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LOYALTY PROGRAMME - A PROVEN WAY TO ATTRACT AND RETAIN CLIENTS Every year, loyalty programmes undergo a genuine revolution due to changes in Participants’ needs, shopping trends, and new digital technologies which make loyalty in business more and more profitable for brands.


he loyalty programmes market in Poland is constantly evolving. As confirmed by the ICAN Institute 2019 "Sales Trends" study, last year alone as much as 83% of sales leaders exceeded target sales plans by 20%, thanks to investment in loyalty programmes. Over the past three years, the number of companies which develop their loyalty programmes has increased from 45% to 65%. These figures inspire optimism for the future. But does every programme formula stand a chance of succeeding?


“When making a decision to invest in the development of a loyalty programme, organisers should precisely define its goal and performance targets,” says Magdalena Bednarz, Product Line Business Manager at Edenred Polska. Based on observations, these usually include: • sales increases, • acquiring new loyal clients, • obtaining information on the shopping habits of programme participants, • increasing brand awareness and image building activities. On the B2B market, loyalty programmes are addressed to distribution channels and sales assistants. Loyalty programmes have always been present in the FMCG, automotive and telecommunications industries, but they are increasingly gaining popularity in

MAGDALENA BEDNARZ, Product Line Business Manager

the agricultural, construction and financial sectors. Currently, they are used not only by large brands, but also by smaller companies. The duration of a programme should closely reflect the company's sales strategy. As an element which drives sales - the programme can be run throughout the year, or only seasonally.


Traditional programmes have accustomed us to one formula in which Participants receive points for each contract they have won or the sales volume. In return, they receive a bonus in the form of a bank transfer, discounts, and material rewards. With an eye to digitising and improving the logistics of the programme, the organisers have opened up to innovative solutions, offering participants a prize in the form of prepaid bonus cards. Interestingly, in Poland one in two loyalty programmes is based on cards.


The growing interest in prepaid bonus cards is evident in the fact that, according to a Mastercard 2019 study, over 50% of Polish consumers already uses various forms of mobile payments. The number of users of mobile services, including Apple Pay and Google Pay™, is also growing. Polish consumers reach for mobile services ten times a month on average, which has

a positive impact on the development of the e-commerce industry. And since the retail market has already been digitised, it is worth taking advantage of this trend in the loyalty business as well. Prepaid cards offer programme organisers a catalogue of unlimited rewards, which are available "here and now," in line with the participant’s needs. Cards can thus be flexibly adapted to a given industry. Their scope can also be narrowed down if necessary. Card handling is not labour-intensive an order usually takes 72 hours to process, and the card is valid for a minimum of one year. This allows the programme organiser to issue cards to participants at the beginning of the programme, and then top them up with different amounts of money at any given moment, depending on the results they have achieved. The card should stand out in the wallet. It is worth placing the organiser's brand features on it, for example the company logo. An attractive design is eye-catching, and should be consistent with the message of the programme. “As you can see, many factors influence the success of a loyalty programme. There is no one proven formula which can be flexibly adapted to the needs of each client. For my part, may I suggest that any new idea, even a very complex one, should be discussed with an adviser beforehand, which will help companies reduce investment losses,” says Magdalena Bednarz. • 2-3/2020 polish market


Profile for Polish Market

Polish Market No.2-3 (293)/2020  

"Polish Market” is a prestigious English-language magazine published since 1996. In its pages, it promotes the Polish economy, businesses,...

Polish Market No.2-3 (293)/2020  

"Polish Market” is a prestigious English-language magazine published since 1996. In its pages, it promotes the Polish economy, businesses,...