Recent research carried out by Foolproof, the London user experience design agency, has shown that consumers feel saturated by the myriad options of loyalty cards that are available.
Despite high profile brands such as Marks and Spencer - which recently launched its first loyalty card - the research showed customers were finding so many loyalty cards cumbersome and wanted their smartphone to take the loyalty part of the in-store shopping experience.
In its survey of 1000 consumers, Foolproof found that 35% of respondents turned down additional loyalty schemes stating that space in the wallet is an issue, and over half were keen for their loyalty to move to mobile, saying that they would be more likely to sign up if it was.
Foolproof found that 85% of respondents had some kind of loyalty card in their wallet, but 65% of respondents admitted to turning down additional cards with 35% saying they hadn’t anymore space in their wallet for more schemes.
Peter Ballard, a founding partner of Foolproof, said of the research; "This survey clearly shows that the current state of the loyalty market has some serious issues that need to considered by brands, if they want to build a loyalty initiative that has a chance of standing the test of time.
"Over the last 5 years, our research has shown that consumers have adopted multi-channel shopping faster than brands have adapted to to it. With new mobile technologies emerging and facilitating smarter and more engaging experiences for consumers, mobile loyalty schemes should be providing incentives - beyond cost saving - to entice consumers to manage their loyalty accounts, facilitate payments and deliver ‘in-the-moment’ messages based on preferences, location and proximity to store.
"The smartest schemes will be the ones that can predict our shopping behaviours and patterns, and help deliver loyalty incentives ‘just-in-time’ to be one step ahead of us and enhancing our shopping experience in ways that genuinely serve us and reward us for our loyalty.”