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How to Structure Loyalty
Programs for Millennials
To reach millennials, businesses must design loyalty programs that appeal
specifically to the group. Here are some tips to accomplish that.
EXPLAIN IT CLEARLY
Because millennials have so many choices,
they won’t have the patience for a program
that doesn’t make sense to them. Include an
explainer page where the details of your system
are laid out clearly for all to understand.
TAKE ADVANTAGE OF
SOCIAL MEDIA
Millennials spend a lot of time checking
Facebook, Twitter and Instagram feeds, so
be sure you have a presence there. Offer
a reward for following your brand on
these platforms and you’ll benefit from
increased exposure.
USE EXPERIENCES
AS INCENTIVES
Discounts are appreciated, but today’s young
people aren’t motivated entirely by money.
Offering rewards that take the form of
experiences such as games or downloadable
content engages with them on another level.
MAKE IT EASY TO PARTICIPATE
Offering millennial customers convenience
is a key way to engage them. For example,
a key ring tag they can scan at the point of
sale to activate their reward will make it
simpler to be involved.
PARTNER WITH A
CHARITABLE CAUSE
Members of this generation are more
community-minded, and they seek ways to
make a positive impact on the world around
them. Harness that impulse by partnering
with nonprofits or charities, perhaps by
tying incentives to contributions.
INCLUDE A USER-GENERATED
CONTENT COMPONENT
Allowing customers to share content on social
media and connecting this action to a points
system encourages them to earn rewards while
spreading awareness of your brand online.
ENABLE TWO-WAY
COMMUNICATION
Marketing is no longer a one-way street.
You must be open to feedback from your
loyalty program’s members and make it easy for
them to share it. Include a link or a comment
section in your emails or on your app.
EMPHASIZE VISUAL
INFORMATION
Because millennials process information much
faster than previous generations, they want
you to cut right to the point. Do that by using
visuals as much as possible. Use high-quality
photos of your products whenever you can.
PERSONALITY MATTERS
The younger generation likes to define itself
through the brands it uses. That means the
image your brand projects is a huge part of
attracting millennials. Make sure your reward
program reflects the identity that makes you a
favorite among your customers.
BASE YOUR REWARDS
ON STATUS
Structuring your rewards in tiers plays into
millennials’ love of games and achievements.
When they can “level up” the same way
they can in a video game, they’ll be more
motivated to participate.