Retailers are partnering with multi-brand loyalty program providers as a business differentiator

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Dublin, May 17, 2022 (GLOBE NEWSWIRE) — The “Germany Loyalty Programs Market Intelligence and Future Growth Dynamics Databook – 50+ KPIs on Loyalty Programs Trends by End-Use Sectors, Operational KPIs, Retail Product Dynamics, and Consumer Demographics – Q1 The report “Update 2022” has been added to from ResearchAndMarkets.com offer.

Germany Loyalty Program Market Expected to Grow 12.1% YoY to US$5,177.7 Million in 2022

In terms of value, the loyalty program market in Germany recorded a CAGR of 12.6% during the period 2017-2021. Germany loyalty program market will continue to grow during the forecast period and is expected to register a CAGR of 11.7% during the period 2022-2026. The loyalty program market in the country will grow from US$4620.1 million in 2021 to reach US$8054.7 million by 2026.

Although it is very difficult to determine which industry was the first to use loyalty programs in Germany, cafes, department stores and travel agencies were certainly among the first to adopt them. Therefore, with the evolution of rewards program technology, new opportunities and features have become available, and the next generation loyalty and rewards strategies have been developed by brands to connect with the customer.

In Germany, with the onset of the pandemic, customers were and are more interested than ever in savings opportunities and coupons. According to PAYBACK, one of Germany’s leading bonus program providers, the company’s customers collected points worth €473 million in 2020, up from €20 million more than the last year. The high redemption rate reveals that Germans benefited from the rewards and coupons among its vast network of partners during the pandemic period.

According to PAYBACK, since its launch in March 2000, customers have collected €5 billion in points on their purchases through January 2022. So for Germans who love collecting, whether it’s reward points or of airline miles, the publisher expects the loyalty market to experience growth over the next three to four years in Germany.

Germany-Based Neobank Providers Expand Cashback Rewards Programs for US Customers

In order to help its US mobile banking customers during the pandemic, challenger banks are expanding their rewards program.

  • In March 2021, German neobank N26 expanded its cashback rewards program called Perks in partnership with a card-linked rewards platform, Dosh, for its US-based mobile banking customers.

  • Bank customers will be able to earn money by making purchases at participating merchants such as local stores, superstores and national quick-service restaurants (QSRs).

  • Therefore, through the use of N26 cards, customers will be able to earn money directly into their accounts for the purchase of daily essentials like gas and groceries.

  • Notably, all neobank customers will be automatically enrolled in the program, and this program will also notify prospective sellers of the customer’s spending activity.

  • Additionally, the neobank has added features to help customers save money or allocate resources as they wish.

Since the bank expanded the Perk program to limit the impact of the pandemic on the finances of millions of Americans, the publisher expects this loyalty program to not only help the bank attract new customers, but also to retain existing customers.

Retailers are partnering with multi-brand loyalty program providers in Germany as a business differentiator

In order to grow their business, omnichannel retailers are partnering with loyalty platforms to send customers personalized and relevant offers and coupons offline, online and on mobile.

  • In September 2021, baby-walz, Germany’s leading omnichannel retailer for baby products, joined forces with PAYBACK. Thanks to this partnership, points will be awarded to customers for their purchases in the 23 baby-walz stationery stores across the country from the end of 2021.

  • However, customers will be able to earn 20 times more points for every purchase made at baby-walz.de, starting from September 2021 to October 2021.

Online gift voucher providers are collaborating with multi-brand loyalty program providers to expand their customer base

With increasing competition in the market, companies are trying to find ways to stay afloat and expand their market share. According to a recent survey, it appeared that online voucher platforms are more focused on expanding through strategic partnerships in Germany.

  • In December 2021, voucherize has partnered with PAYBACK which will help its customers to receive 5 points on every online voucher purchase.

  • In particular, voucherize allows the customer to send their loved one personalized vouchers from numerous partners in a special design and different formats. Additionally, AboutYou, OTTO, JYSK, Thalia, Douglas, Amorelie, Jochen Schweizer and others are the joint partners of both companies.

Shopping Rewards Companies Acquire Loyalty Platforms to Grow Market Share in the Region

In a bid to create the largest global digital rewards, savings and shopping content platform in Europe, shopping rewards companies are acquiring loyalty platforms from the country.

  • In January 2021, the German company Global Savings Group (GSG) announced the acquisition of the loyalty platform Shoop Germany.

  • GSG also acquired the French cashback company iGraal in March 2020. Thus, thanks to these acquisitions, the company strengthens its position in the loyalty market in Europe.

Since Germany is still a comparable underserved market in terms of online cashback rewards, GSG is trying to capture the market by expanding its comprehensive portfolio of consumer engagement platforms and solutions in the country.

Scope

Germany Loyalty Spending Market Size and Future Growth Dynamics by Key Performance Indicators, 2017-2026

Germany loyalty spending market size and future growth dynamics by functional areas, 2017-2026

  • Loyalty programs

  • Loyalty platforms

Germany Loyalty Spending Market Size and Future Growth Dynamics by Loyalty Program Type, 2017-2026

  • Points-based loyalty program

  • Tiered Loyalty Program

  • Subscription Loyalty Program

  • Loyalty program

  • Coalition Loyalty Program

  • Hybrid Loyalty Program

Germany loyalty spending market size and future growth dynamics by channel, 2017-2026

Germany loyalty spending market size and future growth dynamics by key sectors, 2017-2026

  • Retail

  • Financial services

  • health and wellbeing

  • Restaurants and food delivery

  • Travel and hospitality (taxis, hotels, airlines)

  • Telecoms

  • Media and entertainment

  • Others

Germany Loyalty Spending Market Size and Future Growth Dynamics by Retail, 2017-2026

  • Diversified retailers

  • Department stores

  • Specialty stores

  • Clothing, shoes and accessories

  • Toy and hobby stores

  • Supermarket and Convenience Store

  • home products

  • Other

Germany Loyalty Spending Market Size and Future Growth Dynamics by Accessibility, 2017-2026

  • Access by card

  • Digital access

Germany loyalty spending market size and future growth dynamics by consumer type, 2017-2026

  • B2C consumers

  • B2B consumers

Germany Loyalty Spending Market Size and Future Growth Dynamics by Loyalty Platforms, 2017-2026

Germany loyalty spending market size and future growth dynamics by software platform, 2017-2026

  • Custom built platform

  • Ready-to-use platform

Germany loyalty spending market size and forecast by demographics and consumer behavior, 2021

  • By age group

  • By income level

  • By gender

For more information about this report visit https://www.researchandmarkets.com/r/f4ntro

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