Developing an emotional connection between a customer and a brand generates many positive outcomes; a willingness to pay more, stronger commitment, word of mouth...
Loyalty Psychology
The beauty behind Mecca Beauty Loop
When conversing with clients, I often get asked the question ‘what’s your favourite loyalty program?’ I’m always joining, engaging with and contributing to hundreds of...
People are compelled to give back; the Norm of Reciprocity explains why.
What is the Norm of Reciprocity? The reciprocity norm refers to an expectation that people will help those who helped them (Gouldner, 1960)[1]. For example, one person...
Adidas Creators Club – a loyalty program fail.
Creators Club is the loyalty program of global mega-brand Adidas. It is always surprising to engage with the loyalty programs of major brands and discover poor design,...
A discussion about retention; Annex Cloud and Loyalty & Reward Co.
I was recently interviewed by Al Lalani from Annex Cloud, as part of their Market Movers series. https://youtu.be/qmotAIdwBD8 We had a wide-ranging conversation that...
Why progress is motivating: the loyalty psychology behind the Goal Gradient Effect.
Goal Gradient Effect First reported by Hull (1934)[1], the Goal Gradient Effect states that the tendency to approach a goal increases with proximity to the goal. Hull...
Exploring the use of Scarcity Bias in loyalty programs
What is a Scarcity Bias? The scarcity effect (Worchel et al, 1975)[1] states the more difficult it is to acquire an item, the more value that item has. They conducted...
Moral Self-Licensing: Why We Reward Good Behaviour With Indulgence
“I’ve been running every day, but I haven’t had this many snacks in years” is what the creator of the hit sci-fi show ‘Black Mirror’ said in a recent interview about...
Benefitting from behavioural biases
If loyalty programs aim to positively influence consumer behaviour, then understanding how consumers make decisions and the factors that influence decision making is an...
The curious absence of the ‘IKEA Effect’ from the IKEA Family loyalty program
What is the IKEA Effect? Norton et al (2011)[1] coined the ‘IKEA Effect’ as the title of their research paper, which detailed the value consumers placed on...