Telecom loyalty programs are at a turning point. With evolving customer expectations and breakthroughs in technology, the playbook for retaining customers is rapidly changing. During our recent webinar Signal or Noise: how to create lasting loyalty in Telecom, it was clear that brands need to be aware of the trends. Understanding the trends is halfway through for a more effective loyalty program – the other half is understanding your customer!
As we move into 2025, here are five trends shaping the future of loyalty in the telecom industry, enriched with insights from industry experts.
1. Gamification: Why Playful Engagement Works
Customers crave interaction, not just transactions. Gamification (using game-like elements in non-game contexts) has emerged as a powerful tool to drive engagement and build brand affinity.
Telecom brands are now offering leaderboards, challenges, and rewards for everyday actions, such as using an app or referring friends. This playful engagement keeps customers active and invested, especially when paired with tangible rewards like additional data or exclusive perks.
Pro Tip: Design gamified experiences with your brand’s values in mind to deepen emotional connections. For example, a telco focused on sustainability might create challenges encouraging eco-friendly actions like recycling old devices.
2. Hyper-Personalisation: From Segments to Individuals
One-size-fits-all loyalty programs are officially a thing of the past. With advancements in AI and customer analytics, hyper-personalisation is no longer optional, it’s essential.
Telecom brands are leveraging data to deliver unique offers tailored to individual preferences. Think birthday surprises, anniversary perks, or offers based on customers’ favourite hobbies. Hyper-personalisation ensures customers feel seen and valued, increasing their likelihood of sticking with your brand.
Example: Vodafone Ireland’s personalised rewards app gives customers the power to choose benefits that matter most to them, from free cinema tickets to discounts on devices.
3. Sustainability in Loyalty: How CSR Is Driving Choices
Sustainability isn’t just a buzzword. It’s a customer expectation. In a world increasingly conscious of environmental and social responsibility, telecom companies that prioritise CSR (Corporate Social Responsibility) in their loyalty programs will win hearts and minds.
Whether it’s offering eco-friendly rewards, partnering with sustainable brands, or enabling customers to contribute points to environmental causes, CSR-driven loyalty programs resonate with today’s values-driven consumers.
Fact: A recent survey showed that 70% of customers are more likely to stay loyal to brands that align with their values. Sustainability isn’t just good for the planet. It’s good for business.
4. AI & Gen AI: The End of One-Size-Fits-All Loyalty
Artificial Intelligence has taken centre stage in telecom loyalty programs. From predicting churn to creating hyper-targeted offers, AI enables brands to craft loyalty strategies that feel almost psychic in their relevance.
Generative AI (Gen AI) adds another layer, enabling telecom companies to design personalised experiences at scale. Imagine sending a customer a playlist of number-one hits from their birth year on their birthday or offering a family-specific discount when churn risk spikes.
Why It Matters: AI not only drives personalisation but also optimises costs by focusing rewards where they have the greatest impact.
5. Joyalty: Making Joy the New KPI
The telecom industry has traditionally focused on retention and churn metrics, but it’s time to embrace a new KPI: joy.
Joyalty combines joy and loyalty to create moments of magic that deepen emotional connections. These can range from sending printed photos of a customer’s favourite memories to offering surprise perks on ordinary days.
Why Joyalty Works: Moments of joy are memorable and build a lasting bond with customers, far beyond discounts and deals.
The Future Is Here
As we head into 2025, the telecom industry must evolve to meet changing customer expectations. Loyalty is no longer just about transactions, it’s about meaningful, joyful connections powered by technology and values.
For that, it is important on the future of Loyalty to be a present brand in your customers life. It is of course the moment to look into the new technologies and your services, but that is only the surface. 2025 is also the moment to understand what really matters to your customers, how would they like to be approached, and work towards bringing this aspect of joy to your members.
White Paper waiting list
Subscribe to receive our comprehensive white paper on Loyalty in Telecom
and start building a program that sparks joy and drives results.
Subscribe to our Newsletter
We promise we won’t flood you with emails! Every two months we will send you an insightful newsletter with marketing and loyalty news, interesting blogs and new product releases.
