Loyal Flush...
The concept of loyalty has been played out by businesses across the nation that have taken a coveted definition of allegiance and created programs that defy the solidarity that is loyalty.
Defined - loyalty - a strong feeling of support or allegiance.
Its synonyms better define loyalty as being faithful, adhering, and having an allegiance to something or someone. To have an allegiance to something, as used in our pledge to our country, is to make a promise. All of this sets a foundation for a conversation of loyalty in consumerism.
Loyalty programs are everywhere. There are loyalty programs at every store we shop, from gas stations to grocery stores to hotels. Owners franchise brands for the benefit of being a part of a loyalty program that will allow the owner's business to be grouped under a brand with a powerful loyalty program. The lure to the owner is to attract an audience through its affiliation that it otherwise could not attract on its own.
From a business perspective, loyalty programs are a balance of providing benefits to those consumers who frequent their business to encourage more use through the promise of free stuff. The competition to provide the most robust program at the lowest cost is a full-time job (or the equivalent of many full-time jobs) for brands. The winner inevitably is the consumer that can belong to all loyalty programs, choosing one over another based on what's in it for them.
Wait…but that is not loyalty or allegiance…it's fickle, "lacking firmness or steadiness."
From a consumer perspective, we all belong to numerous "loyalty" programs. One look in your wallet (or in your loyalty card app), and the choices play out like a full deck of cards; 52 programs, some of the same suit, others in the same family, and when used strategically, can play out like a Royal Flush! What is loyal about that??
This leaves us to wonder what we are truly loyal to from both the business and consumer points of view. Who you are loyal to is likely less of a conundrum than who is loyal to you. We expect those loyal to us to fulfill a promise of adherence as has been defined in building the relationship. One search on loyalty and friendship on the internet yields words like honesty, trust, reliability, and someone that always has your back. Conversely, if we apply those exact words to business, do they evoke the same emotion? We, as consumers, expect businesses to be honest, trustworthy, and reliable; however, do we offer the same? Suppose we sign up for a loyalty program. Are we pledging allegiance to that business, or are we taking advantage of the benefits of the moment, collecting rewards for the sake of being at the register? We all know this is not a question, as again, one look at the hordes of loyalty programs that we belong to tells us that our loyalty to businesses is a very different definition than that we use with friends.
The work on loyalty is that of the business in better understanding those consumers that are, by definition, truly loyal to them. Who are they? Why are they loyal? Instead of offering triple points, free upgrades, and more free stuff to attract a loyalty member, what about working to gain a loyal following of people who frequent your business because of the things your business intrinsically offers? When I think of those businesses I am loyal to, it has little to do with a loyalty program that offers me free stuff and more about how that business fulfills my needs for that product.
Who are you loyal to, and why?
- I am loyal to the grocery store I shop at, even though I know the prices are higher and devoid of any loyalty program. Why? Because of the service, the cleanliness, the quality of the food, and yes, because the music makes me want to sing through the aisles.
- I am loyal to the clothes store I frequent because they make my ever-changing figure look presentable for every occasion. They display the clothes in an orderly fashion that feels less like thrift store shopping without the department store prices.
- Despite where she works, I am loyal to my hairdresser because she knows how to make my type of hair look presentable when 40+ years of other hairdressers couldn't. I don't care what she charges me, and I will always adhere to her schedule despite my own.
Business owners trying to get awareness in the wild, wild west of loyalty programs need to ideate less about giveaways and more about why they are in the business they are in, to begin with, and spend their ideation on improving their service to make it unthinkable for the consumer to consider going elsewhere.
Consumers will continue to sign up for loyalty programs that will have little to do with who they are loyal to, for those who are allegiant don't need a program to get them back. The loyalty program is the service, product, and brand consistency regardless of the membership card. We owe it to the very definition of "loyalty" to give it back its crown and robe as we have stripped it of its richness through marketing tactics that play on those words that evoke the most significant emotion.
Life as I see it - Lori Kiel