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23 Successful Real World Customer Loyalty Program Examples

Learn from the best! Explore 23 customer loyalty program examples from industries that have engaged customers and built lasting relationships.

Tim Kuo

Tim Kuo

22 min read

woman happy by meeting owners - Customer Loyalty Program Examples

Are you looking for examples and ideas for customer loyalty programs to learn from and to create your strategy? You know that showing customer appreciation is vital for building brand loyalty. We'll explore some customer loyalty program examples that will inspire your strategy and help you appreciate your customers even more.

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What Are Customer Loyalty Programs?

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A customer loyalty program is a program that rewards customers for their continuous purchases from a business. Rewards are anything you want to do to show your appreciation for their business. It can include:

  • Free products
  • Gifts
  • Early and exclusive access to new products or events
  • Point systems
  • Awards
  • Exclusive merch

Any organization that wants to sell more products or services to existing customers should create a loyalty program. No matter the industry or business vertical, organizations can reward customers for their loyalty with exclusive benefits, which can help differentiate themselves from the competition.

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Types Of Customer Loyalty Programs?

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Points-based Loyalty

Points-based customer loyalty programs are the most common and the type you’ll most likely be familiar with. Your customers can accumulate points to redeem for cash back, discounts, or free items. Often, points can be accumulated in multiple ways, including:

  • Engaging on social media
  • Leaving a review
  • Celebrating a birthday or customer anniversary

Tiered Loyalty

Tier programs are typically based on the customer’s level of loyalty or spending with your business. The customer receives what is comparable to a type of membership depending on their spending or engagement, and with each rank comes certain types of rewards. As your rank level increases, so does the rewards' value, further encouraging your customers with a goal they can reach.

Paid loyalty programs give customers benefits with a recurring or one-time program fee. For these loyalty programs to succeed, there must be proof of value in the fee. However, once your customers sign up, it’s shown that customers are much more likely to spend more at your business after joining a paid loyalty program. Amazon Prime is one of the more famous paid loyalty program examples that most people are familiar with.

Value-based Loyalty

Value-based loyalty programs allow you to connect with your customers by aligning with their values. These loyalty programs allow your customers to use their points to donate to a specific charity or social initiative. While this isn’t necessarily providing a reward directly to the customer, it allows them to choose to benefit the society, community, or foundations they believe in. Some brands even use this hybrid model, allowing customers to split their points and redeem some for a reward while donating the remaining points.

Coalition Loyalty

A coalition loyalty program is one in which multiple small businesses or brands will join to offer one joint loyalty program. It benefits the customer since they only have to keep track of one loyalty program across multiple shopping locations. It benefits businesses as they can share customer data and insights and attract new customers who may not otherwise shop with them.

Game-based Loyalty

One way to entice your customers to engage with your business more is to turn your loyalty program into a game. Game-based loyalty programs can entertain your customers while strengthening your brand’s image in a fun and playful way. Two great examples of this would be McDonald’s monopoly game and Starbucks’ holiday seasonal games.

Amount-spent Loyalty

An amount-spent program rewards the customer for each dollar spent with your business. These loyalty programs are best if your customers aren’t frequent visitors and if your business sells high-ticket items.

Item or Category-based Loyalty

An item—or category-based loyalty program gives customers reward points for purchasing a specific item or category. These programs are great if you want to promote or sell a particular item.

Customers buy a food item from McDonald’s and get one or more stickers with each purchase. These stickers correlate to places on the monopoly board, and customers can win big prizes by collecting certain sticker combinations. Vons grocery store also runs a monopoly game where customers receive tickets for their purchases.

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What Do Customers Expect From A Loyalty Program?

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While loyalty programs are a great way to retain loyal customers, they are also a great way to acquire new ones. In fact, 75% of consumers say they would switch brands for a better loyalty program. With that being said, it begs the question: What do customers really want from a loyalty program?

Enticing Rewards

Customers expect to see enticing rewards when considering participating in a customer loyalty program. These rewards are the main incentive for customers to remain loyal to a brand. A study by HelloWorld found that 75% of consumers would switch brands for a better loyalty program. Imagine you are a customer – wouldn't you want:

  • Free products
  • Discounts
  • VIP access to events

It's essential to remember that the primary goal of a loyalty program is to nurture a customer-brand relationship and create a sense of belonging. Customers are more cautious about where they spend their hard-earned money, and the brands that offer the most appealing rewards are more likely to gain their loyalty.

Exclusive Deals

Customers also expect exclusive deals and savings as part of a loyalty program. This can include:

  • Free shipping
  • Early access to sales
  • Exclusive products only available to loyal customers

By making customers feel like VIPs, brands show appreciation for their loyalty and commitment.

Imagine being part of a special club or community that gives you access to products or deals no one else can get. This feeling of exclusivity and recognition is appealing and rewarding for many customers. By offering exclusive deals, brands can make customers feel valued and incentivize them to continue supporting the brand and participating in the loyalty program.

Hassle-Free Usage

Customers prefer hassle-free loyalty programs with minimal maintenance. Imagine signing up for a program that requires multiple steps, forms to fill out, or constant reminders to receive rewards. It would quickly become frustrating and deter customers from participating. Therefore, customers expect a seamless and straightforward sign-up process and easy ways to earn and redeem rewards.

The more complicated a loyalty program, the less likely customers are to engage. Brands must ensure that their loyalty programs are user-friendly, require minimal customer effort, and deliver rewards efficiently. This simplifies the customer experience and makes customers more likely to continue their loyalty to the brand.

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Benefits Of Customer Loyalty Programs

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Rewarding loyal customers isn’t just a goodwill gesture—it’s a strategic move that offers many benefits for businesses of all shapes and sizes, such as:

Enhanced Customer Lifetime Value

Loyal customers tend to spend more over time. By rewarding them, you cultivate this relationship further, paving the way for increased spending and profitability.

Word-of-Mouth Marketing

A satisfied, rewarded customer becomes your brand ambassador. Their genuine advocacy can influence others, making them more valuable than any paid advertisement.

Gain a Competitive Edge

A loyal customer base is a protective shield in a competitive landscape. They’re less likely to be swayed by competitors, ensuring consistent revenue flow.

Reduction in Marketing Costs

Acquiring a new customer can be up to five times more expensive than retaining an existing one. Rewards become cost-saving mechanisms in the long run. Repeat customers typically spend more and generate larger transactions.

According to a study from Bain & Company, the average repeat customer spent 67% more in months 31–36 of their shopping relationship than in months zero to six.

Valuable Feedback Channel

Loyal customers provide honest feedback. Their consistent interaction with your brand means they can offer insights to improve and innovate your products/services.

Increase ROI

Bringing in new customers can cost five to 25 times more than selling to your current customers, which means a loyalty rewards program is one of the most cost-effective ways a brand can increase ROI. Gifts, coupons, discounts, loyalty, and reward programs are all excellent ways to create a personalized touch that appeals to loyal customers.

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23 Successful Real World Customer Loyalty Program Examples

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1. MyMcDonald’s Rewards

McDonald’s is the king of fast food restaurants. It is the biggest restaurant chain revenue-wise, generating over $25.494B in 2023. There’s even an ongoing joke that a McDonald’s location will soon follow wherever people appear.

Simple Earning and Rewarding

It shouldn’t come as a surprise that the most popular fast-food chain also boasts a digital restaurant loyalty program - and a successful one! For each $1 spent on McDonald’s products, the customer earns 100 points in the QSR restaurant loyalty program scheme. The points can later be exchanged for free meals. The more points you have, the higher tier you are in, and, therefore, you can redeem more valuable prizes.

Bonus Points and Mobile App Perks

The rewards program is divided into four points-based tiers: 1500, 3000, 4500, and 6000 points for different rewards from the 16 menu items. Loyal customers can also earn points in other ways.

For example, linking your credit or debit card to the McDonald’s mobile app automatically gets 1500 bonus points. If you decide to pay via the app, you get a free McChicken sandwich or a classic Cheeseburger.

2. Hut Rewards from Pizza Hut

Pizza Hut, the famous hut-shaped pizza restaurant chain and small pizzerias started by two brothers in 1958 in Kansas, quickly became one of the most successful franchises in the United States. Since 2014, they have enjoyed a consistent revenue of around USD 12 billion annually.

The Goals of the Hut Rewards Program

Hut Rewards, a fast track to free pies, was introduced in 2017. This restaurant loyalty program was created to boost Pizza Hut customers’ visit frequency and loyalty. The Pizza Hut program was created to keep things simple while yet keeping customers engaged. New customers can join by going to PizzaHut.com, clicking on the Hut Rewards loyalty program, creating an account, and enrolling. Existing customers can simply check in to their account and choose to opt into the Hut Rewards program.

Simple Enrollment and Rewarding Benefits

Customers who enroll can start earning points and reaping program benefits immediately. Every dollar spent on food online earns you a free pizza. Exclusive offers, birthday rewards, and other perks are also available. Hut Rewards points can only be earned for delivery or carryout during mobile and online ordering.

3. DD Perks® from Dunkin Donuts

Dunkin’ Donuts is an American-based coffee and doughnut company now available in 36 countries. They, too, participate in restaurant loyalty programs, believing it to be central to customer retention and future revenue. Upon purchasing, new and existing customers collect points that can be later exchanged for rewards. DD Perks® earn 5 points for every dollar spent at Dunkin’ Donuts. 200 points can be exchanged for a free drink of any size.

Rewarding Regularity

Loyalty program members who make three purchases during one week are eligible for a free beverage of choice. As part of their loyalty program, Dunkin’ Donuts frequently runs different campaigns and rewards customers with perks, such as a free donut with any drink purchase, free coffee with food purchase, or bonus points.

Beyond Free Coffee

The company also sought to replicate Starbucks’ success with digital payment cards and has, therefore, teamed up with Masterpass to offer its repeat customers cards that can be used to pay at Dunkin’ Donuts and other restaurants participating in the DD Perks® program. Loyalty programs that offer perks to other participating businesses often see an increase in customer retention and more lavish ticket spending.

DD Perks® rewards program helped the Dunkin’ Donuts mobile app surpass 12 million downloads from loyal and new customers.

4. Starbucks Rewards

Starbucks was founded in 1971 and, for a brief period, was the most popular location to photograph in an Instagram photo. Their famous logo, featuring a mermaid on a green backdrop, symbolized modern lifestyles and remote work (at least before COVID-19 popularized working from home).

Starbucks now has over 30,000 locations in 80 countries, most of which are in the United States. In 2021, the company generated $29 billion in revenue.

How Starbucks Rewards Program Drives Loyalty

It was an obvious option for the coffee chain to develop its restaurant loyalty program to protect frequent customers from transferring to other popular brands and local cafés. Starbucks has 24.2 million members in the United States, making it one of the most successful consumer loyalty programs ever created. Starbucks contributes 40% of total sales to the Rewards Program, and retail sales have increased by 7%.

Multiple Earning Opportunities

Starbucks Rewards is available not just through your smartphone but also through a prepaid card that can be used to pay for items from the Starbucks menu. Customers who use the Starbucks® Rewards Visa® Card earn reward points more quickly than those who use regular bank cards.

Beyond Starbucks Purchases

You can use this card anywhere—in the grocery store, shopping for new clothes, or on holiday. Every dollar spent with the Starbucks® Rewards Visa® Card earns you one Star, and you can redeem a gift with as little as 25 Stars.

Starbucks has two loyalty tiers: green and golden. Green Status is reserved for individuals with 1 to 199 stars or points, while Golden Status is reserved for those with 200 or more stars.

5. Amazon Prime

One of the most notable customer loyalty programs is Amazon Prime membership. This is a subscription-based service with one yearly fee. With the subscription, customers get free two-day shipping and streaming capabilities through Prime Video.

This rewards program has been an incredible success for Amazon. Research has found that Prime members spend an average of $1,300 per year on the website, compared to $700 a year from non-Prime members.

6. Marriott Bonvoy

[Marriott Bonvoy Benefits}(https://www.marriott.com/loyalty/member-benefits.mi) is a tier- and points-based loyalty program that allows members to redeem free hotel nights, meals, and other experiences with points. They can also earn points with car rentals and flights, share points with friends and family, and get free Wi-Fi and special rates.

7. Sephora

Offering customers unique experiences is sometimes just as, if not more, effective than discounts alone — just ask Sephora, whose Beauty Insider customer loyalty program boasts some 25 million members. Rather than offer discounts (though it certainly does that, too), the popular makeup retailer gives insiders access to exclusive experiences, such as:

First dibs on new products Meet-and-greets with brand founders Behind-the-scenes look at how their favorite products are made

8. Alaska Airlines

Whether you are a frequent business flyer or love traveling, joining an airline’s customer loyalty program is necessary. While every airline has a rewards program, Alaska Airlines’ award-winning Mileage Plan does it best.

Alaska’s Mileage Plan is a tier-based program that lets customers earn miles, experience award travel, and gain their top-tier MVP elite status faster than any other airline. From two free checked bags to priority seating, Alaska Airlines makes it fast and easy for their customers to gain exclusive benefits while traveling.

9. Uber Rewards

Although the ridesharing industry is relatively new, Uber has gone above and beyond to take over it. They offer services that cater to any individual’s specific needs and a precious loyalty program.

Earning Points for Rides and Eats

When you become an Uber Rewards member, you earn points with every eligible dollar spent on rides and Uber Eats orders. These points can add to Uber Cash Rewards and other benefits like priority pickup and flexible cancellation.

The more points racked up, the higher the membership level unlocks even more rewards and benefits. Their program is designed to provide users with various benefits that allow them extra time, flexibility, and control, leading to a better customer experience.

10. Delta Airlines

Delta SkyMiles Medallion is a tier- and spend-based program that rewards users for booking flights with the airline. The tiers are based on how much Medallion Qualification Dollars (MQDs) the user spent the previous year, which they can acquire through flights or partner credit card points.

  • Silver: The customer spent at least $5,000 MQDs.
  • Gold: The customer spent at least $10,000 MQDs.
  • Platinum: The customer spent at least $15,000 MQDs.
  • Diamond: The customer spent at least $28,000 MQDs.

Customers are entitled to more benefits with each tier, such as travel vouchers, priority service, and complimentary upgrades.

11. Ben & Jerry’s

Ben & Jerry’s ice cream has a mission-based loyalty program. While the company doesn’t offer benefits like product discounts or gifts, consumers are enticed to buy pints because of shared values. For example, for every themed pint purchase, the ice cream company donates profits to charities that are aligned with its values, such as:

• Animal welfare • Human rights • Climate activism • Social programs and more

12. PC Optimum

President’s Choice is a Canadian line of grocery products and services. Through its grocery reward program, PC Optimum, the company offers point earnings for every spent dollar, with easy tracking through a mobile app that can be downloaded from Apple or Google stores.

Despite many similar programs among other grocery retailers, this program stays relevant by providing personalized rewards based on the client’s purchase history. Every 10,000 points equals $10 worth of free products, and points never expire. Customers can maximize their point-earning potential on everyday purchases like groceries, gas, and beauty with the PC Mastercard.

13. Hugo Boss Experience

The Hugo Boss loyalty program, Hugo Boss Experience, stands out with an instantly available reward system and exclusive rewards for members only. Hugo Boss attracts potential customers with limited promotions and personalized offers for loyalty program members only, private styling appointments, and VIP events. Joining the program is free of charge.

VIP features include:

• Door-to-door Uber delivery from the store • Returns without a receipt • One free standard alteration to online or offline purchases

These features represent the main aspects of the Hugo Boss loyalty program: user satisfaction and comfort.

14. Expedia Rewards

From flights to hotel rooms, Expedia offers a way to save money while traveling. With their rewards program, Expedia Rewards, members save an average of $35 per booking with the points they earn.

With their three-tier program, the more you travel, the more points and rewards you get. From 10% savings with Blue member status to free upgrades and spa credits with Gold status, customers can achieve luxurious travel perks at an affordable price. Since customers can earn points any time they book a service, it’s easy to rack them up and reap the benefits, incentivizing them to stay loyal and book with Expedia for all their travel needs.

15. REI Co-op: Co-op Membership

Although the main point of a customer loyalty program is to convince customers to spend more money on a brand, the best customer loyalty programs drive real value to their customers.

REI’s Co-op Membership program allows customers to gain access to rewards from 10% back on all purchases to discounts on experiences like adventure trips and classes — all for a $20 lifetime membership. This excellent customer loyalty program example demonstrates a financially viable way to be generous to their valued customers.

16. IKEA Family

IKEA's loyalty program, IKEA Family, rewards customers when they sign up. Even if IKEA family members do not buy furniture or homeware regularly, they can still use the discounts and offers at the on-site restaurant and food market.

The brand uses an omnichannel strategy, giving members an additional 5% discount on some categories of in-store purchases. They also offer a Buy Back & Resell service as an exclusive benefit for IKEA Family members. Customers can turn in their old IKEA furniture and receive store credit as an IKEA refund card.

17. Nike Membership

Nike loyalty program’s members gain immediate access to a range of benefits, products, and services without earning points or upgrading ratings. Customers can access members-only shoes, clothing, equipment, and accessories and use special offers from partners. Nike Membership users can create and purchase their customized shoe designs, and the brand actively encourages using the brand’s #NikeByYou hashtag on social media.

The Nike membership program is a multi-channel experience. Members automatically become part of the community using apps such as:

  • SNKRS
  • Nike Training Club
  • Nike Run Club

This helps create an enhanced customer experience based on their interests.

18. PetSmart Treats

PetSmart surprises their loyalty program members with unique offers, not just free shipping but a surprise for the pet’s birthday or Doggie Day Camp session.

PetSmart Treats offers a gamified experience to users via its mobile app. By collecting treats in an interactive game and earning points, customers receive valuable coupons that can be redeemed for various discounts on different pet products and services. Thanks to PetSmart’s commitment to the ESG policy and saving the lives of homeless pets, customers can also receive points by donating to PetSmart Charities.

19. The North Face XPLR Pass Loyalty Program

The XPLR Pass loyalty program allows members to earn points for non-transactional activities such as checking in at The North Face stores or outlets via mobile app or registering at national parks and monuments.

The North Face Renewed Take-Back program allows members to trade in old gear and receive a $10 credit for their next purchases in The North Face stores. This sustainable initiative helps the brand stand out from other competitors. The North Face also offers customers early access to limited-edition collections and a chance to test unreleased products, thus building emotional loyalty.

20. GrubHub: GrubHub+

The convenience of having food delivered straight to your door is unmatched, but the delivery fees tend to add up quickly if you do it too often. GrubHub recognized that and now offers a monthly subscription called GrubHub+, where users get unlimited free delivery on eligible orders and exclusive rewards. They even offer a donation match program, where customers can donate their change to charity, and GrubHub will match every cent.

For customers who love the convenience of takeout, the program's value outweighs the monthly subscription cost.

21. Designer Shoe Warehouse: DSW VIP

While earning points in exchange for discounts and free products is effective, adding a tier program helps gamify the experience by allowing customers to unlock new higher-value benefits for spending more on the brand. Designer Shoe Warehouse’s (DSW) loyalty program is the perfect example of a successful tier-based program. By spending more, customers access higher tiers that offer exclusivity to different products and services.

This motivates their customers in lower tiers to spend more to attain these higher tiers of exclusivity. DSW even went the extra mile by launching a personalized email campaign that details customers’ current eligibility, how much they’ve saved since becoming a DSW VIP member, and how many more points they need for their next reward.

22. Sportland ID

Sportland ID members get a permanent discount and exclusive deals through a high-functioning, integrated “My Account.” Users can log in to their existing Sportland account, view their current offers, personalized deals, points, and upcoming events, among other things, and use their Sportland ID immediately both online and in-store, getting an omnichannel experience.

Reward types include:

• Exclusive members-only deals • Discounts for different sporting events and from Sportland partners • Permanent 5% discount on products’ total price

Joining Sportland ID is free, and the membership is valid in stores and the online store immediately after registration. To use membership discounts in physical Sportland stores, customers must show the cashier a QR code of their Sportland ID. The permanent discount is always automatically applied to members’ shopping carts online.

23. H&M Membership

H&M Membership is a two-tiered loyalty program that offers many benefits for its members, such as free shipping over $40, Klarna’s flexible payment options, double points days, unique experiences, surprise offers, and special access to limited collections. Members can earn points for both online and in-store shopping. When shopping offline, they must scan their member ID via the H&M app.

Although H&M is a fast fashion brand, the company is committed to sustainable values. As part of its loyalty program, the brand includes some ESG actions to collect Conscious points: bringing a bag to the store instead of buying a new one, bringing unwanted textiles to the store for re-wearing, reusing, or recycling, and choosing climate-smart delivery.

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Tips For Creating A Successful Loyalty Program

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Establish Your Goals

Establishing goals for your customer loyalty program is crucial for achieving success. Defining clear objectives will guide the design and implementation of your program whether you aim to:

  • Increase referrals
  • Sign-ups
  • Revenue

Understand Your Audience

Customer loyalty programs can only succeed when they resonate with your audience's preferences. Your rewards must align with their desires to entice them to return. Therefore, take the time to understand your customers' needs and motivations to ensure your program is attractive to them.

Choose the Type of Program

Once you have your strategy and audience insights, it's time to pick the program type that aligns with your goals and customer interests. Determine whether a points-based system, tiered rewards, or a simple punch card appeals more to your audience. Decide whether to track the program manually or leverage customer loyalty software for more efficient management.

Market Your Program

Creating the best loyalty program is only the beginning. To attract participants, you need to market your program effectively. Consider leveraging email campaigns, messaging on receipts, or pop-ups on your website to spread the word and entice your customers to join your program.

Review Performance

Once your customer loyalty program is up and running, it is essential to review its performance regularly. Monitor participation rates, gather feedback, and leverage insights from the program software to make informed decisions. Analyzing these metrics allows you to make necessary adjustments to continuously optimize your program.

Customer-First Approach

Remember to keep your customers at the forefront throughout designing, implementing, and refining your customer loyalty program. Making every decision with your customers' needs in mind increases the likelihood of your program's success and builds stronger relationships with your audience.

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Tim Kuo

Tim Kuo

22 min read

About Giftpack

Giftpack is the world's leading Emotional Intelligence platform for business success, serving 1,400+ companies with AI-powered relationship automation. Our intelligent infrastructure transforms how enterprises build loyalty, retain talent, and strengthen partnerships through personalized rewards and recognition. With global reach across multiple countries and seamless integrations to CRM and HRIS systems, we automate meaningful connections that drive measurable business outcomes. From employee onboarding to client retention, Giftpack helps companies build authentic relationships while achieving exceptional recipient satisfaction.

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