Collinson Latitude Points to Top Strategies to Accelaerate Redemption

The top five strategies for increasing the pace at which customers redeem loyalty points they have collected has been published by ancillary revenue experts Collinson Latitude in its latest white paper to the industry.

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No rewards programme, however well-researched, well-funded and well-intentioned, genuinely drives customer relationships and improves sales unless customers actually redeem their points.

London (PRWEB UK) 30 October 2013

The top five strategies for increasing the pace at which customers redeem loyalty points they have collected has been published by ancillary revenue experts Collinson Latitude in its latest white paper to the industry.

Writing in Accelerating Redemption, which has been distributed to the international airline industry, the Collinson Latitude team has identified five strategies based on its experience of managing multiple international airline loyalty programmes.

They are:

  •     Give customers something to dream about – and something to keep them going
Offer programme members transparency in terms of what they can expect to achieve and ensure they receive plenty of ‘sweeteners’ on the route to attaining their chosen gift or service.

  •     Become part of their world
Offer members a wide range of gifts and services which are appropriate to their broader lifestyles and tastes. “Blackout” dates for redeeming free flights frustrate customers where there are no seats at the lower or even standard mileage levels.

  •     Make the programme appealing to all members
Allow redemption through a range of devices and tablets, not just PCs and Macs, and ensure that there is an attractive mix of both exclusive or aspirational and readily-attainable items.

  •     Do not overlook lower-spending passengers
Lower spenders, or less frequent flyers, arguably have the greatest potential for increased usage, so implement a programme that allows members to ‘top up’ their points with cash in order to access preferred rewards more quickly.

  •     Keep in touch with programme members
Have a clear strategy for communicating with members using a range of channels including newsletters, websites and email. Allow self-selection of preferred communication channels.

Dan Martin, Commercial Product Manager at Collinson Latitude said: “No rewards programme, however well-researched, well-funded and well-intentioned, genuinely drives customer relationships and improves sales unless customers actually redeem their points. The programme can only add value when they start redeeming – so it’s vital for airlines to kick start that redemption habit as soon as possible. But with $16bn of rewards earned each year going unspent, it’s proving a hard habit to instill. That’s why we’ve set out to identify the strategies that have the biggest impact on the speed of redemption.”

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Contact

  • Louise Naqvi
    Collinson Latitude Ltd
    +44 20 7422 4465
    Email