Dublin, May 17, 2022 (GLOBE NEWSWIRE) -- The "China 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 2022 Update" report has been added to ResearchAndMarkets.com's offering.
Loyalty Programs Market in China is expected to grow by 13.5% on annual basis to reach US$ 17821.7 million in 2022
In value terms, the Loyalty Programs Market in China has recorded a CAGR of 13.7% during 2017-2021. The Loyalty Programs Market in China will continue to grow over the forecast period and is expected to record a CAGR of 13.0% during 2022-2026. Loyalty Programs Market in the country will increase from US$ 15702.3 million in 2021 to reach US$ 29105.5 million by 2026.
In the last two to three years, the e-commerce market experienced rapid growth in China, and along with the growth of the online market, the loyalty and rewards programs industry also surged significantly in the country. Notably, e-commerce platforms across different product categories started offering loyalty programs to gain increasing market share and revenue. These programs provided good results to e-commerce players when compared to western standards.
As the trend in online shopping continued to gain momentum during the last decade, the adoption of loyalty and rewards programs also gained widespread popularity in the country. This trend is expected to continue as global and local brands continue to seek loyalty and rewards programs as a differentiation factor in their strategy further.
In China, the rising adoption of loyalty and rewards programs from different industries is also driving market growth. From retailers to quick-service restaurants and airline providers are all offering loyalty and rewards programs to attract new customers while driving their growth in the country. Notably, global brands, such as KFC and Starbucks, have also launched their loyalty programs to compete with local brands in China.
Moreover, global payment provider such as Visa is also one of the key players in the Chinese loyalty and rewards programs industry. Apart from these, global loyalty and rewards program providers such as My Rewards are looking to expand their footprint in China. The publisher expects the entry of such global loyalty and rewards program providers to further intensify competition in the Chinese market from the short to medium-term perspective.
Quick-service restaurants are launching green rewards programs to expand their market share in China
To promote a more sustainable lifestyle and attract consumers who are driven by eco-friendly brands, quick-service restaurants are launching green rewards programs that incentivize consumer behaviors.
In December 2021, KFC China announced that it is launching a three-week green rewards program that encourages and incentivizes the behavior of consumers that helps in reducing carbon reduction. Some of the actions for which KFC China is rewarding customers include mobile ordering, opting out of using disposable cutlery, waste ordering, reducing food waste, and in-store pickup.
For these actions, KFC China is offering green points that customers can use for receiving special coupons. Notably, the quick-service restaurant launched the rewards program in all of the 7,900 stores across China and was accessible to the more than 320 million KFC members in the country. During the three-week campaign in December 2021, over 28 million members participated in the rewards program, which helped in a total carbon reduction of 145 tons of CO2 equivalent.
Chinese airline service providers are launching loyalty programs globally
The global pandemic outbreak has severely affected the aviation industry in the last two years. However, as the impact of the pandemic starts to diminish around the world, providers are looking to capitalize on the pent-up demand to drive recovery and growth in China. Consequently, airline service providers in the country are launching loyalty programs globally. For instance,
In September 2021, China Eastern Airlines announced that it is launching a new loyalty program, the Eastern Miles membership. Under the new loyalty program, the firm is offering flyers with a membership upgrade offer, new points accumulation system, a new point exchange method, a new product series, and a new service platform.
Moreover, the new loyalty program launched by China Eastern Airlines also addresses the most common concern that travelers have globally - the validity of their accumulated points. Notably, the loyalty program will extend their points' validity from the initial three years to long-term rolling effective. The points will be invalid only after being dormant consecutively for over three years. During this period, the points accumulated by flyers will remain valid and can be redeemed as required by the traveler.
Chinese consumers are comfortable sharing their data compared to consumers in other markets
While consumers are increasingly becoming wary of how brands and businesses use their data in countries such as Australia, Brazil, the United States, and the United Kingdom, consumer behavior in China is more opposite.
According to the Q1 2022 Global Loyalty and Rewards Market Survey, Chinese consumers are comfortable sharing personal data with brands and businesses. This is primarily due to consumers seeking a more personalized loyalty program based on their transactional data.
Notably, brands and businesses can leverage this consumer behavior to offer a more seamless and personalized loyalty program to meet the expectations of Chinese consumers, thereby allowing them to boost their growth in the country further.
China Loyalty Spend Market Size and Future Growth Dynamics by Key Performance Indicators, 2017-2026
China Loyalty Spend Market Size and Future Growth Dynamics by Functional Domains, 2017-2026
China Loyalty Spend Market Size and Future Growth Dynamics by Loyalty Program Type, 2017-2026
Point-based Loyalty Program
Tiered Loyalty Program
Subscription Loyalty Program
Perks Loyalty Program
Coalition Loyalty Program
Hybrid Loyalty Program
China Loyalty Spend Market Size and Future Growth Dynamics by Channel, 2017-2026
China Loyalty Spend Market Size and Future Growth Dynamics by Key Sectors, 2017-2026
Healthcare & Wellness
Restaurants & Food Delivery
Travel & Hospitality (Cabs, Hotels, Airlines)
Media & Entertainment
China Loyalty Spend Market Size and Future Growth Dynamics by Retail, 2017-2026
Clothing, Footwear & Accessories
Toy & Hobby Shops
Supermarket and Convenience Store
China Loyalty Spend Market Size and Future Growth Dynamics by Accessibility, 2017-2026
Card Based Access
China Loyalty Spend Market Size and Future Growth Dynamics by Consumer Type, 2017-2026
China Loyalty Spend Market Size and Future Growth Dynamics by Loyalty Platforms, 2017-2026
China Loyalty Spend Market Size and Future Growth Dynamics by Software Platforms, 2017-2026
Custom Built Platform
Off the Shelf Platform
China Loyalty Spend Market Size and Forecast by Consumer Demographics & Behavior, 2021
By Age Group
By Income Level
For more information about this report visit https://www.researchandmarkets.com/r/7q4bl6
CONTACT: CONTACT: ResearchAndMarkets.com Laura Wood, Senior Press Manager email@example.com For E.S.T Office Hours Call 1-917-300-0470 For U.S./CAN Toll Free Call 1-800-526-8630 For GMT Office Hours Call +353-1-416-8900