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Omnichannel Loyalty in 2025: What’s Working and What’s Not

Omnichannel Loyalty in 2025: What’s Working and What’s Not

Explore common pitfalls using data and expert commentary to map out what retailers need to succeed in today’s competitive loyalty landscape.

Retailers increasingly recognize the value of seamless loyalty programs that follow customers wherever they shop. In 2025, successful systems are powered by integrated platforms, AI-driven personalization and a focus on emotional connection, not just transactional rewards.

What Works

  • Unified Member Experience: Leading programs like Target Circle, Nike Membership and Best Buy Rewards enable point accrual and redemption online, in-store or through mobile apps, creating a consistent experience regardless of channel.
  • AI-Personalized Offers: Programs leveraging machine learning deliver personalized experiences – tailoring rewards, communications and lifecycle messaging – boosting engagement and retention.
  • Gamification & Tiering: Tiered structures, challenges and referral programs encourage active participation and customer-driven advocacy.

What Doesn’t

  • Fragmented Touchpoints: Loyalty programs that do not sync across platforms lead to disconnected experiences. For example, points are earned via mobile but are unusable in-store.
  • Low Emotional Resonance: Pure point-based programs risk disengagement if rewards feel generic. Consumers now expect programs that offer meaningful rewards and purpose-driven incentives.
  • Uniform Offers Across Channels: Lack of tailored content per channel weakens appeal, especially for brands younger customers gravitate toward.

Case Highlight: Myer One (Australia)

Myer’s revamp under new leadership leverages its loyalty data and AI heavily; 4.6 million active members generate significantly higher spend, and the program is expanding across new apparel brands. AI-driven personalization via 50+ models is enabling Myer to deliver seamless experience online and in-store.

Best Practices for Retailers in 2025

  1. Build One Customer Profile across all channels for a unified loyalty experience.
  2. Use AI to Deliver Relevant Rewards: Personalization across lifecycle, location and behavior.
  3. Iterate Based on Feedback: Use real-time metrics and customer sentiment to refine rewards and experiences.
  4. Create Emotional Loyalty: Gamified tiers, meaningful partnered perks and storytelling-rich campaigns foster deeper connections.

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