Coles Flybuys wins over Aussie consumers in new customer loyalty schemes report

New research by Citrus and Directivity also finds 80 per cent of Australian consumers who belong to a customer loyalty program buy more as a result

The Coles Flybuys loyalty program has come out trumps over Woolworths Everyday Rewards in a new survey looking into the Australian consumer’s view on customer loyalty schemes.

The For Love or Money? 2013 Consumer Study into Australian Loyalty Programs was produced by digital agency Citrus and marketing company Directivity in partnership with First Point Research and Consulting, and claims to be the first research study focused on consumer relationships with loyalty programs in Australia.

The report found 80 per cent of Australian consumers surveyed who belong to a company’s member program buy more as a result. In addition, 55 per cent of consumers tend to buy from the company that offers a loyalty program over one that doesn’t, and 46 per cent feel more loyal to a brand because of a loyalty program.

In a list of loyalty brands mentioned by respondents as doing a “particularly good job”, Flybuys/Coles topped with a 37 per cent rating, followed by Woolworths Everyday Rewards at 22 per cent. Qantas came in third with 11 per cent.

The research also reported 88 per cent of Australian consumers belong to a loyalty program and 11 per cent belong to more than 10. Men belong to an average of three, and women an average of five.

Despite this, less than half of consumers claim to have seen an improvement to loyalty program offers in recent years. Forty per cent also claimed most loyalty programs didn’t offer any real value.

Financial benefits are most popular in terms of loyalty rewards, and 80 per cent of consumer look for immediate price discounts when making purchases. Points-based programs are also important to 77 per cent of consumers, followed by exclusive offers (64 per cent), and access to additional rewards based on spend (62 per cent).

The research also delved into the way loyalty programs communicate and found 81 per cent of members prefer personalised email, compared with 37 per cent of those who prefer direct mail.

The Citrus and Directivity research was undertaken in February 2013 using an online panel with a total sample of N=1010. The pair claimed this provided a margin of error of three per cent and 95 per cent level of confidence.

Follow CMO on Twitter: @CMOAustralia or take part in the CMO Australia conversation on LinkedIn: CMO Australia.

Join the newsletter!

Or
Error: Please check your email address.
Show Comments

Blog Posts

Why doing your job well is the key to innovation

The words ‘power company’ and ‘innovation’ probably don’t seem like a natural combination. In fact, when I first went for a marketing role with an electricity company, I semi-dreaded the work I thought I’d be doing.

Catherine Anderson

Head of marketing, Powershop Australia

The great unlearning: How brands can assist with the adoption of voice

Mainstream adoption of voice technology will be all about what consumers are learning not to do.

Ash Mustchin

Director, digital and experiences, Principals

Why getting intimate is key to creating a great customer experience

According to CMO’s State of the CMO 2017 research, 83 per cent of CMOs believe customer experience to be central to their role. An interesting stat considering few of us experience great brand experiences.

Pip Stocks

CEO and founder, BrandHook

'to lesson screen time'LOL someone needs a lesson on how to lessen typos.

Andrew Ward

Golden Circles invests in content play to drive brand purpose

Read more

Hey Nadia, interesting read. We have all read about what your chatbots should offer or have but haven't came across with anything about w...

Ashish K Jain

What not to do when building chatbots and voice-based brand interactions

Read more

There are some many other great solutions compared to the ones you listed here. Our clients left some of those and switched to MARA (getM...

Alexandru Rada

CMO's top 10 martech stories for the week - 9 June

Read more

Charming Shane. You know this is a public forum, right ?

Peter Strohkorb

​CMO Interview: Why aligning sales and marketing drives innovation at Konica Minolta

Read more

I agree customer intimacy is a great way of creating better customer experience. Especially in the Insurance and Financial industry. Her...

Jessicalopez1989

Why getting intimate is key to creating a great customer experience and optimising customer value

Read more

Latest Podcast

More podcasts

Sign in