Loyalty programs' popularity surges: study

A staggering 93.6 per cent of Canadian consumers belong to at least one loyalty program, says a new survey, anine per cent increase over the past two years.

Tough economic times appear to be driving the trend, finds the survey conducted by Colloquy. It finds that 25.8 per cent of respondents said that participation in loyalty programs, which award points for purchases or services, have become "more important" due to the recession.

Membership in these programs rose most among Canadians aged 18 to 25, with an increase of 11 per cent since 2007. Thirty-five per cent of this group says the economic climate has made belonging to a loyalty program more important.Among those with incomes over $125,000, membership held at 96 per cent participation between 2007 and 2009.

"We were already aware that Canada was a congested loyalty arena," said Rick Ferguson, editorial director of Colloquy, in a release. "But to see a nearly 10 per cent jump in such a market says that consumers are turning to rewards programs more than ever to offset economic woes."

Survey participants were asked if they belonged in any rewards programs that offer points, miles, gift certificates, discounts off purchases orhave rebates that require them to make/track purchases in order to receive special benefits.

The survey polled 2,934 Canadians who participated in the company's opt-in online panels. It was conducted in April 2009 and had a plus or minus five per cent margin of error.