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Most US consumers (57%) join brand loyalty programs—both card-based and digital—to receive discounts on products and services, according to a recent report from TechnologyAdvice.

The second most-cited reason for participation in loyalty programs (38% of survey respondents) is to earn benefits, such as points that can later be redeemed for rewards.

Earning VIP status is the distant third most-cited reason for participating in loyalty programs (4% of respondents), followed by social recognition rewards, such as FourSquare badges (0.8%).

Below, additional key findings from the report, which was based on data from a survey of 387 loyalty program users in the United States.

Digital vs. Card-Based Programs

Consumer preference is roughly split between fully digital programs (those that exist only as apps or Web programs) and card-based programs; 30% of consumers are undecided, or have no preference.

Mobile Apps

Some 59% of respondents say they would be more likely to join a loyalty program that offers a smartphone app.


A large majority (82%) of respondents say they are "more likely" or "much more likely" to shop at stores that offer loyalty programs.

About the research: The report was based on data from a survey of 387 loyalty program users in the United States.

Continue reading "Why Consumers Participate in Loyalty Programs" ... Read the full article

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image of Ayaz Nanji

Ayaz Nanji is a digital strategist and a co-founder of ICW Media, a marketing agency specializing in content and social media services for tech firms. He is also a research writer for MarketingProfs. He has worked for Google/YouTube, the Travel Channel, AOL, and the New York Times.

LinkedIn: Ayaz Nanji

Twitter: @ayaznanji