Coalition loyalty programs can help brands reach new markets, cross-promote and increase brand awareness. But implementation can be challenging
Dec 5, 2024
Loyalty program partnerships are growing in popularity among business leaders, according to EY’s 2024 Loyalty Market Study. Nearly half (45%) of corporate respondents said they plan to build a rewards ecosystem within the next year, with a focus on expanding rewards across product categories and partner networks.
Key takeaways
- Broader reach: Coalition loyalty programs enable brands to connect with more customers than they could individually, facilitating entry into new markets, cross-promotion of products and services, and greater brand visibility;
- Adapting to consumer behavior: As more consumers shop online and look for better value amid rising prices, these programs have become essential;
- Appealing to younger audiences: Coalition programs make earning and redeeming rewards across multiple brands seamless, which is especially appealing to younger consumers;
- Personalization: Multi-brand loyalty programs allow for tailored rewards, a feature highly valued by consumers ages 25 to 44, according to the EY study.
Get the full story at Hotel Dive and EY
