Consumers turn to experience-led loyalty UK shoppers want experiential perks
UK research shows 55% of shoppers want loyalty programs beyond discounts, with 54% preferring experience-based perks. Millennials lead this shift at 66%, driving retailers like Gymshark and New Look to launch engagement-based loyalty schemes.
Marketplace sellers relying on discount-heavy loyalty strategies risk losing younger customers to brands offering experiential rewards. Consider gamifying repeat purchases through workout challenges, social sharing, or exclusive access rather than just cashback percentages.
As customer acquisition costs rise and AI changes discovery, brands must shift from price competition to relationship building through personalized experiences and community engagement.
Audit your repeat customer incentives -- if over 80% are discount-based, test experiential rewards like early access or exclusive content for your top 20% of buyers.
Set up engagement tracking beyond purchases in the next 30 days: social shares, reviews, referrals to build non-transactional loyalty touchpoints.
Bottom Line
Experience-based loyalty beats discounts for customer retention.
Source Lens
Industry Context
Useful background context, but lower-priority than direct platform, community, or operator intelligence.
Impact Level
medium
Experience-based loyalty beats discounts for customer retention.
Key Stat / Trigger
55% of shoppers want loyalty programs beyond discounts
Focus on the operational implication, not just the headline.
Full Coverage
Consumers’ loyalty expectations are shifting from discount-based rewards to experience-led perks, new data from the Retail Technology Show (RTS) reveals. Original research of over 1,000 shoppers by RTS revealed that over half (55%) want retailers to do more with their loyalty programmes rather than just offering discounts.
From discounts to experiences A further 54% now want experience-based perks, rising to two thirds (66%) of Millennials, while a quarter (28%) said being recognised as a valued customer is just as important as the financial benefits when becoming part of a loyalty scheme.
As the cost of customer acquisition rises, and AI platforms take a greater share of discovery and engagement in shoppers’ buying journeys, retailers are pivoting their loyalty offerings to focus on retention and relevance, By offering brand-rich loyalty experiences, retailers can offer deeper and more personalised perks that discount-only models simply can’t match.
– Matt Bradley, Founder & Event Director, RTS Seamless integration of loyalty programmes at the checkout, which allow shoppers to access cross-channel benefits at the point of payment, was the top way retailers could improve their loyalty experiences (41%).
This was followed by instantaneous rewards (39%) and more choice, by letting customers use loyalty credits across a wider range of brands or partners (31%).
Driving differentiation within loyalty With six in ten consumers (58%) reporting a lack of differentiation within loyalty offerings, retailers are moving away from just offering blanket discounts in a bid to add more value to customers.
It is also prompting retailers to experiment with how members unlock loyalty benefits outside of spending thresholds or purchasing value over time. Sportswear retailer, Gymshark, for example, introduced its first loyalty scheme last year, which allows users to earn points by “sharing and showing up” – from brand engagement to completing workouts in its app.
New Look followed suit, unveiling its own scheme, Club New Look, which gives customers a blend of experience-based benefits, while Sephora’s MySephora members’ programme, often regarded as the gold standard in loyalty, offers tiers of personalised perks.
Sephora’s UK MD, Sarah Boyd, is confirmed to speak at RTS, which takes place at London’s ExCeL on 22 & 23 April 2026. Speaking on Day 1, she will discuss how the beauty retailer taps into its community to drive hype and growth.
From ambitious store expansion to viral social buzz and new loyalty strategies, Sarah will share how Sephora is building on its high-octane momentum to meet the needs of next-gen shoppers. Sarah joins 125+ of retail’s brightest minds on the RTS conference programme, which will feature six dedicated conference tracks offering sector-shaping insight.
As part of its all-star speaker programme, M&S Chairman Archie Norman, TALA Founder and digital broadcaster Grace Beverley, and Dragon’s Den star Touker Suleyman, will lead the headline discussions across the two-day event.
Original Source
This briefing is based on reporting from Tamebay. Use the original post for full primary-source context.
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