Consumers have opinions on just about everything. So, what if a company’s loyalty program rewarded customers for the opinions that matter most to the business?
Loyalty programs have traditionally focused on rewards and points for purchasing behavior. As a consumer, I try my best to be savvy about participating in loyalty programs of brands I consistently buy from.
A program I am highly engaged with is the Southwest Rapid Rewards program. I have a Southwest credit card, and like most millennials, I typically prefer being rewarded with experiences.
Because I do my best to get the most out of the loyalty programs I participate in, I pay close attention to the communications I receive from brands I'm subscribed to. That's why this recent communication from Southwest caught my attention:
The email invited me to be part of a select group asked to participate in Southwest's Rewards for Opinions panel. This offer gives the opportunity to take surveys on your own time and -- this is the key part -- receive Rapids Rewards points for completing each survey.
Rewarding customers with points in exchange for their feedback can be an effective strategy for keeping already loyal customers increasingly engaged for a few reasons:1. Rewarding for feedback makes customers and program members feel valued and special.
The language in the Southwest email presents the Rewards for Opinions panel as an exclusive group. When I saw that the panel was “by invitation only” I got the sense that I’m a valued customer because I was selected and invited to participate in this program. Likewise, the phrase “your opinions are worth thousands of points” tells the customer that their feedback on the brand experience literally has a dollar value.
To add to that sense of value, brands could consider ramping up the element of status by inviting top point earners to a “most valued customers” opinion panel, including formal invitations and a surprise gift for participating.
2. Member surveys provide insights about consumers and their demographics that companies and brands can use to shape future business initiatives.
Many of the surveys in the Rewards for Opinions portal asked about my demographics, spending habits, and much more.
A brand can leverage these surveys to collect new kinds of customer data that loyalty programs do not usually collect. That information can, in turn, be used to make the loyalty program even more personal. The survey information can also be used by brands to further segment their customers and provide more insight into their spending habits and purchasing decisions. And by positioning the surveys as a tool to provide them with a better brand experience, it’ll be much easier to get a high level of engagement and candid response.3. Points for surveys help members increase their earn velocity.
While I am active in my Southwest Rapid Rewards account, I don’t travel often enough to accumulate as many points as I’d like. The Rewards for Opinions panel makes it easier for me to quickly earn points without a huge time commitment.
Based on new consumer research data from Maritz Motivation, the most common reason for disengaging from a loyalty program is rewards/benefits being too hard to earn or taking too long to earn -- 44% of consumers rank it as their top reason for quitting a program. Member surveys provide an additional, quick way for members to earn points. If a consumer doesn’t travel frequently like myself, it might be hard for them to earn points. If they were given the option to take surveys to earn points, they could earn and redeem more frequently.
Adding a survey element to a loyalty program is a great way to diversify loyalty program offerings, gather information about your customers, and increase engagement within your loyalty program. Brands should consider this in their program design to further drive engagement and loyalty.
Do you receive rewards for providing customer feedback? If so, which programs do you participate in?