating relevant content to build loyalty

Loyalty marketers should act as curators, akin to publishers, who tailor content to resonate with their audience. This involves mapping out and understanding the preferences and needs of each segment, categorizing them by strategic importance, and identifying complementary brands and offers. By doing so, they can enhance the member experience and strengthen brand loyalty.

To summarize, Loylogic’s Brands2Communities approach is about deeply understanding the unique DNA of each loyalty program segment and leveraging this insight to foster meaningful brand partnerships and marketing initiatives. This strategy not only enhances member engagement but also positions loyalty programs as critical players in the broader marketing ecosystem.

To chat with one of the team about how Loylogic’s Brands2Communities approach can boost engagement across your loyalty program, click here.

Pointspay has announced that it has integrated with Adyen, a leading financial technology platform renowned for its comprehensive embedded payment capabilities.

The addition of Adyen enhances the experience offered by Pointspay for participating online shops and loyalty programs, adding Pointspay’s embedded loyalty expertise to Adyen’s embedded payments technology in a single solution.

The collaboration comes as Pointspay continues to expand Flying Blue+,the first of its kind MarPay™ solution that enables members of the popular Flying Blue frequent flyer programme in the Netherlands to earn and spend miles in real-time at a wide range of online shops.

By combining Adyen’s embedded payment solution with Pointspay’s embedded loyalty technology, shoppers in the Netherlands can now also pay the cash portion of their Flying Blue+ payments using iDeal – the most popular cash payment method among Dutch online shoppers. This also means participating online shops benefit from faster, automated payouts.

As Pointspay continues to grow, this partnership aims to introduce more local payment methods similar to iDeal in new regions, including an upcoming rollout in France as part of Flying Blue+ and across the Nordics in collaboration with SAS EuroBonus.

Commenting on the partnership, Lansy Joseph, Pointspay’s Chief Product Officer said: “This collaboration between Pointspay and Adyen marks a milestone for both partners as well as the fintech and loyalty sectors overall, bringing together the pioneers of embedded payments and embedded loyalty together in one platform for the very first time! I’m certain our partnership adds value to new merchants we bring on to the platform as well as those already processing with Adyen.”

Emily Speckter, Enterprise Sales Manager at Adyen added: “We are excited to partner with Pointspay on this innovative venture. By integrating our advanced payment solutions with Pointspay’s embedded loyalty platform, we are setting a new standard for seamless and efficient performance marketing in e-commerce.

“This partnership not only enhances the shopping experience for consumers, but also helps merchants tap into the community of loyal frequent flyers, acquire new customers, retain existing customers and increase share of wallet. We look forward to seeing the transformative impact of our combined efforts in the Netherlands and beyond.”

Retailers looking to generate revenue, increase visibility and acquire loyal new customers can click here to find out more.

Pointspay has announced that it has integrated with Adyen, a leading financial technology platform renowned for its comprehensive embedded payment capabilities.

The addition of Adyen enhances the experience offered by Pointspay for participating online shops and loyalty programs, adding Pointspay’s embedded loyalty expertise to Adyen’s embedded payments technology in a single solution.

The collaboration comes as Pointspay continues to expand Flying Blue+,the first of its kind MarPay™ solution that enables members of the popular Flying Blue frequent flyer programme in the Netherlands to earn and spend miles in real-time at a wide range of online shops.

By combining Adyen’s embedded payment solution with Pointspay’s embedded loyalty technology, shoppers in the Netherlands can now also pay the cash portion of their Flying Blue+ payments using iDeal – the most popular cash payment method among Dutch online shoppers. This also means participating online shops benefit from faster, automated payouts.

As Pointspay continues to grow, this partnership aims to introduce more local payment methods similar to iDeal in new regions, including an upcoming rollout in France as part of Flying Blue+ and across the Nordics in collaboration with SAS EuroBonus.

Commenting on the partnership, Lansy Joseph, Pointspay’s Chief Product Officer said: “This collaboration between Pointspay and Adyen marks a milestone for both partners as well as the fintech and loyalty sectors overall, bringing together the pioneers of embedded payments and embedded loyalty together in one platform for the very first time! I’m certain our partnership adds value to new merchants we bring on to the platform as well as those already processing with Adyen.”

Emily Speckter, Enterprise Sales Manager at Adyen added: “We are excited to partner with Pointspay on this innovative venture. By integrating our advanced payment solutions with Pointspay’s embedded loyalty platform, we are setting a new standard for seamless and efficient performance marketing in e-commerce.

“This partnership not only enhances the shopping experience for consumers, but also helps merchants tap into the community of loyal frequent flyers, acquire new customers, retain existing customers and increase share of wallet. We look forward to seeing the transformative impact of our combined efforts in the Netherlands and beyond.”

Retailers looking to generate revenue, increase visibility and acquire loyal new customers can click here to find out more.

In a recent episode of the Loylogic Podcast, executives from Nescafé Dolce Gusto joined us to discuss the development and success of the global PREMIO loyalty program.

The insights shared offer valuable lessons for loyalty program managers looking to create or enhance their own programs. Below are nine key takeaways from the discussion, which can be listened to in full here:

1. Embrace an Omni-Channel Approach

One of the fundamental aspects of PREMIO's success is its true omni-channel concept. For consumer goods brands, especially those that generate a significant portion of their business through indirect retail and wholesale channels, direct access to retail shoppers is crucial. This approach not only increases brand value in a competitive market but also provides invaluable consumer insights.

2. Ensure Scalability

Scalability is a must for multinational and global brands. NDG's use of a cloud-based solution facilitated a scalable architecture, enabling quick rollouts across various markets. For instance, once a market approved its business case, the go-to-market time for PREMIO was less than three months. This rapid deployment is possible only with a scalable ecosystem involving global partners and cloud solutions.

3. Maintain Global Consistency with Local Flexibility

PREMIO is a global concept that offers a consistent user experience across all markets. However, it also incorporates a degree of local flexibility to meet specific market needs. This balance ensures that the program is globally uniform yet locally relevant, which is essential for gaining and maintaining member loyalty. Each market can adapt the reward catalog and marketing strategies to resonate with local consumers.

4. Focus on User-Friendly Experiences

A simple and user-friendly experience is critical for consumer engagement. PREMIO's system allows consumers to easily earn points by scanning codes inside beverage boxes or automatically through connected coffee machines. This simplicity encourages participation and makes the program more attractive to users.

5. Curate an Appealing Rewards Catalog

The reward catalog is a cornerstone of any loyalty program. PREMIO's catalog is carefully curated to include a mix of relevant rewards, from virtual gift cards to kitchen appliances, tailored to each market. This customization ensures that rewards are appealing and attainable, enhancing consumer satisfaction and loyalty. Moreover, offering rewards that align with the brand's DNA and consumer lifestyle, such as coffee-related items, further strengthens the program's relevance.

6. Utilize Data for Personalization and Engagement

Data collection and analysis are pivotal in driving the success of PREMIO. The program gathers extensive data on consumer behavior through QR codes and other interactions, enabling NDG to send personalized messages at the right time. This data-driven approach ensures that communications are relevant and engaging, fostering a deeper connection with consumers. Additionally, local markets can fine-tune the value proposition and marketing activations based on these insights, further enhancing the program's effectiveness.

7. Adapt to Market Conditions

NDG continuously monitors PREMIO's performance in each market, adjusting strategies as needed to ensure a positive return on investment. This adaptability is crucial for maintaining the program's effectiveness and relevance.

8. Incorporate Gamification

To engage lower-value user segments, NDG is exploring gamification elements within PREMIO, such as instant win options and smaller rewards. Gamification can make the program more engaging and fun, encouraging broader participation.

9. Seek Strategic Partnerships

Looking ahead, NDG plans to explore partnerships with other brands to enhance PREMIO's value proposition. Collaborations can offer mutual benefits, extending the reach and appeal of the loyalty program.

The insights from NDG's PREMIO loyalty program underscore the importance of an omni-channel approach, scalability, global consistency with local flexibility, user-friendly experiences, appealing rewards, and data-driven personalization. By incorporating these elements, loyalty program managers can create compelling and effective programs that drive consumer engagement and loyalty.

In a recent episode of the Loylogic Podcast, executives from Nescafé Dolce Gusto joined us to discuss the development and success of the global PREMIO loyalty program.

The insights shared offer valuable lessons for loyalty program managers looking to create or enhance their own programs. Below are nine key takeaways from the discussion, which can be listened to in full here:

1. Embrace an Omni-Channel Approach

One of the fundamental aspects of PREMIO's success is its true omni-channel concept. For consumer goods brands, especially those that generate a significant portion of their business through indirect retail and wholesale channels, direct access to retail shoppers is crucial. This approach not only increases brand value in a competitive market but also provides invaluable consumer insights.

2. Ensure Scalability

Scalability is a must for multinational and global brands. NDG's use of a cloud-based solution facilitated a scalable architecture, enabling quick rollouts across various markets. For instance, once a market approved its business case, the go-to-market time for PREMIO was less than three months. This rapid deployment is possible only with a scalable ecosystem involving global partners and cloud solutions.

3. Maintain Global Consistency with Local Flexibility

PREMIO is a global concept that offers a consistent user experience across all markets. However, it also incorporates a degree of local flexibility to meet specific market needs. This balance ensures that the program is globally uniform yet locally relevant, which is essential for gaining and maintaining member loyalty. Each market can adapt the reward catalog and marketing strategies to resonate with local consumers.

4. Focus on User-Friendly Experiences

A simple and user-friendly experience is critical for consumer engagement. PREMIO's system allows consumers to easily earn points by scanning codes inside beverage boxes or automatically through connected coffee machines. This simplicity encourages participation and makes the program more attractive to users.

5. Curate an Appealing Rewards Catalog

The reward catalog is a cornerstone of any loyalty program. PREMIO's catalog is carefully curated to include a mix of relevant rewards, from virtual gift cards to kitchen appliances, tailored to each market. This customization ensures that rewards are appealing and attainable, enhancing consumer satisfaction and loyalty. Moreover, offering rewards that align with the brand's DNA and consumer lifestyle, such as coffee-related items, further strengthens the program's relevance.

6. Utilize Data for Personalization and Engagement

Data collection and analysis are pivotal in driving the success of PREMIO. The program gathers extensive data on consumer behavior through QR codes and other interactions, enabling NDG to send personalized messages at the right time. This data-driven approach ensures that communications are relevant and engaging, fostering a deeper connection with consumers. Additionally, local markets can fine-tune the value proposition and marketing activations based on these insights, further enhancing the program's effectiveness.

7. Adapt to Market Conditions

NDG continuously monitors PREMIO's performance in each market, adjusting strategies as needed to ensure a positive return on investment. This adaptability is crucial for maintaining the program's effectiveness and relevance.

8. Incorporate Gamification

To engage lower-value user segments, NDG is exploring gamification elements within PREMIO, such as instant win options and smaller rewards. Gamification can make the program more engaging and fun, encouraging broader participation.

9. Seek Strategic Partnerships

Looking ahead, NDG plans to explore partnerships with other brands to enhance PREMIO's value proposition. Collaborations can offer mutual benefits, extending the reach and appeal of the loyalty program.

The insights from NDG's PREMIO loyalty program underscore the importance of an omni-channel approach, scalability, global consistency with local flexibility, user-friendly experiences, appealing rewards, and data-driven personalization. By incorporating these elements, loyalty program managers can create compelling and effective programs that drive consumer engagement and loyalty.

One of Loylogic’s partners, African Bank, is celebrating the success of its innovative rewards program, Audacious Rewards, which was named Best Short Term Loyalty Campaign at the International Loyalty Awards in Dubai last month.

The awards judges praised the synergy between African Bank – The People’s Bank – and the Soweto Marathon, known as ‘The People’s Race’, noting that both originate in Soweto and share a rich heritage of pioneering inclusivity. African Bank’s sponsorship was an ideal opportunity to connect with its customers, market its Audacious Rewards programme, and add value to its members.

Audacious Rewards, which is delivered in partnership with Loylogic, was also shortlisted for the Loyalty Redefined category, highlighting African Bank's success in creating a distinctive rewards experience for all of its customers. Audacious Rewards extends beyond traditional points based programmes, reflecting the bank's dedication to advancing the lives of its customers and enabling them to succeed financially.

Sbusiso Kumalo, Chief Marketing Officer at African Bank commented: "Audacious Rewards takes a bold approach, rewarding those not traditionally served by the financial mainstream. By simply banking with us, customers earn valuable points ('Rewards You Can Count On') that provide real-world benefits.

"Our customers are at the heart of everything we do. Our founders envisioned a bank that would democratise financial services, and Audacious Rewards embodies that vision by offering meaningful rewards and encouraging positive financial habits."

Whole of bank rewards

African Bank customers have the opportunity to join Audacious Rewards for free and immediately start earning points through their daily banking activities using their African Bank debit or credit card or the African Bank app. Through Audacious Rewards, customers can simply earn points for their everyday banking such as using their card, managing their debit orders or having African Bank financial solutions. Customers can enjoy spending their points on airtime, data, electricity, grocery vouchers or convert them to cash.

Since launch of the progamme in February 2023, Audacious Rewards membership has seen significant growth exceeding business targets with over 57 000 members joining in March 2024. Moreover, members of the rewards program demonstrate a significantly higher propensity to take-up other offerings from African Bank.

Notably, rewards members have generated a remarkable 67% increase in revenue over a 12-month period compared to non-rewards members. The Audacious Rewards program goes even further, incentivizing responsible financial behaviour like credit score monitoring with over 50,000 requested credit reports in March 2024 alone.

As African Bank pushes beyond traditional banking models, Audacious Rewards speaks to the Bank's commitment to progress. It's not just about banking; it's about changing and advancing lives, while creating a more inclusive financial ecosystem for all. Loylogic is delighted to be working alongside African Bank, helping to deliver an award-winning loyalty and rewards programme that is transforming lives.

Source: African Bank

One of Loylogic’s partners, African Bank, is celebrating the success of its innovative rewards program, Audacious Rewards, which was named Best Short Term Loyalty Campaign at the International Loyalty Awards in Dubai last month.

The awards judges praised the synergy between African Bank – The People’s Bank – and the Soweto Marathon, known as ‘The People’s Race’, noting that both originate in Soweto and share a rich heritage of pioneering inclusivity. African Bank’s sponsorship was an ideal opportunity to connect with its customers, market its Audacious Rewards programme, and add value to its members.

Audacious Rewards, which is delivered in partnership with Loylogic, was also shortlisted for the Loyalty Redefined category, highlighting African Bank's success in creating a distinctive rewards experience for all of its customers. Audacious Rewards extends beyond traditional points based programmes, reflecting the bank's dedication to advancing the lives of its customers and enabling them to succeed financially.

Sbusiso Kumalo, Chief Marketing Officer at African Bank commented: "Audacious Rewards takes a bold approach, rewarding those not traditionally served by the financial mainstream. By simply banking with us, customers earn valuable points ('Rewards You Can Count On') that provide real-world benefits.

"Our customers are at the heart of everything we do. Our founders envisioned a bank that would democratise financial services, and Audacious Rewards embodies that vision by offering meaningful rewards and encouraging positive financial habits."

Whole of bank rewards

African Bank customers have the opportunity to join Audacious Rewards for free and immediately start earning points through their daily banking activities using their African Bank debit or credit card or the African Bank app. Through Audacious Rewards, customers can simply earn points for their everyday banking such as using their card, managing their debit orders or having African Bank financial solutions. Customers can enjoy spending their points on airtime, data, electricity, grocery vouchers or convert them to cash.

Since launch of the progamme in February 2023, Audacious Rewards membership has seen significant growth exceeding business targets with over 57 000 members joining in March 2024. Moreover, members of the rewards program demonstrate a significantly higher propensity to take-up other offerings from African Bank.

Notably, rewards members have generated a remarkable 67% increase in revenue over a 12-month period compared to non-rewards members. The Audacious Rewards program goes even further, incentivizing responsible financial behaviour like credit score monitoring with over 50,000 requested credit reports in March 2024 alone.

As African Bank pushes beyond traditional banking models, Audacious Rewards speaks to the Bank's commitment to progress. It's not just about banking; it's about changing and advancing lives, while creating a more inclusive financial ecosystem for all. Loylogic is delighted to be working alongside African Bank, helping to deliver an award-winning loyalty and rewards programme that is transforming lives.

Source: African Bank

By Martin Smaerup, Head of Sales, Pointspay

As I discussed in a previous article, airlines possess a captivating product. Whether it's a dream vacation or a successful business trip, each journey creates a lasting memory, one that's quickly followed by the desire to plan the next adventure.

Airline loyalty programs can bring these plans to life, winning the hearts and minds of loyal customers by turning dreams into reality through reward flights. However, the reality for all but the most frequent of flyers or the most dedicated miles or points collectors, is vastly different. Flights to their next dream destination, or a memorable upgrade are so often out of reach, unless parting with hard-earned cash. With this in mind, how do we bridge this gap and make the next flight more rewarding?

At Pointspay, we have the answer in our innovative MarPay™ conceptthat operates at the intersection of marketing, payments and loyalty to redefine engagement, providing an intuitive, real-time experience where consumers can either spend their accrued miles or points or, more commonly, earn more on their everyday purchases.

MarPay™ allows online shops to market directly to consumers with loyalty balances which can help boost average order value and conversion as customers feel more inclined to spend increased amounts when combining their available cash with the stored value of their loyalty points. Designed to seamlessly integrate into the daily lives of loyalty program members, this solution allows program members to earn and spend miles or points effortlessly, through frictionless processes, without the need for multiple cumbersome actions.

"This strategy transforms loyalty programs from occasional interactions into daily relevance, fostering a deeper connection between brands and their customers."

This strategy transforms loyalty programs from occasional interactions into daily relevance, fostering a deeper connection between brands and their customers. It's about activating the everyday, transforming every transaction into an opportunity to get closer to the dream reward. For the consumer, it's a no-brainer – spend as you normally would but earn something extra, something that brings them closer to their next dream vacation.

Crucially, it positions retailers in front of a loyal customer base eager to earn and spend their points. This not only drives repeat business but also enhances the consumer's purchasing power, creating a virtuous cycle of spending and earning. Loyalty programs benefit by activating a broader segment of their membership base, reaching those who may not fly frequently but are eager to engage and earn rewards.

By partnering with leading airlines, such as Air France KLM for their Flying Blue program, Pointspay has launched branded solutions like Flying Blue+, tailor-made to enrich the brand's loyalty experience. This personalized approach ensures that loyalty programs are not just a benefit but an integral part of the member's daily routine.

The further launch of white label Pointspay solutions later this year by loyalty programs including SAS EuroBonus, highlights the compelling appeal of this innovative offering. Its simplicity and intuitive nature make it an attractive option for both seasoned travelers and those new to loyalty programs. By empowering retailers to capitalize on the surge in e-commerce, Pointspay enables loyalty programs to monetize their membership base, creating new avenues for engagement and relevance.

"Pointspay occupies the sweet spot where loyalty programs, members and brands converge to create mutual benefits."

Pointspay occupies the sweet spot where loyalty programs, members and brands converge to create mutual benefits. Through its white-label solution, Pointspay is not just enhancing loyalty programs but is also redefining the way we think about earning and spending in the realm of travel and beyond. The future of loyalty programs lies in making them a part of our everyday lives and Pointspay is leading the charge towards this new horizon.

By Martin Smaerup, Head of Sales, Pointspay

As I discussed in a previous article, airlines possess a captivating product. Whether it's a dream vacation or a successful business trip, each journey creates a lasting memory, one that's quickly followed by the desire to plan the next adventure.

Airline loyalty programs can bring these plans to life, winning the hearts and minds of loyal customers by turning dreams into reality through reward flights. However, the reality for all but the most frequent of flyers or the most dedicated miles or points collectors, is vastly different. Flights to their next dream destination, or a memorable upgrade are so often out of reach, unless parting with hard-earned cash. With this in mind, how do we bridge this gap and make the next flight more rewarding?

At Pointspay, we have the answer in our innovative MarPay™ conceptthat operates at the intersection of marketing, payments and loyalty to redefine engagement, providing an intuitive, real-time experience where consumers can either spend their accrued miles or points or, more commonly, earn more on their everyday purchases.

MarPay™ allows online shops to market directly to consumers with loyalty balances which can help boost average order value and conversion as customers feel more inclined to spend increased amounts when combining their available cash with the stored value of their loyalty points. Designed to seamlessly integrate into the daily lives of loyalty program members, this solution allows program members to earn and spend miles or points effortlessly, through frictionless processes, without the need for multiple cumbersome actions.

"This strategy transforms loyalty programs from occasional interactions into daily relevance, fostering a deeper connection between brands and their customers."

This strategy transforms loyalty programs from occasional interactions into daily relevance, fostering a deeper connection between brands and their customers. It's about activating the everyday, transforming every transaction into an opportunity to get closer to the dream reward. For the consumer, it's a no-brainer – spend as you normally would but earn something extra, something that brings them closer to their next dream vacation.

Crucially, it positions retailers in front of a loyal customer base eager to earn and spend their points. This not only drives repeat business but also enhances the consumer's purchasing power, creating a virtuous cycle of spending and earning. Loyalty programs benefit by activating a broader segment of their membership base, reaching those who may not fly frequently but are eager to engage and earn rewards.

By partnering with leading airlines, such as Air France KLM for their Flying Blue program, Pointspay has launched branded solutions like Flying Blue+, tailor-made to enrich the brand's loyalty experience. This personalized approach ensures that loyalty programs are not just a benefit but an integral part of the member's daily routine.

The further launch of white label Pointspay solutions later this year by loyalty programs including SAS EuroBonus, highlights the compelling appeal of this innovative offering. Its simplicity and intuitive nature make it an attractive option for both seasoned travelers and those new to loyalty programs. By empowering retailers to capitalize on the surge in e-commerce, Pointspay enables loyalty programs to monetize their membership base, creating new avenues for engagement and relevance.

"Pointspay occupies the sweet spot where loyalty programs, members and brands converge to create mutual benefits."

Pointspay occupies the sweet spot where loyalty programs, members and brands converge to create mutual benefits. Through its white-label solution, Pointspay is not just enhancing loyalty programs but is also redefining the way we think about earning and spending in the realm of travel and beyond. The future of loyalty programs lies in making them a part of our everyday lives and Pointspay is leading the charge towards this new horizon.

Loylogic, a global leader in loyalty and rewards engagement, has appointed Amit Bendre as its Chief Operating Officer (COO).

With a remarkable 13-year tenure at Loylogic, Amit has showcased exceptional leadership in pivotal domains such as product management, project management, technology, and operations. His extensive experience uniquely positions him to drive operational efficiency and maintain high client service standards as COO.

Amit's strategic vision aims to streamline operations and optimize efficiency across Loylogic's spectrum. By leveraging talent, refining processes, and embracing automation, he is poised to spearhead Loylogic's ambitious Brands2Communities growth strategy. This strategy seeks to foster direct relationships between 1,000 brands and over 100 million loyalty program members, driving significant revenues for partner brands.

Expressing his enthusiasm for the role, Amit said: "Serving as COO at Loylogic represents the culmination of my professional journey. I am dedicated to leveraging my insights and industry knowledge to cultivate an operationally superior organization known for its innovation, efficiency, and client satisfaction.

"In my capacity as COO, my primary focus is to harmonize teams and optimize the delivery of Loylogic's groundbreaking solutions. Central to our transformation is the adoption of process-driven methodologies, empowering teams with shared expertise and decentralized knowledge."

Gabi Kool, CEO of Loylogic, commended Amit's appointment, highlighting his pivotal role in shaping Loylogic's flagship solutions and his esteemed reputation among clients and colleagues.

"Loylogic remains steadfast in its commitment to delivering unparalleled solutions in the loyalty and rewards domain. Amit's expertise in technology, product development, and operations will fortify our position as industry leaders, driving innovation and excellence."

Loylogic, a global leader in loyalty and rewards engagement, has appointed Amit Bendre as its Chief Operating Officer (COO).

With a remarkable 13-year tenure at Loylogic, Amit has showcased exceptional leadership in pivotal domains such as product management, project management, technology, and operations. His extensive experience uniquely positions him to drive operational efficiency and maintain high client service standards as COO.

Amit's strategic vision aims to streamline operations and optimize efficiency across Loylogic's spectrum. By leveraging talent, refining processes, and embracing automation, he is poised to spearhead Loylogic's ambitious Brands2Communities growth strategy. This strategy seeks to foster direct relationships between 1,000 brands and over 100 million loyalty program members, driving significant revenues for partner brands.

Expressing his enthusiasm for the role, Amit said: "Serving as COO at Loylogic represents the culmination of my professional journey. I am dedicated to leveraging my insights and industry knowledge to cultivate an operationally superior organization known for its innovation, efficiency, and client satisfaction.

"In my capacity as COO, my primary focus is to harmonize teams and optimize the delivery of Loylogic's groundbreaking solutions. Central to our transformation is the adoption of process-driven methodologies, empowering teams with shared expertise and decentralized knowledge."

Gabi Kool, CEO of Loylogic, commended Amit's appointment, highlighting his pivotal role in shaping Loylogic's flagship solutions and his esteemed reputation among clients and colleagues.

"Loylogic remains steadfast in its commitment to delivering unparalleled solutions in the loyalty and rewards domain. Amit's expertise in technology, product development, and operations will fortify our position as industry leaders, driving innovation and excellence."

Consumers across The Netherlands can now benefit from a new way to shop, thanks to the introduction of Flying Blue+, a Pointspay-powered online payment solution launched by Flying Blue, the loyalty programme of Air France and KLM.

Consumers across The Netherlands can now benefit from a new way to shop, thanks to the introduction of Flying Blue+, a Pointspay-powered online payment solution launched by Flying Blue, the loyalty programme of Air France and KLM.

The latest episode of the Loylogic Group Podcast brings together two experts to delve into the evolving landscape of airline and hotel loyalty programs.

The latest episode of the Loylogic Group Podcast brings together two experts to delve into the evolving landscape of airline and hotel loyalty programs.

Pointspay, the innovative global loyalty marketing and payment platform, has appointed Rogier Jacobson as Chief Operating Officer (COO).

Pointspay, the innovative global loyalty marketing and payment platform, has appointed Rogier Jacobson as Chief Operating Officer (COO).

Irish Life and Loylogic have agreed a multi-year extension to their partnership that will see the two organizations further develop the successful MyLife health and wellbeing program.

Irish Life and Loylogic have agreed a multi-year extension to their partnership that will see the two organizations further develop the successful MyLife health and wellbeing program.

Loylogic, the global loyalty and rewards engagement specialist, has appointed Samir Skif as the Head of Ultimate, its all new motivational rewards and recognition currency.

Loylogic, the global loyalty and rewards engagement specialist, has appointed Samir Skif as the Head of Ultimate, its all new motivational rewards and recognition currency.

Nescafé Dolce Gusto multi-beverage system and Loylogic, the global loyalty and rewards engagement technology specialist, have extended their collaboration on the successful PREMIO loyalty program for a further five years.

Nescafé Dolce Gusto multi-beverage system and Loylogic, the global loyalty and rewards engagement technology specialist, have extended their collaboration on the successful PREMIO loyalty program for a further five years.

By Martin Smaerup, Head of Sales, Pointspay 

E-commerce sales continue to surge, with global online retail revenue projected to have reached $6.3 trillion in 2023 and grow to an estimated $8.1 trillion by the end of 2024. What's more, cross-border commerce is expected to grow by 108% between now and to 2028. Yet, the unfortunate truth for so many loyalty programs is that they are missing the opportunity to generate significant revenue from and engage members via e-commerce. In short, the relationship is faltering, but the good news is that it's a love story that can be rewritten.

Much of the problem comes down to the fact that consumer behavior has undergone a seismic shift in recent years. Modern shoppers seek convenience, efficiency and of course a good deal. Who could ignore the opportunity to spend less cash while also collecting points or miles? When they wish to purchase a pair of jeans or the latest iPhone, they navigate straight to a retailer, add the item to their basket, and swiftly proceed to the next thing. On the other hand, loyalty programs still rely on legacy technologies such as tracking, leading to a cumbersome and outdated user journey, necessitating multiple clicks and prompting them to consider loyalty points before the actual purchase.

“In today's fast-paced world, loyalty programs must be ever-present, offering a seamless and real-time experience.”

Due to this fractured user journey, only the most astute and dedicated loyalty program enthusiasts actively seek out extra points or miles. The pursuit of these rewards becomes a niche activity. The treasure hunters for miles are few and far between, and this failure to activate the remaining portion of the loyalty program's user base represents a missed opportunity of huge proportions.

Consumers today also demand immediate gratification. They have no patience for completing a transaction and then waiting weeks to receive their hard-earned points or miles. As a consumer myself, I can attest that I may not recall the transactions I made five weeks ago! In today's fast-paced world, loyalty programs must be ever-present, offering a seamless and real-time experience for consumers when they make online purchases.

Plus, many loyalty programs lean on outdated technology that is now reeling from the impact of the demise of tracking cookies. While some influencers claim to have found alternative solutions, they still rely on some form of transaction tracking, forcing customers to navigate through program websites.

Missed opportunities

So, what are loyalty programs missing out on? The answer of course includes revenue, but it extends much further. They are missing out on engagement opportunities, failing to activate their members in their day-to-day lives. These programs are not effectively integrating into their members' household budgets beyond travel-related expenditures. Loyalty currency must become an integral part of a member's life, fostering a continuous connection with the program.

The knock-on effect of this lack of engagement translates to a diminished focus on conquering the e-commerce market, as programs neglect the necessary marketing efforts.

The question remains: How much revenue are loyalty programs missing out on? The answer varies depending on consumer behavior and market dynamics. Over time, Pointspay aspires to capture a significant percentage of the total amount a member spends online. In Europe, this can amount to over €3,000 per member, while in the US this figure rises to $3,500 . And, let's not forget, frequent flyers are THE heavy shoppers, spending some five to seven times more on their credit cards than average consumers in their respective countries.

By ensuring that members earn miles or points on a significant proportion of their online spending, programs can multiply these benefits across their active member base. This discussion primarily focuses on active members, but there's significant untapped potential to activate those who engage with a program infrequently, perhaps only when booking their annual summer holiday. By encouraging them to integrate their household budget into everyday shopping throughout the year, programs can expand their pool of active members, unlocking substantial growth potential.

Building a loyal relationship

So, what can be done to optimize the situation? First and foremost, loyalty programs must position themselves where the consumers are—right at the retailer's doorstep. It has to be effortless and intuitive for consumers to capitalize on what could ultimately be a significant advantage offered by the program. Programs should align with users' natural behavior, motivating and rewarding them through real-time earning in their preferred currency or spending, creating a seamless, user-centric experience.

Real-time engagement is the linchpin. As previously mentioned, consumers will not tolerate delays. They conclude transactions swiftly and move on to the next. By seamlessly integrating real-time accruals with user-friendliness, programs can effectively engage and activate individuals in their everyday lives.

“Pointspay believes that a fully branded program is the way forward. Such branding is not only recognizable to program members but also intuitive for them to utilize.”

Are we at a juncture where a fundamental shift in mindset is required among program owners? Absolutely. The online realm demands a complete shift in perspective regarding what a solution should entail.

Pointspay believes that a fully-branded program is the way forward, providing programs with the opportunity to launch their own, instantly recognizable marketing and payment solution. Such a solution works, as program members understand the essence behind the brand. Of course, this brand needs to be effectively communicated to retailers to encourage the adoption of the payment solution it represents, providing multiple opportunities to engage with both active and dormant members. With a robust business case and a solid partnership in place, substantial revenues can be generated, even in the initial stages of implementing such a solution.

Everyday engagement

If we think specifically about airlines, this shift must coincide with an understanding of the changing behavior of frequent flyers post-pandemic. Virtual meetings and remote collaborations through platforms like Teams, Zoom, and Google Meet have reduced the need for physical meetings and, consequently, travel. As a result, airlines must explore alternative ways to sell miles or points.

Airlines possess a captivating product. Every trip, whether it's a dream vacation or a successful business excursion, leaves a lasting memory. After returning from a vacation, the next day often marks the beginning of planning the next adventure. Airlines can play a pivotal role in nurturing these dreams by contributing to them throughout the year, not just during specific trips. Real-time earning can make programs relevant every day, transforming them from sporadic engagements to daily experiences.

This shift represents the key to mending the fractured love story between loyalty programs and consumers, ultimately building a profound and enduring relationship.

By Martin Smaerup, Head of Sales, Pointspay 

E-commerce sales continue to surge, with global online retail revenue projected to have reached $6.3 trillion in 2023 and grow to an estimated $8.1 trillion by the end of 2024. What's more, cross-border commerce is expected to grow by 108% between now and to 2028. Yet, the unfortunate truth for so many loyalty programs is that they are missing the opportunity to generate significant revenue from and engage members via e-commerce. In short, the relationship is faltering, but the good news is that it's a love story that can be rewritten.

Much of the problem comes down to the fact that consumer behavior has undergone a seismic shift in recent years. Modern shoppers seek convenience, efficiency and of course a good deal. Who could ignore the opportunity to spend less cash while also collecting points or miles? When they wish to purchase a pair of jeans or the latest iPhone, they navigate straight to a retailer, add the item to their basket, and swiftly proceed to the next thing. On the other hand, loyalty programs still rely on legacy technologies such as tracking, leading to a cumbersome and outdated user journey, necessitating multiple clicks and prompting them to consider loyalty points before the actual purchase.

“In today's fast-paced world, loyalty programs must be ever-present, offering a seamless and real-time experience.”

Due to this fractured user journey, only the most astute and dedicated loyalty program enthusiasts actively seek out extra points or miles. The pursuit of these rewards becomes a niche activity. The treasure hunters for miles are few and far between, and this failure to activate the remaining portion of the loyalty program's user base represents a missed opportunity of huge proportions.

Consumers today also demand immediate gratification. They have no patience for completing a transaction and then waiting weeks to receive their hard-earned points or miles. As a consumer myself, I can attest that I may not recall the transactions I made five weeks ago! In today's fast-paced world, loyalty programs must be ever-present, offering a seamless and real-time experience for consumers when they make online purchases.

Plus, many loyalty programs lean on outdated technology that is now reeling from the impact of the demise of tracking cookies. While some influencers claim to have found alternative solutions, they still rely on some form of transaction tracking, forcing customers to navigate through program websites.

Missed opportunities

So, what are loyalty programs missing out on? The answer of course includes revenue, but it extends much further. They are missing out on engagement opportunities, failing to activate their members in their day-to-day lives. These programs are not effectively integrating into their members' household budgets beyond travel-related expenditures. Loyalty currency must become an integral part of a member's life, fostering a continuous connection with the program.

The knock-on effect of this lack of engagement translates to a diminished focus on conquering the e-commerce market, as programs neglect the necessary marketing efforts.

The question remains: How much revenue are loyalty programs missing out on? The answer varies depending on consumer behavior and market dynamics. Over time, Pointspay aspires to capture a significant percentage of the total amount a member spends online. In Europe, this can amount to over €3,000 per member, while in the US this figure rises to $3,500 . And, let's not forget, frequent flyers are THE heavy shoppers, spending some five to seven times more on their credit cards than average consumers in their respective countries.

By ensuring that members earn miles or points on a significant proportion of their online spending, programs can multiply these benefits across their active member base. This discussion primarily focuses on active members, but there's significant untapped potential to activate those who engage with a program infrequently, perhaps only when booking their annual summer holiday. By encouraging them to integrate their household budget into everyday shopping throughout the year, programs can expand their pool of active members, unlocking substantial growth potential.

Building a loyal relationship

So, what can be done to optimize the situation? First and foremost, loyalty programs must position themselves where the consumers are—right at the retailer's doorstep. It has to be effortless and intuitive for consumers to capitalize on what could ultimately be a significant advantage offered by the program. Programs should align with users' natural behavior, motivating and rewarding them through real-time earning in their preferred currency or spending, creating a seamless, user-centric experience.

Real-time engagement is the linchpin. As previously mentioned, consumers will not tolerate delays. They conclude transactions swiftly and move on to the next. By seamlessly integrating real-time accruals with user-friendliness, programs can effectively engage and activate individuals in their everyday lives.

“Pointspay believes that a fully branded program is the way forward. Such branding is not only recognizable to program members but also intuitive for them to utilize.”

Are we at a juncture where a fundamental shift in mindset is required among program owners? Absolutely. The online realm demands a complete shift in perspective regarding what a solution should entail.

Pointspay believes that a fully-branded program is the way forward, providing programs with the opportunity to launch their own, instantly recognizable marketing and payment solution. Such a solution works, as program members understand the essence behind the brand. Of course, this brand needs to be effectively communicated to retailers to encourage the adoption of the payment solution it represents, providing multiple opportunities to engage with both active and dormant members. With a robust business case and a solid partnership in place, substantial revenues can be generated, even in the initial stages of implementing such a solution.

Everyday engagement

If we think specifically about airlines, this shift must coincide with an understanding of the changing behavior of frequent flyers post-pandemic. Virtual meetings and remote collaborations through platforms like Teams, Zoom, and Google Meet have reduced the need for physical meetings and, consequently, travel. As a result, airlines must explore alternative ways to sell miles or points.

Airlines possess a captivating product. Every trip, whether it's a dream vacation or a successful business excursion, leaves a lasting memory. After returning from a vacation, the next day often marks the beginning of planning the next adventure. Airlines can play a pivotal role in nurturing these dreams by contributing to them throughout the year, not just during specific trips. Real-time earning can make programs relevant every day, transforming them from sporadic engagements to daily experiences.

This shift represents the key to mending the fractured love story between loyalty programs and consumers, ultimately building a profound and enduring relationship.

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For a recent episode of the Loylogic Podcast, Olivier Martinet, CEO of Posidonia Consulting and former Vice President of Marketing at BP, joined us to discuss the future of large-scale fuel and mobility rewards programs.

The conversation focused on the evolution of loyalty strategies in the fuel industry, driven by digitalization, the shift towards electric vehicles, and the transformation of fuel companies into energy providers and mobility hubs, and much more.

To listen to the podcast in full, simply click below. Six key route markers that will help loyalty programs navigate the changing fuel loyalty landscape can be found below.

1. There’s no one-size-fits-all approach: Olivier challenged the notion of a universal best-in-class fuel rewards program, emphasizing that success is highly dependent on the alignment between the program, company strategy, and readiness for implementation. He did, however, introduce four pillars that loyalty program owners should consider that will drive success, namely: ease of participation, relevance, personalization, and profitability. By focusing on these four elements, companies can find the right balance between customer advantage and strategic adaptability.

2. Loyalty strategies need to be tailored to company size and scope: The level of focus on the four pillars needs to vary depending on the company's size and global reach. For example, larger organizations tend to have a greater need to balance customer advantage and brand consistency, reflecting a more comprehensive approach to loyalty programs that considers both local and global factors.

3. The shift to electric vehicles will have a profound impact on loyalty: Olivier highlighted the impact of the increasing adoption of electric vehicles on how customers interact with brands – and therefore loyalty. Consumer interaction will change and loyalty programs must adapt to this new behavior.

4. Fuel companies transforming into energy providers: Major fuel companies are repositioning themselves as energy providers, with collaborations and investments in alternative energy sources already underway. This shift suggests a future of potential joint ventures and partnerships, reflecting a broader transformation within the energy sector. This needs to be factored into thinking around loyalty and how both earn and burn of points or miles happens.

5. Extended dwell times and mobility hubs: The rise of ‘mobility hubs’ is impacting loyalty offers. Longer customer dwell times due to electric vehicle charging present new challenges and opportunities for loyalty programs. Companies need to rethink their strategies to engage customers during extended on-site interactions and integrate these experiences with home charging behavior.

6. Personalization beyond marketing: All loyalty programs, regardless of sector, should go beyond marketing and engage in strategic decision-making. Olivier emphasized the wider range of use cases that arise from privileged customer data, including category management, pricing policies and assortment range. As a result, loyalty schemes should be considered as long-term strategic tools that have a seat at the boardroom table.

In conclusion, the future of fuel rewards programs is dynamic and requires companies to adapt to digitalization, changing consumer behaviors, and the broader energy landscape. Success lies in a personalized and adaptable approach that considers both customer needs and long-term strategic goals. As fuel companies transition into energy providers, collaboration and innovative loyalty strategies will play a crucial role in shaping the industry's future.

For a recent episode of the Loylogic Podcast, Olivier Martinet, CEO of Posidonia Consulting and former Vice President of Marketing at BP, joined us to discuss the future of large-scale fuel and mobility rewards programs.

The conversation focused on the evolution of loyalty strategies in the fuel industry, driven by digitalization, the shift towards electric vehicles, and the transformation of fuel companies into energy providers and mobility hubs, and much more.

To listen to the podcast in full, simply click below. Six key route markers that will help loyalty programs navigate the changing fuel loyalty landscape can be found below.

1. There’s no one-size-fits-all approach: Olivier challenged the notion of a universal best-in-class fuel rewards program, emphasizing that success is highly dependent on the alignment between the program, company strategy, and readiness for implementation. He did, however, introduce four pillars that loyalty program owners should consider that will drive success, namely: ease of participation, relevance, personalization, and profitability. By focusing on these four elements, companies can find the right balance between customer advantage and strategic adaptability.

2. Loyalty strategies need to be tailored to company size and scope: The level of focus on the four pillars needs to vary depending on the company's size and global reach. For example, larger organizations tend to have a greater need to balance customer advantage and brand consistency, reflecting a more comprehensive approach to loyalty programs that considers both local and global factors.

3. The shift to electric vehicles will have a profound impact on loyalty: Olivier highlighted the impact of the increasing adoption of electric vehicles on how customers interact with brands – and therefore loyalty. Consumer interaction will change and loyalty programs must adapt to this new behavior.

4. Fuel companies transforming into energy providers: Major fuel companies are repositioning themselves as energy providers, with collaborations and investments in alternative energy sources already underway. This shift suggests a future of potential joint ventures and partnerships, reflecting a broader transformation within the energy sector. This needs to be factored into thinking around loyalty and how both earn and burn of points or miles happens.

5. Extended dwell times and mobility hubs: The rise of ‘mobility hubs’ is impacting loyalty offers. Longer customer dwell times due to electric vehicle charging present new challenges and opportunities for loyalty programs. Companies need to rethink their strategies to engage customers during extended on-site interactions and integrate these experiences with home charging behavior.

6. Personalization beyond marketing: All loyalty programs, regardless of sector, should go beyond marketing and engage in strategic decision-making. Olivier emphasized the wider range of use cases that arise from privileged customer data, including category management, pricing policies and assortment range. As a result, loyalty schemes should be considered as long-term strategic tools that have a seat at the boardroom table.

In conclusion, the future of fuel rewards programs is dynamic and requires companies to adapt to digitalization, changing consumer behaviors, and the broader energy landscape. Success lies in a personalized and adaptable approach that considers both customer needs and long-term strategic goals. As fuel companies transition into energy providers, collaboration and innovative loyalty strategies will play a crucial role in shaping the industry's future.

Loyalty marketing and payment platform introduces a convenient way for SAS EuroBonus members to seamlessly collect and spend EuroBonus Points during their everyday shopping experiences.