Loyalty programs are initiatives created by companies to reward customers who make frequent purchases or use services regularly. These "rewards" can range from discounts on future purchases and accumulating points to exchange for products or services, to access to exclusive promotions.
Brazilian retail, which accumulated growth of 5.6% in the year up to May, according to data from the IBGE's Monthly Trade Survey, has been recovering consistently in 2024. Sectors such as hypermarkets and supermarkets, responsible for 54.7% of sales volume, showed an increase of 2.6% in the last two months.
In this sense, loyalty programs can be a strategy to encourage frequent purchases and strengthen customer loyalty. These programs help direct customer choices towards establishments where they already accumulate benefits, contributing to maintaining the growth cycle of the retail sector.
According to research by the Brazilian Association of Loyalty Market Companies, more than 80% of consumers prioritize companies that offer loyalty programs, considering these initiatives a positive aspect of their relationship with the brand. The preference for companies that provide benefits has grown, increasing from 72% in 2022 to 85.2% in 2023.
“Loyalty programs are a two-way street. While companies can increase customer retention and strengthen brand loyalty, consumers have the opportunity to save money and access exclusive benefits,” comments Mauricio Stainoff, president of the Federation of Chambers of Retail Leaders of São Paulo.
Benefits for consumers
The benefits offered by loyalty programs are varied and often aligned with the needs and preferences of consumers. Here are the main ones:
- Discounts on Future Purchases: Many programs offer discounts on future purchases, providing direct savings for the consumer. This can be especially advantageous for products the customer already intended to buy.
- Points Accumulation: Another common advantage is the accumulation of points that can be exchanged for products or services. Each purchase made by the consumer accumulates a certain number of points, which can later be used to obtain items for free or at a discount.
- Free Shipping: In e-commerce-linked programs, free shipping is one of the most appreciated rewards by consumers. Savings on shipping costs can be a significant factor in the purchase decision.
- Exclusive Promotions: Many loyalty programs offer early access to promotions or product launches, allowing consumers to take advantage of offers before the general public.
- Cashback: In some programs, part of the amount spent by the consumer is returned as credit to be used on future purchases, a direct way to save money.
“Consumers who understand and make good use of loyalty programs are able to maximize their purchases, turning consumption into earning opportunities. This is especially relevant in times of tight economic conditions, where every advantage counts,” Stainoff points out.
