As many as 58% of consumers report increasing their spending a “moderate” to “great” extent due to loyalty programs. (Source: EY, 2024 Loyalty Market Study)
Loyalty insights
We have gathered statistics from various reliable sources to show the value of loyal customers in terms of retention, sales growth, and profitability. The numbers are clear – get started with your loyalty program today!
Impact of Loyal Customers on Spending & Revenue:
- Existing customers spend 67% more on average than new customers. (Source: BIA Advisory via VWO, 2024)
- Customers with an emotional connection to a brand have a 306% higher lifetime value (LTV). (Source: Motisa via Coniq / Retail TouchPoints, 2024)
- Loyal customers purchase 90% more frequently. (Source: Hubspot via Coniq, 2024)
Loyalty Programs Driving Growth & Retention:
- 70% of consumers spend more with brands that offer loyalty programs. (Source: Deloitte via Nudge, 2024)
- Members of loyalty programs generate 12-18% more incremental revenue growth per year than non-members. (Source: Exploding Topics via Coniq, 2024)
- Loyalty program usage increased by 28% in 2024. (Source: SAP Emarsys, 2024)
- 58% of consumers report increasing their spending a “moderate” to “great” extent due to loyalty programs. (Source: EY, 2024 Loyalty Market Study)
- 62% of members in paid loyalty programs are more likely to spend more on the brand. (Source: McKinsey via Bonloyalty, 2024)
Profitability and Cost-Effectiveness:
- A 5% increase in customer retention can increase profits by 25% to 95%. (Source: Bain & Company / Harvard Business Review – Widely Cited)
- Acquiring a new customer is 5 to 25 times more expensive than retaining an existing one. (Source: Various incl. Zinrelo/Forbes – Common Marketing Stat)
- The probability of selling to an existing customer is 60-70%, compared to 5-20% for a new prospect. (Source: Signal Mind / Semrush via various sources)
- Customer-obsessed organizations report 49% faster profit growth. (Source: Forrester, 2024 US CX Index)
The Power of Referrals:
- Referred customers have a 37% higher retention rate. (Source: Firework, 2024)
- Referred customers have a 16% higher Lifetime Value (LTV). (Source: Firework, 2024)
- Referrals are 5 times more likely to convert than leads from other channels. (Source: Firework, 2024)
- 92% of consumers trust recommendations from friends and family above all other advertising forms. (Source: Firework, 2024)
Linking Experience Metrics to Financial Success:
- Companies leading in customer satisfaction (ACSI scores) dramatically outperformed the S&P 500 in long-term stock returns (2,265% vs 605% cumulative return, 2006-Jan 2025). (Source: ACSI, 2024/2025 Report)
- Companies with high Net Promoter Scores (NPS) grow revenue 2.5 times faster than competitors. (Source: Zonka Feedback / Bain & Company, 2024)
- A 10+ point increase in NPS correlates with a 3.2% increase in upsell revenue. (Source: CustomerGauge, 2022)