What: Weekly insight on US retail loyalty programs from Sujeet Naik at Coresight Research.

Why it is important: Loyalty programs are pivotal for US retailers to gather crucial consumer data, personalize marketing efforts, and increase sales. Understanding current consumer desires and trends helps retailers adapt and enhance these programs effectively.

In this week's Analyst Corner, Sujeet Naik delves into the evolving landscape of US retail loyalty programs. The discussion is anchored by findings from a recent Coresight Research survey, indicating that 57% of loyalty program members tend to spend more with the retailer after joining. This edition explores the impact of loyalty programs in gathering first-party consumer data crucial for personalization and compliance with privacy standards. The primary consumer incentives include discounts, free shipping, and earning points, but experiential rewards are becoming increasingly important for fostering long-term customer loyalty. The report also highlights emerging trends in loyalty programs, such as the integration of sustainability and the use of AI to enhance personalization and engagement. The insights provided are crucial for retailers looking to adapt to the dynamic retail environment and optimize their loyalty strategies to boost customer retention and sales.

Analyst Corner—blending monetary rewards, experiences and technology