Brands face loyalty crisis as marketing relevance hits 15 percent low

The Customer Trends Index, which surveyed 4,000 consumers across the UK, US, Australia, and Singapore, reveals that while 53% of shoppers view loyalty programmes as essential, most brands struggle to deliver the bespoke experiences required to maintain that interest. The research highlights a clear divide in expectations: 62% of consumers favor points-based systems, while others prioritize immediate perks like free shipping or birthday recognition. These demands shift significantly by demographic, with Gen Z favoring physical gifts and samples, while Gen X shoppers prioritize logistical conveniences like free returns.

To address this, Dotdigital has launched a native loyalty platform designed to integrate transactional data directly into marketing automation workflows. By leveraging AI-powered personalisation, the company aims to help brands move beyond generic outreach. This launch follows a series of strategic acquisitions, including Alia and Social Snowball, intended to consolidate acquisition and retention tools into a single ecosystem. Early adopters, such as Pacific Packaging Australia, report that implementing these dedicated loyalty structures has already begun to stabilize repeat purchase rates, signaling that the shift toward personalized retention is becoming a commercial necessity rather than an optional marketing upgrade.