Nearly 75 Percent Of Female Millennials Enrolled In Retail Loyalty Programs


Among top US retailers, Kohl’s enjoys the highest percentage enrollment of Millennials (18 – 33 years old). That’s according to survey data from white-label retail loyalty platform provider PunchTab.

The firm conducted two separate surveys of more than 1,000 US Millennials in late 2013 and early 2014.

Kohl’s is one of the largest US retailers by number of stores and sales. That may factor into the finding of its loyalty program popularity.

Retail loyalty

Source: PunchTab

The survey also found, as with other groups, that Millennial shoppers tend to trust and rely upon word of mouth and the opinions of other people rather than brand communications or advertising. Millennials are also very socially engaged with nearly 80 percent on social media sites.

Facebook was the top social site for fashion related discovery and sharing, beating out Pinterest and Instagram.

According to the survey, a large majority (74 percent) of female Millennials and 52 percent of Millennial men were members of fashion-related loyalty programs. Millennials appear to be more focused on and engaged with fashion and shopping than other demographic segments.

During in-store retail shopping trips, mobile Millennials display generally the same types of behaviors and attitudes as other smartphone owners:

  • 58 percent check user reviews before making purchase
  • 57 percent compare prices before making purchase
  • 24 percent seek opinions from their social network
  • 50 percent would provide their mobile # in exchange for geo-targeted discounts

Incentives and loyalty rewards for this group are especially important. The most popular categories of rewards were “exclusive access to events and products,” ability to achieve “elite” status with strong perks (e.g., personal shoppers, expedited check-out) and the ability to quickly earn and redeem points. 

Millennial shopping

Source: PunchTab

As the chart above indicates, Millennial engagement with brands and retailers was much higher with incentives. However it’s not clear how “sincere” those incentivized actions are.

According to the study Millennials are an especially important segment because they constitute 25 percent of the total US population and “wield over $600 billion in annual spending power.”

About The Author

Greg Sterling is a Contributing Editor at Search Engine Land. He writes a personal blog, Screenwerk, about connecting the dots between digital media and real-world consumer behavior. He is also VP of Strategy and Insights for the Local Search Association. Follow him on Twitter or find him at Google+.



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