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Loyalty Members Want Personalization, Privacy

CHICAGO — Though loyalty cardholders seek personalization, privacy is among the factors weighed by those considering whether to join, with nearly one-third (32%) believing that their privacy is an important attribute of any loyalty program, according to Mintel.


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One in 10 loyalty members (13%) polled expressed frustration with too much personal information being requested during enrollment, as well as a lack of control over the privacy of their information (10%).

“Reassurance of privacy is undoubtedly a key strategic tool in loyalty program engagement, but there is a paradox at play here between personalization and privacy,” said Ika Erwina, retail and technology analyst at Mintel, in a statement. “Ironically, even though loyalty program members crave a more personalized, relevant experience, they also show concern about sharing the information required to enable the retailer to deliver on this desire.”

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Indeed, it’s a challenge considering that 16% of loyalty cardholders believe their loyalty programs are less tailored toward their shopping habits, and this is especially true of Millennials (20%).

Ease of redeeming rewards (55%), ease of earning points (51%) and monetary rewards (51%) were all cited as being important to loyalty program members. Thirty-six percent of Americans are drawn in by access to exclusive deals and coupons and 22% are looking for easy enrollment options.

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