Creating Loyalty With Millennials And Young Parents

How Automated Redemption and Card-Linked Offers Will Solve The Adoption Dilemma For Digital Coupons

A Forrester Consulting Thought Leadership Paper Commissioned By Linkable Networks

Forrester Study on Millennials and coupons

Executive Summary

Today’s consumer is growing increasingly accustomed to having access to what they want, when and where they want it. Coupons, promotional offers, and customer loyalty programs are no exception. In March 2015, Linkable Networks commissioned Forrester Consulting to evaluate consumer preferences and pain points regarding in-store CPG couponing, and identify target segments for card-linked offers. To further explore this topic, Forrester developed a hypothesis that direct-to-consumer loyalty—if done properly – is incredibly valuable to the consumer, brand, and retailer. Loyalty experiences must be digital, frictionless, and effortless in order to drive true loyalty.

In conducting in-depth surveys with 516 U.S. consumers, Forrester found that coupon usage is both prevalent among consumers and valuable for retailers and brands, driving both retention and acquisition behaviors. However, pain points in both paper and digital couponing—e.g., forgetting to use coupons—hinder active coupon usage. Card-linked offers present an opportunity to address a number of customer pain points by enabling automatic redemption through consumers’ credit and debit cards.

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