What's in it for me?
A survey of 1,004 British consumers carried out by One4all Rewards for the Consumer Rewards Review revealed that more than 1 in 4 (25%) now expect to be offered some sort of gift or offer, in exchange for their loyalty to a brand.
The data uncovered a pocket of ‘reward shoppers’ within the UK consumer market, revealing three million will actually refuse to purchase certain products or services unless they are offered a reward or incentive for doing so.
According to the research, the UK market for consumer incentives is now estimated at £941m - and with 20% of consumers expecting the number of companies participating to increase, this is likely to rise further.
Declan Byrne, Managing Director, One4all Rewards, said: “In the past decade, we have seen dipping consumer confidence and reduced spending, so businesses have had to work harder to win their custom, introducing more offers and incentives for making purchases or taking out new contracts. We have also seen these types of offers increasing in profile via big budget advertising campaigns, such as those by brands like CompareTheMarket.com and Confused.com."
“As such, British shoppers have become used to being rewarded for their business - as the data clearly shows, they now know the value of their loyalty and are becoming more bullish about their spending power. The question for companies is now not what they can expect to gain from offering these kinds of incentives - but what they stand to lose by not doing so.”
The products and services which are most often penalised by consumers for offering a lack of rewards and offers are bank and building society accounts and other consumer-facing financial services products, with seven percent confessing to doing this.
These were closely followed in joint-second place by food and drink products, insurance packages and flights and hotel stays (6.57%), telecommunications products and services such as TVs, mobile phone and internet contracts and vehicles (both 6.27%).
One4all Rewards are industry experts in benefits and rewards. Working with over 6,000 businesses of all sizes nationwide, One4all Rewards helps to transform customer and employee relationships through successful rewards and incentive schemes.