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500friends, a Merkle Company Launches New Global Research on Customer Loyalty for Retail

April 10, 2017
Columbia, MD

Merkle announced that it has released a new report, The Great Loyalty Reset: Defining the Future of Loyalty for Retail and CPG brands, which provides new recommendations for loyalty program managers as they navigate a constantly evolving marketplace and a global pool of consumers whose shopping behaviors can be unpredictable.

Based on a survey of 200 loyalty program managers and 1,000 consumers in North America, Europe, UK and Asia, the 2017 study reports that a reset is critical for brands that do not currently have the ability to gather, analyze, and average customer data, and it urges the loyalty industry to re-examine the current state of program effectiveness across a variety of parameters. Repositioning for a “connected loyalty” calls for new ways of developing, delivering, and measuring success for today’s loyalty programs. Case studies from UGG Rewards and 1-800-FLOWERS.com Inc. also provide compelling examples of "connected loyalty" in today's retail environment, reinforcing how consumers now rely more on connected mobile devices to shop, and how they interact with retailers and brands across multiple touchpoints and channels.

 “Today’s loyalty programs must evolve to capture the opportunity that digital marketers have created for retailers around the shopping experience. Consumers demand a personalized and memorable engagement with a brand,” said Michael Hemsey, president of 500friends, a Merkle company. “It is clear from our study that loyalty programs have been undervalued for their impact on overall brand health and growth.”

In support of the research findings, Merkle is hosting a complimentary webinar led by Allison Cripps, senior director of loyalty strategy at 500friends, a Merkle company. The webinar will take place on Wednesday, April 19, 2017 at 2:00 pm ET.

During the webinar, attendees will learn about:

  • The Loyalty Disconnect: While loyalty program managers profess to have a 360-degree view of their members, consumers say they often feel as if "the brand doesn't get me."
  • Financial Impact: 50 percent of consumers have quit a loyalty program, and those who leave are prone to shop less with the brand or abandon it entirely.
  • Increasing lifetime value: 86 percent of consumers who like a loyalty program will shop more, and of those, 58 percent will shop 15 percent or more with their retailer/brand of choice.


About Merkle

Merkle is a leading data-driven, technology-enabled, global performance marketing agency that specializes in the delivery of unique, personalized customer experiences across platforms and devices. For more than 30 years, Fortune 1000 companies and leading nonprofit organizations have partnered with Merkle to maximize the value of their customer portfolios. The agency’s heritage in data, technology, and analytics forms the foundation for its unmatched skills in understanding consumer insights that drive people-based marketing strategies. Its combined strengths in performance media, customer experience, customer relationship management, loyalty, and enterprise marketing technology drive improved marketing results and competitive advantage. With 7,000 employees, Merkle is headquartered in Columbia, Maryland, with 21 additional offices in the US and 33 offices in Europe and APAC. In 2016, the agency joined the Dentsu Aegis Network. For more information, contact Merkle at 1-877-9-Merkle or visit www.merkle.com.

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