Staff Reporters
Jun 8, 2011

Hong Kong natives balk at retailer reward programmes : Nielsen

HONG KONG - Inconvenient application processes and unattractive offerings are putting 58 per cent of local shoppers off retailer rewards programme, says Nielsen.

Oliver Rust, managing director, Nielsen Hong Kong
Oliver Rust, managing director, Nielsen Hong Kong

The market research company has based its findings on a telephone survey of 500 consumers aged between 15 and 64. The survey's objective was to understand their habits and expectations when participating in retailer reward programmes.

Research showed that most Hong Kong natives were frustrated by the reward programme's complicated application process (17 per cent), and the unattractive rewards offered. A futher 16 per cent were simply not interested in anything retailers had to offer.

“Hong Kong consumers are very time conscious and as a result, an easy and simple application is an important criterion for consumers to consider enrolling in any reward programmes,” said Oliver Rust, managing director, Nielsen Hong Kong. “While consumers mainly participated in the rewards programmes for the discounts, attractive and targeted rewards is another key attribute for retailers to consider as they launch their reward programme to meet the expectation of their targeted customers."

Preferred application processes are in-store with direct help from well-trained staff (68 per cent). Only 22 per cent prefer to apply online.

So what would get them to sign up? Mostly, consumer want cash coupons (60 per cent), discounts (57 per cent) and cash rebates (53 per cent). If the offers are product-related, they should be customised to consumer needs. Furthermore, reward redemption methods are also important factors for consumers. 

"While cash discounts are more important in triggering people to participate, discount offers are more effective in retaining continuous patronage of shoppers. Product education and information sharing are also key tools to leverage for continuous patronage,” Rust commented.

Campaign China

Related Articles

Just Published

2 hours ago

Pepsi unveils a new logo: a look back at the logos ...

A bold leap forward, the design reflects changing consumer tastes and the brand's digital ambitions. Also, it comes just in time for Pepsi’s 125th anniversary.

2 hours ago

2022 new-biz review: Which creative agencies came ...

Campaign looks at the top ad agencies ranked by gross new-business billing in 2022.

4 hours ago

The importance of delivering a personalised ...

Privacy can no longer be a business afterthought; it must be a strategy from inception, says Cybage executive.

7 hours ago

Shahrukh Khan and Vijay Deverakonda reveal the ...

Watch the ad films conceptualised by Ogilvy here.