Superior products, experiences drive consumer loyalty better than financial rewards: EAN

11 May 2018  2139 | World Travel News

Asia-Pacific travel brands are driving loyalty by improving their product offering versus creating membership programmes, according to Expedia Affiliate Network (EAN) and Points’ new Travel Loyalty Report: A wake-up call for sleepwalking loyalty programmes.

Ariane Gorin, president, Expedia Partner Solutions, said: “Today’s savvy travellers are looking beyond price as they choose their preferred brands. To drive loyalty, travel companies need to look beyond existing solutions like discounting, vouchers and points schemes. Lasting loyalty will be won by companies who really tune in to consumer expectations, deliver a diverse product offering and invest in superior user experiences.”

Brands seem to believe that product quality has the largest impact on loyalty, but their actions show otherwise

Assessing the state of customer loyalty in the travel industry across multiple geographies and travel sectors, the study shows that despite widespread doubt in their efficacy, discounts and coupons remain the most popular tactic brands use. Sixty-one per cent of respondents admit to relying heavily on them, and the proportion is 72 per cent in Brazil alone.

Awarding points and miles is used by 52 per cent of respondents, and 82 per cent in the UK, the highest among markets surveyed.

In Asia-Pacific however, just 24 per cent of respondents are using points and miles to drive loyalty, while 26 per cent of are not offering a loyalty programme at all.

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