Episode 33: Loyalty Programs - Building Love or Buying Behaviour?

Introduction Loyalty is one of marketing’s most overused and misunderstood ideas. In this episode, Steph and Ben unpack loyalty  and challenge whether most programs are building genuine connection or just bribing repeat behaviour. From airlines to supermarkets to cult brands, they explore why some brands earn loyalty while others manufacture it and what that means for marketers navigating rising acquisition costs and endless choice. If you’ve ever questioned whether your loyalty program is doing anything meaningful, this one will make you rethink the entire strategy.  What You’ll Learn in This Episode Loyalty is behaviour not marketing Why customers choose you repeatedly and what actually drives that decision  The difference between earned and manufactured loyalty How emotional connection and incentives play very different roles  Why most loyalty programs become table stakes When points and perks stop differentiating and start costing you margin  How status and psychology shape behaviour Why tiers, exclusivity and recognition change how customers act  What makes loyalty worth investing in today How rising acquisition costs and choice are forcing brands to rethink retention  Bonus Nuggets Airlines are the masters of engineered loyalty How status drives irrational behaviour and emotional attachment  Amazon Prime rewires purchasing decisions Why convenience can override price sensitivity  Data is the real currency of loyalty programs What brands are actually buying when they offer rewards  Call to Action If you’re running a loyalty program or thinking about one, ask yourself this. Would your customers still choose you if you took it away? Connect with us:  Ben van Rooy – https://www.linkedin.com/in/benvanrooy/  Stephanie Quantrill – https://www.linkedin.com/in/stephanie-quantrill/ Explore more from Canned  Canned the Marketing Podcast: www.cannedmarketing.com  Cue Marketing: www.cuemarketing.co.nz  Human Digital: www.humandigital.com Timestamps 00:00 Intro to loyalty and why it’s misunderstood  03:00 B2B conference reflections and budget realities  05:00 SXSW and shifting marketing sentiment  08:00 McDonald’s PR moment and brand response  09:30 What loyalty actually means  11:30 Earned vs manufactured loyalty  15:00 Airline loyalty and status psychology  18:00 Rising acquisition costs and retention pressure  21:00 Types of loyalty programs explained  24:00 Tiered programs and Mecca example  27:00 American Express and premium loyalty  29:30 Cashback and discount pitfalls  31:30 Coalition programs and data value  33:30 Experiential loyalty and exclusivity  35:00 Subscription models and lock-in  36:30 When loyalty programs go wrong  39:00 Woolworths and everyday loyalty  41:30 The future of loyalty and AI  44:30 Community and brand-driven loyalty  45:30 Wrap up and key takeaways www.cannedmarketing.com  Stephanie Quantrill - Linkedin Ben Van Rooy - Linkedin