444: #444: Personalizing the Customer Loyalty Experience with Andy Hermo, iSeatz

According to a recent report titled “The Tipping Point for Travel Loyalty in 2023” from iSeatz, while 61% of consumers believe that the loyalty programs they belong to are helping them to save money and get more value from their travel experience, only 51% of them visit their loyalty program website first when making travel booking decisions. What’s worse – 63% of loyalty providers thing they are their members’ first choice. So there are some disconnects between what customers want and are experiencing, and what loyalty programs are providing.

Today we’re going to talk about the state of customer loyalty programs and the role of personalization in improving customer retention and lifetime value.

To help me discuss this topic, I’d like to welcome Andy Hermo, Chief Commercial Officer at iSeatz.


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iSeatz Loyalty Series report:


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According to the podcast episode, companies must prioritize understanding and meeting their customers’ needs to improve their loyalty programs. One challenge is the lack of options and breadth of offerings in loyalty programs, which prevents customers from always choosing their loyalty program provider first. To enhance loyalty programs, customers expect a wide range of options that cater to their preferences and interests. Technology also plays a crucial role, and companies without modern tech stacks may struggle to keep up with evolving consumer needs. It is essential to invest in scalable and adaptable platforms that can incorporate advanced personalization capabilities. Additionally, dedicated and highly talented resources are necessary to drive a strategic loyalty approach. Relying on shared or part-time resources from marketing or finance departments may not be sufficient for effective loyalty program management. Therefore, companies should prioritize understanding and meeting customer needs, leveraging technology, and investing in the right talent to improve their loyalty programs.

The episode highlights the rapid evolution of technology and the challenges faced by companies without modern tech stacks in meeting consumer needs. Modern platforms are scalable and easily adaptable to new capabilities, such as advanced personalization. To stay competitive and effectively cater to consumer demands, companies need to invest in modern technology. The episode emphasizes the importance of dedicated and highly talented resources in the loyalty department to drive a strategic loyalty approach. It also mentions that implementing modern technology and capabilities in loyalty programs requires a significant investment. While some companies excel in personalization, there are different levels of personalization, with hyper-personalization utilizing AI and real-time data to understand true intent and offer more meaningful experiences. Overall, the episode highlights the importance of staying up-to-date with technology advancements and leveraging modern tech stacks to effectively meet consumer needs.

According to the episode, one of the most crucial actions to improve customer loyalty programs is to focus on providing a great user experience and engaging members frequently. This involves creating a program that is easy to use and navigate, as well as offering incentives and rewards that encourage active participation. By capturing data throughout the customer journey, companies can better understand member preferences and tailor their loyalty program accordingly. The episode emphasizes the importance of consistent member engagement and data capture to drive deeper engagement and enhance the overall effectiveness of the loyalty program.

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