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Cost-of-Living Pressures and Rapid AI Innovation Rewrite the Rules of Customer Loyalty Programs

Australian Loyalty Association research reveals rising customer expectations, growing AI adoption and increased price sensitivity are forcing marketers to rethink loyalty strategies ahead of the 2026 Asia Pacific Loyalty Conference.

Australian brands are facing a new loyalty challenge, with consumers demanding more value, better personalisation and stronger rewards at a time when household budgets remain under serious pressure.

Research from the Australian Loyalty Association (ALA), reveals that 80% of Australians expect better offers from brands if they are members of a loyalty program, while 72% expect better service. More than half (52%) say their household budget is under significant pressure, and 86% are actively adopting cost-saving behaviours such as comparing prices, buying on promotion and switching to home brands.

At the same time, artificial intelligence is rapidly reshaping the path to purchase, with 41% of Australians reporting they have used AI to help research purchases in the past year.

The findings are expected to drive debate among marketing, customer experience and loyalty leaders at the upcoming 2026 Asia Pacific Loyalty Conference, where AI, loyalty economics, behavioural science and customer data strategy will headline discussions.

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Australian Loyalty Association Founder and CEO Sarah Richardson said marketers are entering one of the most challenging loyalty environments in recent memory.

“Brands can no longer assume loyalty is a given. Consumers are under pressure, they are actively comparing alternatives and they expect tangible value in exchange for their engagement,” Richardson said.

“The reality is that many loyalty programs were designed for a very different economic environment. Today’s customers expect relevance, personalisation and immediate value. If brands fail to deliver, customers have more tools than ever to find alternatives.”

Richardson said AI is emerging as a major disruptor for marketers, changing how consumers discover, evaluate and ultimately choose brands.

“AI is becoming the new front door to the customer journey. Consumers are increasingly using AI tools to compare products, research purchases and seek recommendations before they ever reach a brand website. That has profound implications for loyalty, acquisition and customer retention strategies.”

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“The brands that thrive in the next decade will be those that can demonstrate value at every customer interaction. Loyalty is no longer just a rewards strategy. It’s becoming a business-wide growth strategy.”

The conference will explore how leading brands are responding to these shifts through improved customer data strategies, behavioural science, personalisation, loyalty economics and AI-powered customer experiences.

Speakers from organisations including Adairs, Accor Group, Flight Centre and Schnitz will share insights on building loyalty in an increasingly competitive and fragmented customer landscape.

Main industry verticals covered include Grocery & Beverage, Sport, Retail, Charities, Financial Services, Restaurant & QSR, Travel, Accommodation & Car Hire, Entertainment & Leisure, Utilities & Telco, Business-to-Business and Business-to-Employee.

Mandy Gallie, Vice President of Specialist Sales and Services Business Development at Mastercard is the opening speaker of the conference. In her session, she will share valuable insights into customer trust and the mechanisms within loyalty programs that need to be rewritten to meet the demands of the modern consumer.

“The macro environment has never been so volatile. Political uncertainty, economic upheaval mixed with technology and regulatory changes mean that marketers are navigating their loyalty programs through a faster than ever changing landscape. All these disruptive factors are affecting how consumers view loyalty programs whilst the way in which we will purchase in the future will be fundamentally different. As such, the question of trust between a brand and its customers has never been so important. This thought-provoking session by Mastercard will take a glimpse of what the future of loyalty may look like in this brave new world.”

Hosted by The Australian Loyalty Association (ALA), this three-day conference will gather more than 450 senior leaders, loyalty professionals and brand marketers to hear from over 28 expert speakers – spanning global loyalty innovators, retail strategists and customer experience specialists.

With more than 150 brands represented and over 35 exhibitors in attendance, the event will offer deep dives into the trends transforming loyalty, including:

  • Behavioural Science
  • Artificial Intelligence & Technology
  • Loyalty Economics
  • Data Analytics & Privacy
  • Programs launched / Re-launched in 2025
  • Innovation and Future Trends
  • Marketing Campaigns
  • Customer Lifecycle

Secure your seat:

Attendees will enjoy full-day programming, networking sessions, exhibition access, and social events in one of Australia’s most vibrant coastal destinations.

The 2026 Asia Pacific Loyalty Conference will be held on 28–30 July 2026 at JW Marriott Gold Coast Resort & Spa.

For tickets and full program details, visit: https://australianloyaltyassociation.com/asia-pacific-loyalty-conference/

For list of confirmed speakers, visit:
https://australianloyaltyassociation.com/asia-pacific-loyalty-conference/2026-speakers/

Founded in 2008, the Australian Loyalty Association (ALA) is an esteemed organisation dedicated to providing thought leadership, educational resources, and networking opportunities to professionals within the loyalty industry.

The ALA currently boasts a membership base exceeding 4,500 individuals, including Chief Marketing Officers (CMOs), Chief Customer Officers (CCOs), Loyalty Managers, Marketing Directors, as well as professionals specialising in Insights, Technology, Customer Relationship Management (CRM), AI and Analytics. The ALA Advisory Board is composed of prominent loyalty experts from leading brands and loyalty service providers.

The ALA encompasses a diverse range of initiatives, including its Accredited Customer Loyalty Courses, the Asia Pacific Loyalty Conference, the Annual Loyalty Insights Report, the Loyalty Marketplace, the Young Members program, News and Content Hub, and Brand Membership.

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MTS Staff Writerhttps://martechseries.com/
MarTech Series (MTS) is a business publication dedicated to helping marketers get more from marketing technology through in-depth journalism, expert author blogs and research reports.

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