Highlights of the week (June week 1)

??Singapore’s first multi-industry flexible on-demand gig work platform, JoD, launched a rewards program.

JoD, Singapore's first on-demand and gig work platform, reveals that 80% of blue-collar gig workers do not have benefits and are being provided with rewards. To address this, they announced a rewards program that they believe will benefit over 60,000 employees in the country. JoD is Singapore's first multi-industry flexible on-demand gig work platform, and it has launched JoDRewards, an initiative that not only rewards users for completing jobs on the platform but also provides workers with gig economy benefits. This idea was sparked by a local survey of 1,000 people, which found that eight out of ten gig workers reported a lack of traditional employment benefits. Calls for changes in work-life balance and mental health recognition also increased nowadays, resulting in an increase in employees transitioning to gig work despite giving up the stability and security of full-time jobs. Gig workers also frequently dip into their savings to cover various expenses, and they are typically considered the most financially stretched group due to the rising cost of living. This JoD rewards program is designed to solve this main issue, ensuring the well-being of gig workers from a variety of industries by providing them with a comprehensive suite of benefits tailored specifically to their needs. The programming ecosystem also includes a variety of sponsored and redeemable rewards on the platform which foster a thriving ecosystem that has the potential to improve people's quality of life. Since its launch recently, JoDRewards has sponsored over $400,000 in Group Personal Accident and Group Public Liability coverage for over 300 jobs. Since its soft launch last month, JoDRewards has accumulated approximately 60,000 members, over 1,000 active engagements, and a redemption of 65,000 points, equivalent to $12,755. The program also saw strong participation in challenges, with hundreds of members participating last month, with the highest number of vouchers redeemed by one JoD member being $380 in grocery vouchers, which is more than Singaporeans' monthly average of $211. By the end of the year, the company intends to expand its offerings to include benefits such as extended medical leave coverage and the first-ever worker and hiring manager cancellation coverage in Southeast Asia.?

??Nigerian’s effort to reward dedicated painters through a new rewards initiative

A Nigerian top paint and coatings manufacturer, Chemical and Allied Products, known more commonly as CAP, recently announced a unique rewards program initiative developed to recognize and celebrate dedicated painters who bring their expertise and choose CAP products for their projects. The program demonstrates the company’s appreciation for the “skilled professionals who bring life and vibrancy to spaces around the world”. Through this program, painters can now earn valuable rewards for every purchase from Dulux paint store locations across the country. To participate in the program, painters simply register with their phone numbers and become members, who are automatically eligible to earn points that can be redeemed for a variety of enticing rewards and prices. CAP's Capability Development Manager stated during the program launch that the company wants to continue to value the dedication and expertise that painters in the country bring to their craft, and this program is primarily designed to recognize that. It is also a way for the company to express its gratitude to each painter who chooses CAP for their artwork, as well as a great way to strengthen its relationships with these painters. CAP has already established itself as a leading provider of paints and coatings in Nigeria, and this rewards program appears to be a significant step toward strengthening its position in the country.?

??Airbnb considers an Amazon Prime-like membership as a rewards initiative

Airbnb considered expanding its business through a rewards program similar to Amazon Prime's. This decision was also made after its CEO and co-founder, Brian Chesky, stated that a point-based reward scheme is not in the company's future, and they intend to follow Amazon Prime's lead in developing a paid membership. An initiative to reward customers is an intriguing idea for the company, and they are currently attempting to do something more personalized that will allow them to better understand their customers, and the one from Amazon Prime is the one that they are experimenting with. The model is thought to be compelling and will generate more revenue, which will be used by the company to provide better service. The concept of creating a rewards program is also something that the company has experimented with over the years. In previous years, they once asked their customers what the company should launch next, and a rewards program was the overwhelming response. Receiving overwhelmingly positive feedback from its customers, the company asked again if it had a membership program, and what kinds of rewards they desired. A guest rewards program received a huge response, with many saying that they would like to be rewarded with rate discounts, free nights, or room upgrades. While the idea of launching a rewards program has received positive feedback, some have questioned whether Airbnb actually requires one. It’s because Airbnb is an industry behemoth with little competition, boasting six times as many listings as its competitors. The company could continue to expand to unusual opportunities and it would be a success as well. The CEO concluded the statement by stating that they promise to do everything possible to entice people to return and ensure their stay using Airbnb. He also teased that the company will eventually have something created but it definitely won’t be a points program.

??Walmart confirms changes for its cashback rewards program policy due to a lawsuit?

Following a lawsuit with its former business partner, Capital One, Walmart announced a significant shift in its cashback rewards program policy.? Previously, Walmart and Capital One worked together to create a credit card rewards program, but because their card partnership ended earlier than expected in 2026, the popular chain decided to change its rewards program and some of its policies. Both companies confirmed the news in a recent joint statement to their members. The partnership ended after Walmart sued Capital One last year, alleging that Capital One took too long to process payments and mail replacement cards. After the end of the partnership, Walmart has made a few changes in recent months, including to its reward program policy. Members of previous card programs could receive cashback on both in-store and online purchases, but this has changed recently. The company has announced that reward coupons will no longer be honored. Previously, they would honor coupons at their full value, which meant that if the coupon was worth more than the items purchased, the customer would get their money back. The coupon's value will now be applied up to the item's price, with any excess value not being applied to the total transaction. There will also be no more coupon overrides, which means that the register will determine whether or not the coupons are valid, as well as mismatch coupons, which will no longer be accepted due to scam concerns. Besides changes to its reward program, the company also announced different plans to support its business operation, including the opening of 40 mini-offices across the nation to help make delivery much faster. They also experimented with making the shopping experience inside stores more accessible to people with sensory disabilities by creating a less stimulating environment for a few hours, particularly on weekends.?

Despite the interesting topics discussed above, we also have some additional "news worth reading" about rewards program advancements below.

??The importance of creating next-gen value exchanges for rewards program members

As the world evolves and becomes more modern by the day, so does the world of rewards programs, with customers' demands constantly being refreshed and reinforced. Nowadays, brands feel compelled to commit and meet increasingly high customer expectations. They must deliver value in an era where people have little time to interact with brands and have high expectations. Customers now have higher expectations of brands, particularly because they are willing to give these brands their data, but in return, they demand some value that they can get or exclusive rewards in return. One of the most common ways that brands can give back to customers is by ensuring that their transactional behavior is seamless at all key touchpoints, whether digital or physical. It is also critical for brands to prioritize instant gratification, deliver expectations more quickly, and make both the earning and redeeming processes as simple as possible. Aside from that, data privacy can be a valuable benefit that brands can provide to their customers, especially as its implementation has grown in importance in recent years as a result of a greater emphasis on consent and security. Data privacy in a rewards program can be clearly demonstrated by the collected consent and the ability to provide personalized offers through first-party and even zero-party data that they get from customers. Other than that, value exchanges can be delivered through services, products, listed merchants, tokens, cashback, rewards, and many other channels. Many brands tend to focus on top-tier gold members or high transaction volumes, while sometimes the simplest reward is more valuable and better.? The use of AI and machine learning could also be a great way for brands to deliver value today, as these technologies have become deeply integrated into many aspects of people's lives.?

??How to build an effective rewards program?

In today's digital age, rewards programs have proven to be beneficial, particularly in helping brands incentivize repeat purchases, increase customer lifetime value, and provide businesses with invaluable data for personalized marketing. Rewards programs were once a simple system designed to provide customers with additional incentives for making purchases, but they have since become central to business models in many industries. It’s important for brands to balance costs and benefits when developing an effective rewards program that supports their objectives, preserves brand equity, and keeps users engaged. Effective rewards programs are those that successfully combine tangible and emotional incentives to keep customers engaged, and brands must strike the right balance with their rewards initiatives. They also typically combine a points system that rewards dollars spent with a hierarchy of tiers, with the goal of creating financial incentives through discounts and cash, as well as forging emotional connections with customers through special gifts and VIP benefits. The more effective a rewards program, the more popular it may become, as they typically provide unique benefits that have become the subject of online buzz for consumers, driving user-generated content about free gifts and optimizing points. The use of an effective rewards program is also important, especially due to customer acquisition costs that fluctuate dramatically driven by changes in social media algorithms and advertising markets, prompting businesses to prioritize repeat purchases and the concept of customer lifetime value. Many customers today are more likely to make repeat purchases from a brand or retailer if they are members of its rewards program. Additionally, brands can effectively use data collected from rewards programs to target consumers with personalized messaging, ranging from simple email campaigns to AI-driven product displays on a brand or retailer app. Many brands are also turning to rewards programs because they are now easier than ever to set up, thanks to the rise of new tech platforms and startups that can assist businesses in this area. Effective rewards programs typically include unique features and relatable practices for their reward members, and developing one will undoubtedly assist businesses in attracting new customers, retaining existing customers, and standing out in a fast-paced environment.?

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??Experts state that rewards programs need to evolve

Many rewards programs in the global market, including in Australia, are failing to innovate, putting them at risk of becoming obsolete as consumers gravitate toward brands that provide more relevant, engaging, and convenient experiences. Many experts in the country expressed their concerns, stating that businesses must constantly innovate and adapt to keep up with changing consumer behaviors, especially since frictionless experiences and hyper-personalization have become significantly more important. Consumers nowadays increasingly embrace and become accustomed to seamless digital experiences, especially when using sophisticated handheld devices. Their expectations for seamless digital engagement have extended to their shopping experiences, both in-store and online. The changing competitive landscape is also intensifying, with new entrants frequently employing cutting-edge technology to gain market share. These changes have created new challenges for established brands, which must constantly update and reinvent their rewards in order to retain existing customers and attract new ones. Brands can take a range of initiatives for their programs, from hyper-personalization to using AI to integrate rewards across a larger ecosystem of services and products. These strategies have become one of the most important attractions for ensuring that brands remain relevant at the top of mind among consumers. Rewards programs can also be made more digital by integrating them into mobile applications and cutting-edge technologies to provide members with a streamlined way to track points, receive updates, and receive rewards. Businesses that invest in digital rewards programs can meet the expectations of modern customers, who are used to receiving quick service and responses in other areas of their lives.? Experts also believe that digital rewards programs add significant value in today's economic climate, where many consumers face financial pressures. In the end, the rewards program must evolve to keep up with what customers want today by focusing on both physical and digital initiatives.?

??Do recent World of Hyatt changes signal the demise of the hotel loyalty program?

Over the last year, World of Hyatt has made several changes to its rewards program and portfolio, which unfortunately raises concerns about whether the beloved program is no longer the darling of the hotel industry. Hyatt and MGM Resorts International announced the end of their strategic partnership recently, which was also followed by Hilton a few months later. Hyatt mitigated this loss by introducing its first batch of Mr & Mrs Smith properties under its corporate umbrella. However, because the participating Mr & Mrs. Smith properties do not adhere to the standard World of Hyatt reward chart, Hyatt valued customers and members questioned whether the hotel brand was moving towards dynamic pricing, which sometimes could suddenly double the price people expect. Many reward travelers were disappointed that Hyatt used dynamic award pricing for Mr. and Mrs. Smith. When Hyatt purchased the luxury and boutique hotel booking platform, many people expected it to include the frequently intriguing Mr & Mrs Smith properties in its reward program. While some aspects of the offerings remain intriguing, this change has been viewed as a bad decision by the company due to the lack of significant elements that Hyatt typically operates with. It is because valued members will not receive many of the Hyatt elite benefits that they typically receive at other hotel partners when staying at Mr & Mrs Smith properties. There is a lot of talk in the reward travel community about this being a case of a “canary in the coal mine”, which means that something bad will happen soon. Many concerns were also expressed regarding the loss of partnerships, which resulted in fewer opportunities to earn and redeem Hyatt points. Hyatt's vice president of global marketing stated that the company will continue to look for ways to improve guest and member experiences, particularly for its most valuable elite members, while also providing something worthwhile to each traveler and member. The World of Hyatt rewards program itself remains significantly smaller than its primary competitors, with 46 million members compared to 203 million for Marriott Bonvoy and 190 million for Hilton Honors.?