Booking Holdings(US:BKNG) Prnewswireยท2025-10-31 04:53Core Insights - The report by Rocket Travel by Agoda and Skift highlights the widening "value gap" in loyalty programs, indicating a disconnect between consumer expectations and brand offerings [1][2] - With 77% of consumers more likely to abandon loyalty programs than three years ago, the report emphasizes the need for brands to enhance clarity, flexibility, and relevance in their loyalty offerings [2] Summary by Sections Loyalty Program Challenges - Traditional loyalty programs are failing to meet modern consumer expectations, risking lost revenue for brands [3] - Only about 50% of loyalty points earned are redeemed, and 43% of customers have stopped participating due to slow reward accumulation [3] Recommendations for Improvement - The report provides a practical blueprint with six capabilities to enhance loyalty programs, focusing on redemption, usability, transparency, and exclusivity [3][6] - Key capabilities include: 1. Flexible Commerce Infrastructure: Streamlining checkouts with real-time point balances and instant confirmations [6] 2. Data and Personalization Engine: Utilizing AI-driven insights for tailored recommendations [6] 3. Partner and Inventory Strategy: Expanding inventory with competitive pricing and exclusive perks [6] 4. Marketing Technology and Customer Journeys: Reducing point breakage through lifecycle messaging [6] 5. Governance and Controls: Ensuring fair dynamic pricing with transparent rules [6] 6. Cross-Functional Collaboration: Uniting loyalty, operations, and data teams to optimize key metrics [6] Industry Insights - The report is based on research, case studies, and interviews with industry leaders, demonstrating how effective loyalty programs can drive repeat bookings and strengthen customer relationships [4][5] - The shift towards flexible, accessible, and personalized loyalty programs is evident, with customers seeking value in everyday life as well as during travel [5][7]