As a part of Collinson Group, Valuedynamx is a global provider of curated data-driven omnichannel purchase rewards. Its clients are empowered to reward consumers for their loyalty and commitment to the brand through select methods—targeted and card-linked offers, personalized experiences, and an expansive partner network and catalog of reward and redemption options.
Expertise is leveraged across payments, card-linking, affiliate marketing, and redemption opportunities to enhance customer loyalty and drive transactional engagement for some of the world’s largest airlines, banks, FIs, and hotel groups.
Loyalty360 spoke with Kelli Hobbs, VP Business Development at Valuedynamx, about the company’s recent study—the Power of Satisfaction Research—and the correlation between customer satisfaction and the rate at which loyalty program members engage.
Can you tell us a little bit about yourself—your current role with Valuedynamx and your background?
Over the past 20 years, I’ve built my career in B2B sales, with a key focus on loyalty solutions. I started out selling travel loyalty solutions to financial institutions, and in 2010, I took on my first management role. That’s when I really discovered how much I enjoy connecting a company’s goals with the right people, processes, and resources to make those goals a reality.
Through the years, I’ve had the chance to work in various industries, like prepaid, travel, and hospitality, but most of my career has been focused on financial institutions. This experience has empowered me to establish a solid technical foundation while deeply understanding the needs of large enterprises and the complexities of consumer behavior across a loyalty portfolio.
As the Vice President of Business Development at Valuedynamx, I’m able to bring together my experiences in travel and hospitality with my background in finance to better understand and tackle the unique challenges our clients face.
For those who may not be familiar with how Valuedynamx supports a brand’s customer loyalty efforts, can you give us a brief overview of what you do, how you do it, and the industries you work with?
At Valuedynamx, part of the Collinson Group, we’re all about making everyday shopping more rewarding for consumers. While our expertise is mainly in financial services and travel, we also collaborate with partners in other areas, including retail, to create memorable rewards and loyalty experiences.
Valuedynamx’s recent study, the Power of Satisfaction Research, revealed that satisfying reward redemption drives loyalty program value. The research also highlighted opportunities to increase satisfaction in reward-earning and redemption offerings.
Can you tell us more about the direct correlation between customer satisfaction and the rate at which loyalty program members engage in the program by redeeming/spending and earning rewards?
There’s a clear and direct correlation between customer satisfaction and how actively loyalty program members engage by earning and redeeming rewards. When customers are completely satisfied with their redemptions, they tend to accelerate their earning pace. For instance, 44% of those who were fully satisfied with their rewards over the past six months reported earning loyalty currency at a much faster rate. In contrast, only 7% of those who were mostly satisfied and just 1% of those who were somewhat satisfied showed the same increase in earning speed.
This data underscores the importance of delivering exceptional experiences to loyalty members. Programs that truly delight their members see significant increases in engagement, with customers motivated to earn more rapidly. On the flip side, even slight dissatisfaction can dampen earning enthusiasm, as consumers who are less than fully satisfied with their redemptions often reduce their earning rate.
For a loyalty program to thrive, it’s not just about encouraging redemptions—it’s about ensuring those redemptions lead to complete satisfaction. Only then will customers view the currency as valuable and worth earning.
Can you provide one or two examples of the opportunities for enhancements that brands will find in the report?
To genuinely satisfy customers, brands should concentrate on a few essential strategies in their loyalty programs, as highlighted by the research. These include delivering a more personalized experience, simplifying the redemption process, and offering a broader range of rewards. By aligning the value customers receive with the effort they invest, these elements work together to achieve complete customer satisfaction.
Increasingly, brands look to enhance their customer loyalty programs by partnering with other brands that will bring additional value. The Valuedynamx report revealed the vast majority of loyalty program members—a marked 90%—want the flexibility to redeem loyalty points with multiple brands. And yet, many loyalty programs limit redemption options to their own brand.
What steps can brand teams take to move closer to a more inclusive redemption opportunity that would enable members to increase engagement in those loyalty programs?
To make loyalty programs more satisfying, brand teams should offer a range of redemption options. Providing choices like cashback, gift cards, and payment options with various brands instead of just one makes the program more attractive. Partnering with a loyalty provider that has a broad network of merchant partners can also help expand these options. This way, customers have more flexibility with their rewards, which can lead to greater satisfaction and increased engagement in the program.
Personalization is vital for customer loyalty program success, especially as brands search for ways to differentiate their programs and remain relevant with consumers. Can you speak to the importance of personalized experiences and rewards—and their role in creating more impactful loyalty programs?
Creating impactful loyalty programs hinges on effective personalization, which goes far beyond simple demographic or psychographic segmentation. At its core, true personalization uses individual purchase history and preferences to deliver experiences that resonate with customers. Research indicates that around two-thirds of consumers recognize the benefits of participating in loyalty programs and are willing to share their personal data to enhance their experience. This willingness to share information is increasingly vital, as it enables brands to gain a deeper understanding of customer preferences and behaviors, ultimately allowing them to offer rewards and experiences that truly connect on a personal level.
Looking toward the future, what is the “next big thing” brands can expect in the way of elevating customer loyalty? What should brands and loyalty professionals prepare for today to take advantage of tomorrow?
More strategic partnerships like the one you are seeing between Walmart+ and Burger King. It’s very inspiring to see unexpected partnerships that have people buzzing with an ‘ah ha’ moment and a marriage of two great propositions to benefit consumers in more meaningful ways.
Are there programs you admire/are loyal to from a customer loyalty perspective? What do you like about their offerings?
As a consumer, I’m drawn to programs that offer exclusive experiences, such as early access to sales or VIP events. Nordstrom’s Nordy Club, with its coveted Anniversary Sale access, is a prime example.
I also actively participate in programs that reward me for everyday shopping, especially when they’re straightforward and easy to use. But what really catches my interest are programs that incorporate elements of gamification, like Hilton’s auctions. Our technology brings that same sense of surprise and delight through auctions, prize draws, charity events, and more, transforming these programs into frequently visited destinations that consistently engage participants.
What’s next for Valuedynamx?
Valuedynamx will continue to build on the innovation that’s always defined us. We’re focusing on fine-tuning and expanding our advanced technologies, especially in the U.S. market, which continues to be a key area for our growth.
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Quick-fire Questions
What is your favorite word?
Unity.
What is your least favorite word?
No.
What excites you?
Giving to someone who can’t repay me.
What do you find tiring?
Negativity.
What book do you like to recommend to colleagues?
Dare to Lead, by Brene Brown.
What profession other than your own would you like to attempt?
Professional vocalist.
What do you enjoy doing that you don’t get to do often?
Leisure travel.
Who inspired you to become the person you are today?
My kids.
What do you typically think about at the end of the day?
How I can be a better person tomorrow.
How do you want to be remembered by your friends and family?
A very big heart that makes room for all.