A survey of 2,250 airline and hotel loyalty programme members across the US, UK, UAE and Singapore from Collinson Latitude, part of Collinson Group, reveals that most travellers expect greater choice and flexibility in how they redeem their loyalty currency.
The research reveals that three quarters of loyalty programme members are looking for more choice of rewards besides the traditional offerings of flights and hotels, with more than half (52%) of respondents describing redemption programmes only offering these rewards as ‘dated’ and ‘old fashioned’.
In addition, the study also reaffirms the clear commercial benefit for travel loyalty programmes providing a broader redemption offering, beyond their core inventory. A total of 51% of airline members went on to book a flight and 53% of hotel members went on to book a hotel room (core inventory) following a redemption on non-core inventory rewards such as electrical goods or day experiences.
Now in its second year, ‘The Value of Redemption’ survey also showcases the particular value of a broader redemption proposition for both inactive, as well as those members living outside of the programmes core domestic market.
This year’s study also finds that almost seven in ten of airline and 64% of hotel loyalty programme members would like to be able to redeem their points in retail outlets and more than half (58% of airline and 48% of hotel members) agree that that the value of a loyalty programme decreases if they cannot redeem points in-store.
Guy Deslandes, the company's e-commerce sales director, said: “These findings show that travel loyalty programme providers must extend their member engagement capabilities so they can cater for the changing and ever increasing expectations of their members.
"Members want their programmes to provide them with experiences and rewards that suit their lifestyle so it’s imperative that loyalty programme providers have an ecosystem that allows for increased engagement touch-points. This is a huge opportunity for brands, as we all look to intertwine more tightly to our member’s everyday lifestyles.”
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