The latest research shows that for the first time, both male and female South African consumers are equally engaged in loyalty programmes, with 76% participation from each gender. This marks a significant shift from the historical trend where loyalty programmes were predominantly favoured by women. It also reflects an evolving consumer behaviour and a broader acceptance and use of loyalty rewards by men.

Shifting Gender Dynamics in Loyalty Programme Engagement

“Historically, women have led the charge in loyalty programme usage, often as the primary household shoppers,” says Kinola Pather, CEO of Randgo. “However, this equal participation from men suggests a growing recognition of the value that these programmes offer in managing personal and household expenses.”

Women are more likely to accumulate points for significant cashouts. Unlike men, who might prefer instant gratification through luxury purchases or immediate rewards, women often view loyalty points as a form of savings. They strategically accumulate these points for larger, more impactful redemptions, such as purchasing bulk essentials or offsetting significant household expenses. This approach highlights a long-term, value-driven mindset that women bring to their loyalty programme participation.

“Typically, men look to quickly redeem rewards and turn their attention to tech gadgets, entertainment, or dining experiences. This difference in spending patterns illustrates the divergent ways in which men and women perceive and use loyalty programmes. It also reflects how women are more likely to stick with a programme to accumulate rewards that can be used as a cost-savings tool for household goods,” Pather explains.

Income-Based Loyalty Behaviour: Higher Income vs. Mass Market

Beyond gender differences, the research also highlights distinct patterns between consumers earning above R25,000 per month and those earning less. Consumers with greater disposable income typically engage with a wider variety of loyalty programmes, averaging around 9.4 programmes per person. These individuals often prioritise rewards that offer luxury or lifestyle benefits, such as travel discounts or exclusive dining experiences.

On the other hand, mass market consumers tend to focus on programmes that offer essential savings, such as grocery discounts and airtime rewards. This group uses fewer programmes — around 4.8 on average — but places a higher value on the tangible savings these programmes provide.

“Brands need to recognise these differences and tailor their loyalty offerings accordingly,” advises Pather. “For higher-income consumers, offering rewards that align with their lifestyle aspirations is key, whereas for the mass market, the focus should be on everyday value and cost savings.”

Tailoring Loyalty Programmes for Better Engagement

South African brands should take a more nuanced approach to their loyalty strategies. Understanding that both gender and income level significantly influence how consumers engage with loyalty programmes is crucial. This knowledge can help companies develop more targeted loyalty strategies that address the unique preferences and motivations of different customer segments.

“By recognising and catering to these differences, brands can create more personalised and effective loyalty programmes that resonate with their diverse customer base,” concludes Pather.

Press Release Submitted By:

• Company Name: Randgo
• Contact Person: Kinola Pather
• Contact Email: This email address is being protected from spambots. You need JavaScript enabled to view it.
• Website: www.randgo.co.za

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