56% of Millennials Want to Use Apps for Loyalty Programs
- by Saida Ayupova
Oracle has released the findings of two research initiatives aimed at identifying the consumer drivers for loyalty in the food and beverage and hotel industries and the impact of technology in curating a unique hotel guest experience. Insights from both studies highlight a global demand for loyalty programs in the hospitality industry and the critical role of technology to inspire hotel staff to create memorable guest experiences.
Oracle Hospitality conducted a survey of 6,500 global food and beverage consumers and 8,000 hotel travelers represented by the U.S., Brazil, Mexico, Australia, U.K., Germany, France and Japan. Key insights from the research for the food and beverage industry include:
- Consumers around the world want to join loyalty programs. In the U.S., 65% of consumers are already members of one or more food and beverage programs.
- Plastic loyalty cards remain the preferred loyalty tool with mobile applications gaining popularity. At 62% overall, plastic swipe cards were the most preferred method across all generations. At a 56% preference, Millennials wanted to use apps for loyalty programs and 50% of Gen Xers also agreed that apps are a preferable method.
- Perceived personal savings drive loyalty. Money off of every purchase (71%) and free products (63%) were the top two most attractive rewards to consumers.
Mike Webster, senior vice president and general manager, Oracle Hospitality and Oracle Retail, commented: “Loyalty programs provide restaurant operators with the opportunity to reward guests for repeat business, to create a marketing database for personalized promotions, and to guide the strategy for future programs ensuring their relevancy. Oracle Hospitality has a differentiated offering that leverages best-in-class, cloud POS with an integrated gift and loyalty solution and cloud analytics suite that minimizes the creation of disparate data silos which can create false perspectives of guest engagement.”
See more findings of the study here.