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10 Best Loyalty Programs in Canada and Usage Trends

10 Best Loyalty Programs in Canada and Usage Trends

advice And R3 Marketingin collaboration with Ad hoc Research, released 7th LoyalT Research Edition. LoyalT represents Canada’s most comprehensive study of loyalty program effectiveness, based on a sample of 10,000 Canadian respondents and a unique methodology, officials said in a press release.

List of the 10 Best Loyalty Programs in Canada

By ranking No. 1 on LoyalT’s list for the first time, PC Optimum has cemented its reputation as a leader in relationship and loyalty marketing, the report said.

“Metro’s new private coalition program Moi, launched in 2023, rose to third place. Bringing together the brands Brunet, Première Moisson, Jean Coutu and Super C, Moi replaces the Metro&moi program, which has been a favorite in our rankings in past years. While Sephora’s Beauty Insider is new to the list since 2018, Pet’s Rewards (Global Pet Foods), Nike Membership and Air Miles are new.

“Air Miles has experienced significant growth since its acquisition by BMO. The program’s performance has improved, thanks in part to changes to its business model and joint card offerings that drive even greater engagement. Despite its fifth-place finish, the Air Miles program appears to have stalled in Quebec following the withdrawal of a number of major retailers such as RONA, Jean Coutu and IGA. It received an average LoyalT score of 88 in Quebec and 111 in the rest of Canada. More than 20 per cent of Quebecers said they signed up for the program in the last 12 months.”

The report states that the company is missing from the list of top companies, given its 25th position.th Here, the new coalition program Scène+ (Banque Scotia and Cineplex) is showing lackluster results. Although 2024 saw its strongest member growth (more than 10 million), the program failed to create a connection with its members or influence their purchasing behavior and frequency of visits, the report said.

Hans Laroche
Hans Laroche

“Mobile experience today is an important element that contributes to the effectiveness of the loyalty program,” said Hans Laroche, Senior Loyalty Consultant at adviso/R3 Marketing.

Some key findings from the report:

  • Inflation has affected the consumption habits of members. Nearly one in three Canadians (32 per cent) have changed their food choices to maximize loyalty point accumulation, up from 27 per cent in 2023 and 23 per cent in 2021;
  • For the first time, Amazon Prime’s subscription rate has surpassed Costco’s: 54 percent of Canadians are members compared to Costco’s 51 percent;
  • Youth (18-35) continues to be the segment with the largest number of members. The 2024 study also shows that they are more engaged and more satisfied with both the overall program and promotional offers;
  • Participation in gamification has increased among the 18 to 54 age group. This increase is particularly noticeable among people aged 18 to 35, of whom 33 percent frequently participate in games, competitions, surveys and competitions, representing an increase of seven percentage points;
  • More and more Canadians are choosing a digital loyalty card. 42 percent say they prefer this method, up 10 percentage points from the previous year;
  • 55 percent of Canadians frequently use loyalty programs that have excellent mobile apps, compared to 41 percent of programs whose experience is poor.
  • In 2024, Canadians participated in an average of 19 programs, up five from 2023. This number represents the highest level observed in LoyalT’s seven years of research. However, only seven programs are used regularly, which is the same as last year and barely higher than what was seen in 2021. The percentage of programs used on a regular basis dropped from 50 percent to 36 percent, indicating that Canadians are becoming increasingly selective about the programs they choose to use on a regular basis;
  • One in three participants said they visit retail stores more often (32 percent) and concentrate their purchases more (36 percent). These two indicators have increased by four percentage points since 2023.
Jonathan Pollender
Jonathan Pollender

“We are often asked if there is a decrease in loyalty. The answer is no; The above figures are very high and demonstrate the effectiveness of these programs, which is also confirmed by our cost-effectiveness analysis of numerous programs. Programs that are able to increase visit frequency and purchase concentration show very high ROI,” he said. Jonathan Pollender, Business Strategy Consultant at Adviso.

Elizabeth Henry
Elizabeth Henry

“This research goes far beyond simply ranking programs. It is replete with valuable information about the needs and perceptions of Canadian consumers in terms of their attitudes and attachments to brands. It highlights best practices for getting attention and building real, lasting relationships. At adviso, we firmly believe that relationships are fundamental to the future of marketing,” he said. Elizabeth Henry, CEO and Partner at adviso.

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