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With a growth rate of 5.6%, the Philippines stands out as one of Southeast Asia’s fastest-growing markets. Driven by a relatively young and rapidly expanding population, the region is brimming with opportunities and potential.
This rapid economic expansion is more than just a statistic—it’s a testament to the country’s vibrant consumer landscape and the evolving strategies businesses are employing to capture and retain customer loyalty. As competition intensifies, brands are increasingly turning to innovative loyalty programs to differentiate themselves and foster deeper connections with their clientele.
In this blog, we’ll explore the top 5 loyalty programs in the Philippines, highlighting how these programs are not only enhancing customer satisfaction but also driving repeat business and long-term brand loyalty. But before that, let’s have a look at some of the key trends shaping the consumer landscape of the Philippines.
1) Seeking vouchers: In a recent search by Google in the Philippines, it was found that there is a 47% increase in searches for ‘voucher code’ reflecting the rising usage of online marketplaces and promotional offers on those platforms. While this was encouraged by some sale promotions offered by brands allowing consumers to break free from their pandemic hesitations and bring them back to the stores.
2) Leveraging omnichannel: While digital channels were facing slow-paced growth in the Philippines, the pandemic pushed for a more omnichannel marketplace, where consumers can choose their mode of transaction or interaction with a brand depending on where they are. Some consumers are hungry for an in-store experience, and others may visit stores only to get the touch and feel of a product before buying it online. Overall, Filipinos find themselves comfortable in a blended shopping experience combining both digital and physical aspects.
3) Rise of online shopping: The Philippines is witnessing a remarkable surge in online shopping, fueled by Filipinos’ increasing prioritization of convenience and accessibility. Robust internet penetration across the nation is driving this trend, with more people opting for the ease and efficiency of online platforms. This shift is poised to accelerate even further, with a global report projecting a 19.6% growth in online shopping in the Philippines. As consumers embrace digital retail, the e-commerce landscape is transforming, presenting exciting opportunities for businesses to innovate and cater to the evolving preferences of this dynamic market.
7-Eleven has 1300 stores across the Philippines with a 60% market share in the 24-hour convenience store space. Through its unique app-based loyalty program called Cliqq Rewards, customers can earn points by presenting their loyalty barcode during a purchase at a 7-Eleven store. The barcode is scanned at the point of sale and customers can get instant access to their rewards. For every transaction, customers get 1 point. The accumulated points can be used to purchase prizes from the rewards catalog. The app is also integrated with the Cliqq Wallet which customers can use to pay.
With a massive portfolio of department stores, supermarkets, and specialty stores, SM Retail has cleverly interlinked its offerings with a single card – the SM Advantage Card. This is one of the country’s biggest rewards programs that offer points, discounts, and freebies for every purchase at any SM store including The SM Store, SM Supermarket, Savemore, Waltermart, Alfamart, Ace Hardware, Toy Kingdom, Our Home, and many more. The SM Advantage Card gives customers access to several third-party rewards and provides free home delivery.
One of the Philippines’ leading fuel stations, Petron has been offering a loyalty card for several years. Last year, the fuel retailer collaborated with Capillary Technologies to come up with an app-based digitized loyalty program to delight customers for every transaction. Users can download the Petron Value Card app, create a loyalty profile, track transactions, rewards, and points, and get access to tools like the ‘Station Finder’ and ‘Fuel Mileage Calculator’. Users also get special access to personalized offers, and benefits and can even redeem their points to buy flight tickets with 3 major airlines – Philippines Airlines, AirAsia, and Cebu Pacific.
Capillary’s agile platform also enabled Petron to significantly reduce response times and integrate with other partner ecosystems. Talk to our experts to find out how Capillary can help you achieve robust ROI-driven loyalty programs.
The Gokongwei Group is one of the largest and most diversified Filipino conglomerates that is spread across several verticals including telecommunications, petrochemicals, cement and air transportation. While its individual brands like Cebu Pacific Airlines and Robinsons supermarket had popular rewards programs, the conglomerate recently underwent a wave of digital transformation where they relaunched a multi-brand group loyalty program called Go Rewards. With a Go Rewards card can earn loyalty points from various transactions including refueling at Caltex forecourts, shopping at Robinsons Supermarket, and booking flights with Cebu Pacific, among others. Overall, through the swipe of a single card, customers can get access to an expanded rewarding experience thanks to the revamped loyalty strategy.
The Bistro Group is a leader in casual dining restaurants offering international cuisines such as TGI Fridays, Hard Rock Café, Pollo Loco, Italianni’s, Texas Roadhouse, Watami, and so on. The company’s BFF loyalty card enables customers to enjoy perks across 80 Bistro restaurants, online booking, complimentary beverages and special delivery options. Customers can display the digital card via the Bistro app instead of the physical card to avail of a 30% discount on Mondays and a 20% discount on all other days.
Value, convenience, and speed are the main drivers of brand loyalty in the Philippines. While customers are open to paying more for the luxury of convenience, they also want to feel understood by brands. Therefore, loyalty is more than just offering rewards and offers; it is a chance for brands to inch closer to their customers through empathy and emotions.
Card-based loyalty has become the norm in the Philippines’ customer retention strategy so far. As a next step, some of these brands have digitized these cards to make the loyalty benefits more accessible for customers. If you are looking to launch a seamless loyalty program in the Philippines market, book a demo to learn how we shaped some of the brands’ business strategies in this region.
Loyalty programs in the Philippines help businesses retain customers, increase repeat sales, and gather valuable consumer data. They also enhance customer satisfaction by providing personalized offers and rewards, which can lead to higher customer engagement and brand loyalty.
SM Advantage is popular because it covers many stores and services under the SM brand. Members can earn points on purchases, enjoy exclusive sales, and redeem points for discounts, making it a highly attractive program for shoppers.
Robinsons Rewards members enjoy perks such as earning points on every purchase, special discounts, exclusive promotions, and birthday treats. This program rewards loyal customers and encourages more frequent shopping at Robinsons stores.
Capillary Technologies provides the best loyalty program software for seamless loyalty management. Their platform offers data analytics, personalized marketing, and seamless integration, helping businesses in the Philippines improve customer engagement and retention.
May 6, 2024 | 4 Min Read
In 2019 when Philippines emerged as one of the fastest growi