The loyalty card may get the most attention from older consumers, but one expert believes younger buyers can be just as loyal. The key, of course, is to engage, and many Millennial consumers aren't engaged by simple cards or offers. They want more. To make the most of loyal-based marketing to younger consumers, brands need to change the way they approach programs.
"Loyalty programs don't need to be about a discount," said Mark Johnson, CEO, Loyalty 360. "[The programs] need to create a behavioral change. Look at programs like Badgeville, gamification is creating that change. Loyalty is about engagement and we are seeing more program interest from these younger consumers."
Why are Millennials so important to brands? Because, loyalty program or not, this group of shoppers have nearly $890 billion in spending power. More than that, they approach buying and engagement differently than older Americans. Millennials, Johnson notes, feel responsible for making a difference in the world, look for brands who 'give back' or are attached to causes and may switch brands if one is more connected to a cause than the other.
Millennials are also more connected with 80% saying they sleep with their mobile devices (PEW Research) and over half saying they influence their parents purchases.