Whether you currently have your own loyalty or reward program, or you are considering starting one, here are the Canadian Loyalty Statistics you need to know:

 

1. Canadians are enrolled in an average of 13.5 programs, an increase from 2020 where the average was 10, and seven programs are used on a regular basis. [Leger/R3]

 

2. Canadians tend to be more loyal to brands whose loyalty programs they use. As many of 75% of consumers define loyalty as participating in a rewards program. [KPMG]

 

3. 63% of Canadians say they modify the amount they spend to maximize the benefits they receive and 77% say Programs make me more likely to continue doing business with Brands. [Bond Loyalty]

 

4. Canadians are among the most active loyalty program users in the world, with 56% making purchases that earn rewards or benefits several times a week. [KPMG]

 

5. 72% of Millennials and Gen Z, 68% of Generation X, and 57% of Baby Boomers and Traditionalists indicated they are more likely to buy from retailers or brands offering loyalty or rewards programs. [Statista]

 

Quote: Canadians are more likely to buy from retailers and brands offering loyalty or reward programs.

 

6. Loyalty programs have been entrenched in the Canadian retail landscape ever since the introduction of Canadian Tire money in 1958. A recent study found that Canadians today have almost 130 million memberships. [PWC]

 

7. Research shows repeat customers are much more valuable than new ones. The probability of selling to a returning customer is 60-70%, while the probability of selling a product to a brand-new customer is only 5-20%. [Altfeld]

 

8. During a survey conducted among Canadian consumers in 2020, 82 percent of responding Canadians were willing to pay more in support of products or services from companies and brands they trusted. [Statista]

 

9. 58.7% of internet users worldwide stated that earning rewards or loyalty points is one of the most valued aspects of their retail shopping experience, second only to a quick and easy check-out. [eMarketer]

 

10. Canadians rank product quality (74%), product consistency (71%), and value for money (60%) as their top three brand loyalty considerations. [KPMG]

 

 

A loyalty or reward program can help a business achieve so many different goals

No other marketing tool can impact so many business goals and integrate into everything a business is already doing this easily.

 

Revenue Growth

  • Attract new business
  • Stand out from your competition
  • Get noticed online
  • Increase sales
  • Increase average spend and purchase frequency
  • Increase sales conversions online
  • Reduce cart abandonment

 

Customer Acquisition and Retention

  • Improve customer satisfaction
  • Drive endorsements and referrals
  • Get repeat customers
  • Increase a customer’s lifetime value (CLV)
  • Grow your database
  • Improve your margins

 

Employee Program

  • Attract top talent
  • Retain great employees
  • Improve employee performance
  • Drive higher employee productivity
  • Increase employee training completion and engagement

 

B2B

  • Get long term commitments from business clients
  • Get paid faster
  • Encourage electronic invoicing and payments
  • Reduce accounts payables and collections
  • And more…

 

Example of results from a Loyalty or Reward Program

  • Average collector transaction size grew
  • The number of transactions by collectors grew
  • Gross sales by collectors grew
  • AIR MILES customers traveled longer distances to the business compared to average customers
  • Moved more merchandise at a lesser cost than the cash discount
  • Collectors spend more than non-collectors, plus their spending can be substantially increased during promotional periods.
  • Increase in visits during the promotion period
  • Reward offer was chosen more than the discount offer, and cost the least for the retailer
  • More test drives converted to sales
  • Buyers from the test drive offer had never purchased the brand before
  • Test drive customers opted-in to ongoing communications
  • Increase in units sold year over year
  • Car buyers chose in-house financing
  • Increase in monthly quotes
  • Increase in net new policies
  • The number of transactions increased from the previous year
  • Customers spending more than before the Program was implemented
  • More cardholders than non-cardholders had their vehicle serviced twice that year
  • Sold significantly more units than the usual on a Friday morning at a trade show
  • More customers chose Miles over cash or gift cards
  • Miles cost less than cash incentives and gift cards
  • YOY total revenue growth
  • Customer base and average revenue per user increase
  • Increased incremental revenue across all targeted collector segments and generated positive ROI
  • Collectors said incentives helped them engage in physical activity at the facilities more often
  • Free hearing test offer converted to sales
  • Collectors more likely to purchase two units instead of one when compared to non-collector
  • 6x more transactions during the promotional period compared to the same period the year before
  • Increased their purchases YOY compared to non-collectors
  • Emails branded with the reward program had a higher click-through rate
  • Higher employee retention rate
  • Savings in recruitment, training, and operational costs
  • Reduced workplace injuries and increased employee engagement
  • Significant WSIB rebate
  • Positive ROI with happy and safe employees

 

 

Need help starting your Loyalty or Reward Program?

It’s no secret that reward programs have become an essential part of any marketing tool kit in a modern marketplace where consumers have endless choices and information at their fingertips – literally from anywhere, thanks to mobile phones.  Businesses across Canada envision starting their own reward programs and quickly learn it is not a simple endeavor. There are a few alternatives to building your own reward program.

 

Having the AIR MILES Reward Program is one of the options thanks to AIR MILES INCENTIVES®, a tailored and flexible solution made specifically to meet the needs of small to medium-sized businesses*. Our team members have a combined 60+ years of reward program knowledge and experience. We have built programs for over 500 businesses over the last 13 years. Every one of them has been entirely customized to the specific circumstances and goals of that unique business.

 

Discover how having the AIR MILES Reward Program can grow your business!

 

 

 
Click here to learn How to Become an AIR MILES Partner

 

 

Get a free consultation and learn what air miles can do for your business!

 

 

 

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