Marketing
23 Oct 2024
Mohammadreza Javanian
Talon.One loyalty expert
As technology evolves and consumer behaviors shift, understanding what makes customers tick—and what loyalty programs will resonate—is at the top of business’ agenda for 2025.
Today’s top enterprises understand that a well-crafted loyalty program doesn’t just reward, it forges lasting relationships by incentivizing every customer action across every channel. Research shows that when consumers feel appreciated:
88% plan to stay with the brand
83% intend to spend more
87% are willing to advocate for it.
From retail to the QSR industry, loyalty is no longer a 'nice-to-have;' it's a business imperative. In this blog, we’ll explore how six standout loyalty programs pull it off, each setting the pace for what it means to win customer hearts in 2025.
At the top of U.S. apparel loyalty programs in 2023, H&M excels in transforming casual shoppers into passionate brand advocates. Their loyalty program, H&M Membership, captivates customers at every touchpoint, delivering personalized perks that drive repeat purchases and champion sustainable shopping behavior.
Program at a glance:
Launched in 2017
10% off welcome offer
Two-tier structure (Core, Plus)
Free shipping on all orders for Plus members
H&M’s loyalty program turns casual shoppers into devoted brand advocates.
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Straightforward digital onboarding: H&M’s loyalty program offers a quick and easy digital sign-up, requiring only basic information. This simple process captures zero-party data while ensuring customers can join in minutes.
Tiered membership for premium rewards: The program’s two-tier structure incentivizes spending, with Plus members unlocking special benefits like free shipping, early access to collections, and unique experiences such as exclusive invites to fashion shows once they hit 500 points.
Sustainability-driven incentives: H&M aligns its loyalty program with sustainability efforts, rewarding members with $15 coupons for recycling clothing in-store through its garment collecting program.
Omnichannel loyalty experience: Members earn and redeem points seamlessly across online, in-app, and in-store channels, creating a unified and personalized shopping experience with their digital Member ID.
Launched in 2020, Wendy’s Rewards mirrors the company’s core promise: "Quality is our recipe." The program elevates this commitment, offering customers a premium experience through personalized incentives that feel as fresh as their menu.
Program at a glance:
Free to join
10 points earned for every $1 spent
Points available across the entire menu
Wendy's Rewards keeps customers coming back for more.
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Member-friendly mobile app: After a $15 million investment in its mobile app, Wendy’s loyalty program saw a 40% increase in active users by Q1 2024, growing to over 6 million monthly users and a total membership exceeding 40 million.
AI-driven personalization: Wendy's uses AI within its loyalty program to create personalized offers based on individual customer preferences and purchase history, ensuring rewards remain relevant and appealing. Wendy’s also offers personalized support, whether through AI-powered interactions in the app or assistance from a member of the customer service team.
Omnichannel point redemption: The program allows customers to redeem their points through various platforms. Whether using the Wendy's app, website, or in-store by scanning a QR code, customers can easily access their rewards.
"We see [the program] as a really positive tool to create this loyalty, and engagement allows us to understand our customer better."
Kirk Tanner
President and CEO at Wendy's
Launched in 2007, Sephora’s Beauty Insider program allows members to redeem their points for exclusive rewards. With a tiered structure that enhances the shopping experience, Beauty Insider not only fosters customer loyalty but also builds a vibrant community of beauty lovers.
Program at a glance:
Free to join
Three-tier structure (Insider, VIB, Rouge)
1 point earned for every $1 spent
$1000 annual spend required for top tier
Sephora encourages customer engagement through its renowned Beauty Insider program.
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Member-only rewards and promotions: Members receive access to exclusive discounts during Sephora's seasonal sales events, birthday gifts, and tier-specific rewards, enhancing the overall shopping experience.
Gamified experiences for all members: Sephora's Beauty Insider program sets the bar for using gamification to boost retention. With its Beauty Insider Challenges, members can rack up points through interactive experiences, not just purchases. Whether it's buying online and picking up in-store, subscribing to text alerts, or adding samples at checkout, these tasks offer 100 points each—making engagement as rewarding as it is fun.
Beauty Insider community: The program allows members to connect, share beauty tips, and engage with one another, fostering a sense of belonging and community among beauty enthusiasts.
"Last year we launched Beauty Insider Challenges, which is a really fun way to connect loyalty benefits with experiences at Sephora. We're really happy to partner with Talon.One as our strategic partner for launching this new benefit of being a Beauty Insider. "
Emeline Berlind
Senior Vice President and General Manager of Loyalty at Sephora
Adidas' loyalty program, adiClub, is designed to engage and reward customers for their fitness activities and purchases. Launched in 2022 to replace the previous membership program, adiClub provides a range of benefits that cater to both sports enthusiasts and fashion lovers, creating a community focused on active lifestyles.
Program at a glance:
Free to join
Four-tier program
10 points earned for every $1 spent
Free shipping for all members
AdiClub unlocks exclusive access to Adidas products and experiences.
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Points for purchases—and workouts: Members earn points for every dollar spent, as well as for tracking workouts through the Adidas Running and Training apps. This dual approach incentivizes both shopping and fitness engagement, allowing members to accumulate points quickly.
Tiered membership levels: adiClub features a four-tier structure, where members unlock increasing benefits as they accumulate points. Higher tiers provide access to exclusive products, special events, and level-specific perks.
Exclusive access and offers: Members receive early access to sales, limited edition releases, and members-only products. This exclusivity fosters a sense of belonging and excitement around new drops and promotions.
Experiential rewards: adiClub stands out with unique, non-monetary rewards like raffles for signed merchandise, access to member-only products, and once-in-a-lifetime experiences like training with top athletes.
The RealReal is one of the US’ most successful online marketplaces to buy and sell luxury goods. Its subscription loyalty program, First Look, sets a new standard by integrating luxury with sustainability, and delivers value to customers while supporting environmental goals.
Program at a glance:
2-tier subscription model, ranging from $12 to $49.95 per month
24-hour early access to new arrivals
Members-only secret sales
Unlimited free shipping for Platinum members
The RealReal’s loyalty program elevates the luxury resale experience.
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Personalized experiences at scale: Personalization is at the core of The RealReal's loyalty strategy. The platform customizes every interaction based on individual customer behaviors, from purchase history to product preferences. Whether it’s exclusive product curations or personalized "New Arrivals" emails, The RealReal ensures that members see the most relevant items across all channels.
Exclusive access to pre-owned luxury: First look gives members 24-hour early access to 20,000 new luxury items daily. It caters to shoppers' desire for exclusivity, offering secret sales, curated collections, and birthday perks, making speed a top priority for their most engaged customer base.
Incentives for consignment: In 2023, the company revamped its loyalty program to offer consignors a clearer view of their earnings timeline, while also enhancing incentives across all tiers. The incentives promote a circular economy where customers actively participate in sustainable fashion practices.
According to the Market Force QSR Study 2024, Chick-fil-A now counts the second-most loyal customers in the fast food space. Chick-fil-A One exemplifies the brand’s dedication to customer care and loyalty as well as prioritizing community support.
Program at a glance:
Launched in 2016
Four-tier structure (Member, Silver, Red, Signature)
Birthday perk (a special sweet treat)
Chick-fil-A One has four tiers with different benefits.
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Personalization through AI-powered app: Chick-fil-A uses its mobile app to deliver personalized experiences, from tailored menu suggestions to rewards based on past purchases. The app's AI and machine learning capabilities ensure every customer interaction feels bespoke, exemplified by their geofencing-powered "3 Threez in the 3rd" campaign during Sacramento Kings games.
Customer-centric rewards system: The program prioritizes customer desires for discounts and free products. With points that never expire and flexible redemption starting at just 200 points, Chick-fil-A makes its rewards accessible and engaging. The program’s alignment with customer preferences for practical benefits keeps loyalty participation high, without the pressure of expiring points.
Community building and charitable causes: Chick-fil-A strengthens loyalty by creating emotional bonds through community initiatives like the Inspiration Awards Program and charitable programs such as the Shared Table Program. Their focus on trust and transparency helps build a deeper connection with customers.
"We are building success one loyal customer at a time, and we make sure that everyone who comes in leaves with the intention of coming back."
S. Truett Cathy
Founder at Chick-fil-A
For deeper insights into the top loyalty programs 2025, check out our report, “Loyalty strategies for 2025: Lessons from best-in-class loyalty programs.”
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