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NEW RESEARCH DISCOVERS THE POINT OF LOYALTY Loyalty program members want brands and companies to think outside the box when it comes to the rewards on offer, according to a recent study. Commissioned by customer loyalty consultancy The Point of Loyalty, ‘For Love or Money 2020’ focused on ways programs could improve their member’s lives, including: “It’s even more important in the current world situation for loyalty programs to focus on making lives better for their members. It will be remembered.” The report says respondents in the Gen Z demographic identified rewards for recycling, healthy behaviour and boosting their superannuation savings as more appealing compared with those of Gen X, Gen Y and the baby boomers. For the first time, the report claims, the research revealed that as many as two-thirds of the Australians surveyed believe that loyalty programs enhance their overall desire to pursue a relationship and experience with the brand. “The impact a well-designed program can have on brand experience is often debated,” Mr Posner said, “and it was interesting to find that 68 per cent of members agreed a loyalty program can enhance their relationship with a brand.” The report says that in 2020, while members are concerned with data use and security, they are making the most of their memberships, with 63 per cent of those surveyed indicating they’re taking advantage of their rewards and benefits, which has increased from 54 per cent when this was first researched in 2016. “While programs are improving all the time, they need to keep an eye on their data practices and the value exchange they offer their members for the data they gain,” Mr Posner said. • • • • • Rewards for recycling – such as donating clothes for repurposing/furniture or recycling. Earning rewards for healthy behaviour – such as achieving a minimum number of steps in a week. Earning cashback rewards – redirected to their superannuation fund to help them save more for their retirement. Rewards to reduce the cost of everyday living – such as phone, energy or insurance bills. Earning cryptocurrency (eg, bitcoin) as a reward. “With the Australian loyalty program landscape maturing, it’s time for programs to focus on finding different and distinctive ways to improve the lives of their members,” report author and The Point of Loyalty CEO Adam Posner said. “While members in general want rewards to reduce their cost of living, they’re also keen to participate in programs with rewards linked to a greater purpose such as recycling and healthy behaviour. NEWS HUBBED ENABLES PARCEL PICKUP FROM P&C SITES New data from courier start-up Sendle reveals online retailers are dropping off more than a third of customer parcels to after-hours collection networks, rather than post offices, to cope with the demand and to avoid queues. Addressing this, Australian parcel collection network Hubbed has enabled some of the country’s largest carriers, including Sendle, Toll, DHL, TNT and CouriersPlease, to offer greater delivery choice and flexibility for its customers. Among this choice are after-hours collection points at BP service stations, 7-Eleven stores, newsagents, and pharmacies. “Ultimately, Hubbed provides convenience,” Hubbed Founder and CEO David Mclean said. “Retailers and other businesses can drop parcels at nearby locations that have good parking, no queues and are open after hours, with most 7-Eleven stores or BP service stations open 24/7. It’s this level of convenience that’s given tens of thousands of small businesses across Australia an affordable and sustainable alternative to door-to-door delivery, and customers more choice in their experience.” Since March 5, Sendle reports, 39 per cent of its parcels have been dropped off at Hubbed locations outside of 9am- 5pm on weekdays, and 35 per cent outside of 9am-6pm on weekdays. Sendle has also revealed that the top 10 suburbs for after-hours parcel drop- offs are all in Melbourne and Sydney. These include Reservoir and Brunswick East in Melbourne, and Marrickville and the CBD in Sydney, which each have up to four Australia Post establishments. “Since offering Hubbed pick-up and drop-off locations almost two years ago, we've seen an increasing number of our small business customers using the service because it offers so much flexibility – some locations are open 24/7,” Sendle CEO James Chin Moody said. “In 2019, we saw a 20 per cent increase in people using the Hubbed network both during and after business hours. “The March 2020 spike is a result of the COVID-19 bricks-to-clicks phenomenon where consumers are purchasing online rather than in-store. Many small businesses are working overtime to fulfil orders, so it really helps when they can organise dispatch and delivery both after hours and on weekends. Most of the locations within the Hubbed network are queue free, which makes it a safer option. And Sendle also has contactless delivery at this time.” MAY/JUN, 2020 CONVENIENCE WORLD 11