New Retail Report: Customers Are Looking For More Value Out Of Loyalty Programs

Dec. 5, 2019
CFI Group
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ANN ARBOR, Mich., Dec. 4, 2019 /PRNewswire/ -- A new retail report by CFI Group and Radial shows that 38% of customers generally avoid participating in retail loyalty programs. Many customers just don't see enough value being offered in loyalty programs to make it worth joining.

Retailers have an obvious incentive to add more customers to their loyalty programs. Our study shows that retail loyalty members are 12% more satisfied, 10% more loyal, and 13% more willing to recommend a retailer than other customers. The study also suggests tangible ways retailers can attract more customers to their loyalty programs.

For consumers who do not join loyalty programs, 53% say it is simply because they do not like giving out their personal information or are concerned that their identity could get stolen. To reach these customers, retailers can better operationalize and promote their fraud protection services so consumers can be assured that their personal information will be protected.

Another 39%, however, do not sign up for loyalty programs simply because they don't believe loyalty programs are worth it. Retailers need to find ways to make these programs relevant to consumers.

"Retailers understand that they need to offer meaningful options to meet their customers' needs," said Carey Stoker, Senior Vice President, Customer Care Services at Radial. "Faster delivery and flexible returns are important, but equally important, if not more so, is equipping customer care agents with the ability to immediately recognize the customer as a loyalty member and provide personalized service for that customer. A personalized experience not only enhances loyalty but drives additional revenue for retailers."

Our study points to three specific actions retailers can take to make their loyalty programs more compelling.

  1. Offer a faster delivery option. 63% of all retailer customers say offering faster delivery influences them to sign up for a retail loyalty program.
  2. Offer personalized customer service. 41% of retail loyalty members say that being recognized by the customer care agent makes it much more likely that they will make more purchases in the future.
  3. Offering fast and flexible returns and exchanges. 55% of retail loyalty members are more likely to purchase from that retailer again when given multiple return options

Click here to download the report, or visit to find other retail research.

About CFI Group (

Since 1988, CFI Group has delivered customer experience measurement and business insights from its Ann Arbor, Michigan headquarters and a network of global offices. As founding partner of the American Customer Satisfaction Index (ACSI), CFI Group is the only company within the United States licensed to apply customized ACSI methodology in both the private and public sectors. Using patented technology and top research experts, CFI Group uncovers the business drivers and financial impact of customer experience.

About Radial (

Radial, Inc., a bpost group company, is the leader in omnichannel commerce technology and operations. Premier brands around the world confidently partner with Radial to deliver their brand promises, anticipate and respond to industry disruption, and compete in a rapidly evolving market. Radial's innovative solutions connect retailers and customers through advanced omnichannel technologies; intelligent payments and fraud protection; efficient fulfillment, supply chain services; and insightful customer care services – especially where high-value customer experiences are critical. We are flexible, scalable, and focused on our clients' business objectives. Learn how we deliver today's retail for you at and follow us on Twitter @radialcorp.


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