Purpose Loyalty: what it is, advantages, examples

The new generations of consumers crave more than just brands that have similar thoughts to their ideals, it is necessary that the company's initiatives are sustainable and that they have positions that go beyond the basics

While for consumers over 40 years old the most important factor driving loyalty is the quality of the product or service, for 28% of Millennials and Generation Z the positive impact of the brand is what really matters, as well as the sense of community and belonging .

Today, consumers have more choices and varieties of brands than ever before, so you need to stand out from the competition. So, structuring your culture is the first step to connecting with your customers and creating a relationship based not only on value and needs, but on similar positioning to create true emotional connections

Loyalty with purpose

The idea of rewarding, or scoring, repeat customers is the first step in a loyalty strategy, but it alone is not enough to keep customers, since customers expect more attractive and personalized dynamics in their experiences with the brand.

So how do I make my brand stand out? Initially, by understanding the company's values and culture, and aligning the loyalty programs with them. Uniting both is possible to put the ideals of the brand in practice, attracting more customers with the same values and keeping those who are already loyal

You can do this in a few ways, such as:

  • Align your points structure with your brand culture. For example, if your brand is into fitness and healthy living, promote campaigns that encourage customers to exercise, or eat better in exchange for points and prizes; 
  • Connect your products/services to social causes that your audience considers relevant, so customers will be motivated to consume to make a positive social impact. 
  • Donate part of the amount or help the customer to donate to relevant causes, whether that amount is a percentage of the profit, and/or of the change.

Remember: offering cashback, rewards and prizes is important, but in the long run the best way to make your audience engaged and loyal is by creating connections, and one way to do this is by defining and upholding your values, creating true connections with customers through a real sense of purpose.  

Get to know some successful cases

The Brazilian startup promotes packaging recycling and has partners such as Unilever, P&G, Pepsico and Heineken. By taking packages to disposal sites, consumers receive points that can be exchanged for other products of the brands, donated to NGOs or converted into the planting of trees.

One of Emirates' largest airlines rewards travelers who make sustainable choices, such as donating miles toward reducing carbon emissions. These actions allow the customer to advance faster in the loyalty program and have access to exclusive benefits: VIP lounges, free seats, priority queues. 

The reference company in furniture and decoration encourages the reuse of its products. Participants in the loyalty program can return items in good condition and receive credits to make new purchases. These items, in turn, are resold in the brand's circularity hub. 

The cosmetics brand's loyalty program allows consumers to exchange their points for Charity Rewards. Thus, the points are converted into money and donated to the NGO selected at the time. As there is a rotation system, many causes are benefited: fight against racism, mental health support, human rights defense, among others. 

About Indico

Indico is a Brazilian Martech company with an experience that has reached more than 150 million customers in 9 countries, that develops solutions that combine Loyalty and Innovation creating unique connections and transforming relationships between brands and consumers

We create solutions that drive relationships and transform results. Disruptive campaigns, programs and projects that connect ideas, innovation, data and technology to engage, delight and retain customers. Data-driven, we generate insights and new opportunities, evolving the customer experience with the brand. 

Contact us and get to know the Indico way of revolutionizing the relationship with the customer.