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Over the past 15 years, loyalty programs have enjoyed a relatively low level of fraudulent activities. However, in recent months we have seen the level of loyalty program and loyalty card fraud increase. As “Chip & Pin” credit cards continue to become prevalent, specific industries whose business models include transactions where the physical card does not need to be present, have become the target of fraudsters. One of these in particular is the travel booking industry.

Lately, fraudulent activities have propagated to loyalty programs where the travel components of the program are the primary target. However, as there often is with fraud schemes, there’s a twist. The loyalty program is not the actual target of the fraud, but rather a means to facilitate the scheme.

Make no mistake: Building authentic relationships with consumers is hard work—and getting harder by the day. Consumer expectations continue to rise. The pace of change continues to increase. The need to stay relevant is more important than ever.

Our latest research from the 2016 Bond Loyalty Report, shows that consumers continue to value Loyalty programs—programs that pay dividends back to brands in the form of loyalty, advocacy and increased spend. It’s time for marketers to start paying closer attention.

If you’ve taken a “set it and forget it” approach you’ve likely overlooked what matters most to your program Members. Taking a closer look now might land some relatively quick wins.

On the only Friday the 13^th of the year, I stopped at a small-town Tim Horton's on my way home about an hour outside of Port Dover, waiting in line behind two gentlemen in riding gear. They saw my Harley-Davidson t-shirt, started up a conversation, and thirty seconds later refused to let me buy my own coffee—and not because I said I worked at/with/for H-D, but because I was in Port Dover and was wearing an H-D tee and was, therefore obviously in some way a part of the Harley-Davidson MC family. They asked me to sit and have a coffee with them. They showed me their photos with Karen & Bill Davidson from the morning. They asked if I knew Randy.

Activating at Canada’s largest one-day motorcycle rally comes with a few first-timer expectations (yes, the ‘thong guy’ was there and going strong), but the giant orange exclamation mark I am left with is that this community really is something special. They are fun, polite, welcoming and accepting—even in crowds of a hundred thousand—and they would live and die for their passion.

Harley-Davidson is one of the most inked brands on the planet (if not the most…that is a title I might bet my money on), and we had a feeling that, if we gave our guests the chance, they would prove it.

In many cases, the distance between the offices of marketing and the operations staff is too far. When it comes to loyalty programs, Marketers can fall into the trap of missing executional realities—including the ability to turn front-line staff into evangelical brand ambassadors.

Neglecting to include front-line representatives and other key stakeholders early in the loyalty program design process can lead to poor promotional execution of campaigns, unchecked accountability and other issues. There also can be a lack of clarity and continuity of expectations, especially with new hires. Then, as competing business priorities arise, the program becomes little more than a sideshow over time.

It doesn’t have to be this way. Our recent Loyalty360/Bond Brand Loyalty webinar, “Measure Twice, Cut Once—Get it Right From the Start!” provided a case study of a leading North American retailer whose loyalty program has set an industry gold standard. It’s not just that enrollment goals for the entire first year were met within the first month. It’s also that front-line staff were and continue to be enthusiastic participants themselves, continuing to create excitement, share tips and engender loyalty with customers. 

Just the other week, the Boston Consulting Group announced that Tesla had joined Apple and Google at the top of an annual ranking of innovative firms. In fact, Tesla raced into third position from the 41^st position in just two years. As a Tesla owner, I am not at all surprised by this rapid leap to third place. Such acceleration is highly becoming of a brand that boasts a 0–60 miles acceleration, in just under three seconds.

Have you heard the news? This year will be the year of mobile! 

We have been hearing this phrase uttered every year for at least the last five years and yet, somehow, we are still not prepared. We are barely scratching the surface of what is possible with mobile and are expecting big things, which are not going to happen by themselves.

We are aware of the consumers’ love affair with their mobile devices. According to Pew Research Center:

• 64% of American adults now own a smartphone of some kind.
• 44% have slept with their phone next to their bed because they wanted to make sure they didn’t miss any calls, text messages or other updates during the night.
• 29% of owners describe their mobile phone as “something they can’t imagine living without.”

Also, quite importantly for marketers, consumers use their mobile phones while they are shopping.

Have you ever considered your product a commodity?

Perhaps not—and we wouldn’t recommend that you do so.

But you must be prepared for customers who may. Like it or not, a mortgage is a mortgage, a car is a car and a hotel room is a hotel room, and your product is one of many.

Regardless of your sector—be it banking, retail, automotive, health care, or something else altogether—your customers make decisions about what they purchase for a variety of reasons. The product itself is increasingly just one of many influencers; the brand may contribute equal weight in the decision-making process.

More and more, aligned values and customer experience are key choice differentiators.

A few months ago, I was asked what my vision of the future of marketing would be for when my 3.5-year-old son becomes an adult. This sparked my imagination and I felt compelled to share my vision of the future of marketing. Being a data-driven marketer myself, I realize that this vision is slightly utopian, and I don’t know how many years it will take for this vision to be realized in reality. Regardless, I would love to play a key role in making this dream come true.

The young man asking this question elaborated to ask whether I believe my son will be bombarded with too many messages and too much information when he comes of consumer age, which frankly I believe has already started. My simple answer at the time was “no.” By the time he becomes an adult, all content will be curated for and by him. Even today, we have the technology to personalize all content.  Just a few years ago, this meant knowing who the customer was and targeting the message to her.  In this day and age, we can go far beyond knowing “who.”  We can push personalization to “where” and “when.” With the consumer carrying her mobile phone on her person virtually 24 hours a day, I know not only who she is, but I know where she is and even the time and the weather in her exact location.

A few months ago when I purchased my Tesla Model S, I had no idea that Tesla had a loyalty program. Perhaps I was distracted and mesmerized by the brilliance of the technology housed in this vehicle. Maybe my attention was diverted as I was infatuated by the gorgeous design of the car. Or was I overwhelmed with joy at the prospect of never again having to fill my car up with fuel? As a loyalty practitioner, how could I have missed this, as loyalty is part of my very DNA?

As I continued to engage with the brand, it became evident that Tesla has a very clever and covert loyalty program. In fact, every Tesla owner is a member of the Tesla loyalty program, yet nobody has ever heard of the Tesla loyalty program. So how can a brand’s loyalty program exist if their customers have never heard of it, don’t recall enrolling in it or participating in it?