With customer acquisition costs rising and competition intensifying, loyalty rewards programmes are more important than ever. But the best ones go beyond rewards. They tap into emotion, speak the correct language, and create memorable brand experiences. A 2025 research report from Everlytic and BreadCrumbs Linguistics sheds light on the behavioural marketing insights driving successful loyalty rewards campaigns, and how brands can use them to drive deeper customer engagement.
Why Loyalty Programmes Matter Today
Beyond simply retaining customers, loyalty programmes have evolved into strategic tools that shape long-term growth and deepen customer relationships. One of the clearest signals of this shift is the resurgence of rewards-based marketing.
The Rise of Rewards-Based Marketing
Rewards marketing has witnessed a resurgence in recent years as businesses look for more effective ways to influence customer behaviour and build long-term loyalty. From discounts, cashback, and freebies to exclusive perks and member benefits, businesses increasingly leverage these incentives to positively influence consumer behaviour and drive engagement.
Everlytic partnered with behavioural communications agency, BreadCrumbs Linguistics, to explore why some reward-based emails outperform others. The dataset used included the top 20 rewards-driven mailers sent through the Everlytic platform in 2024, ranked by key engagement metrics, including open rates and click-through rates. Here’s a look at some of the findings.
Clear Communication as the Foundation of Loyalty
One of the most powerful findings from the Everlytic research underscores the importance of simplicity in communication. High-performing loyalty campaigns universally employ clear, concise messaging that enables easy understanding and swift action. With readability scores averaging around 64%, it shows that simplifying your loyalty programme messaging can drastically reduce friction and increase participation rates.
Emojis: The Surprising Engagement Tool
Despite their informal nature, emojis are back! These playful visual elements humanise brands, making emails feel more personal, approachable, and engaging. And, even more surprisingly, exclamation marks have joined in. High-performing campaigns featured imperative language and exclamation marks throughout, particularly in the subject lines of their emails.
Emotional Rewards are Going Beyond Tangibles
While tangible incentives (like discounts and free products) remain highly effective, intrinsic rewards – those tied to emotional satisfaction – are equally powerful. Intrinsic rewards, such as emotional satisfaction through recognition and praise, have proven to be as impactful as tangible incentives. Campaigns highlighting personal achievements foster deeper emotional connections without additional costs. Therefore, incorporating emotional rewards into your messaging can significantly enhance customer loyalty and engagement.
Urgency and Scarcity Compel Immediate Action
One particularly interesting behavioural marketing insight uncovered by the Everlytic research revolves around the psychological principle of urgency. Campaigns employing language that conveys immediate action (e.g., “Claim your reward now!”) significantly outperformed less urgent messaging. These tactics capitalise on the human tendency known as present bias – our innate preference for immediate gratification over future benefits. Integrating urgency-based communication into your loyalty programme can encourage quicker responses and heightened engagement levels.
Boosting Perceived Value through Exclusivity
The allure of exclusivity proved incredibly effective in top-performing loyalty campaigns. By presenting rewards as exclusive or limited to select members, brands elevate perceived value and consumer desire. Phrases like “members-only benefits” and “exclusive offer” proved very successful in promoting feelings of privilege and importance among consumers. Communicating exclusivity in your loyalty programme can thus boost perceived value and customer engagement.
The Irresistible Appeal of Free
The psychological bias towards valuing “free” offerings more than their actual monetary worth translates directly into increased customer engagement. Even simple gestures elicited enthusiastic responses from recipients, like offering free coffee or complimentary event access. However, the research also advises moderation – overusing “free” can diminish perceived value and customer trust over time.
Building Stronger Connections through Ownership and Personalisation
One of the strongest behavioural drivers in customer loyalty programmes is personalisation combined with a sense of ownership. Framing rewards as inherently belonging to customers (e.g., “Your reward is waiting!”) triggers the psychological phenomenon known as the Endowment Effect, in which individuals assign greater value to items they perceive as already theirs. Additionally, personalised messaging using second-person pronouns (“you,” “your”) enhances the feeling of personal connection and relevance, increasing engagement and retention rates.
Abundance and Tiered Rewards: Offering More to Get More
Another prominent theme in successful loyalty programmes is the concept of abundance. Today’s consumers are attracted to programmes offering expansive, dynamic rewards. Messaging around “boosted rewards” and “multiple ways to earn”, positions a programme as generous and enticing. Moreover, tiered reward structures that clearly define progression and associated benefits were exceptionally effective. These structures leverage intrinsic motivators such as achievement and status, encouraging continuous engagement.
Strategic Partnerships Amplify Rewards
The Everlytic research highlights the importance of strategic partnerships in enhancing the perceived value of loyalty reward programmes. Collaborations between complementary, non-competing brands significantly boosted customer interest and participation. By offering co-branded rewards or integrating high-profile events (e.g., the Olympics), brands increase relevance and excitement around their loyalty programmes. Consider forming strategic partnerships to broaden your programme’s appeal and amplify its perceived value.
Community and Belonging Deepens Emotional Bonds
Moving beyond mere transactions, today’s consumers increasingly seek emotional connections and shared values with the brands they engage with. Successful loyalty programmes integrate storytelling and create a sense of community and belonging. Language emphasising exclusive access, membership privileges, and shared community values, proved especially powerful in strengthening emotional loyalty.
5 Practical Tips to Improve Your Loyalty Programme Messaging
Here are five quick, actionable steps to enhance your next loyalty campaign:
- Generously use second-person pronouns (“you,” “your”) to personalise messages.
- Highlight exclusivity clearly to boost perceived value.
- Simplify the path to rewards with numbered steps or visual cues.
- Add urgency thoughtfully, pairing it with clear benefits.
- Emphasise emotional rewards alongside tangible incentives.
Longevity in Loyalty: Turning Customers into Advocates
Loyalty is more than a marketing tactic – it’s a strategic lever that can transform casual customers into passionate brand advocates. As the Everlytic and BreadCrumbs Linguistics research demonstrates, successful loyalty programmes leverage behavioural insights strategically to drive customer engagement and retention. Whether your incentives are tangible rewards, emotional motivators, or community-centric benefits, clear communication and thoughtful behavioural marketing strategies significantly elevate effectiveness. By embedding these behavioural principles into your loyalty programme, you’ll create robust, meaningful connections with your customers, enhancing both immediate interactions and sustained loyalty.