The emotional value drives 70% more loyalty. So the question I have to you is if you're not measuring emotional equity in your brand, you've just lost 70% of your customers. Your biggest strength as a rewards program is also your biggest liability because you're getting comfortable measuring the things that you think are making you successful. We did a huge study in the banking. We do a lot of work in the bag sector and there's a lot of parallel.
We did a big study. We want to find out where is loyalty happening in the banking industry and we did a study across six countries. I think it was 60 banks. We want to find out where is loyalty coming from. You know only 34% redeem rewards monthly and again gaps and perceived value.
Value is the big challenge for every one of the rewards programs in this room. Value because you're valuing it based on leftrain thinking. You're valuing based on rational thinking. That's the last thing consumers do. They're not rational decision makers.
They're irrational. They're irrational. They don't think. They validate their purchase and their decisions rationally, but those decisions are made emotionally. All right.
Okay. Let me ask you, what's the one emotional word that your brand owns? Can you can you share with us what is the one emotional word that you own that's differentiate you from your competition? No, right. Candace, bless her soul, talked about joy.
She wants to own joy. Costco owns Discovery. Volvo owns safety. Staples, I'm going to be doing a uh presentation at RCC. They own easy.
They went back came back to easy. They had walked away from it. Why? Because they were focused on functional benefits when the consumer was buying their products emotionally. What do you think is the clear indication of customer loyalty?
Action. And what kind of action defines loyalty site around belonging? It's sharing those moments with their friends. It's actually making a statement that I believe in this brand. So they're putting themselves out because somebody else had a bad experience within their network.
They're made to look bad, but they're putting themselves out. What we found out was a true indication We have numerically identified the loyalty level based on how many mentions. So three three times mentions equals like 50% loyalty in that brand. Would you recommend this brand on a research study really isn't a clear indication of how loyal they really are. What's their loyalty is are they willing to put themselves out in the marketplace tied their reputation with that brand.
We just finished a major study for the wealth industry. Was presenting that in Vegas last week. And in the US, 67% of consumers use AI to evaluate their investments. 57% believe the insights that AI gives them is more accurate than their bank or their investor. The biggest factor across all rewards programs is a sense of belonging.
How many of our rewards programs are rewarding the consumer because the experience that we're giving them, the ROX, return on experience is poor or average, right? We're leveraging, it's sad, but we're leveraging rewards as a compensation for performance and for the great customer experience. Let me ask you a question. If we had an amazing customer experience, people wanted to share. Amazing.
You can think of a brand brands that have done that. Do you think you need a rewards program? You think that that would be the turning point in them spending more time with you, traveling more with you?
I don't think so. I don't think so. I think consumers would purposely visit you more often, use your product more often because the experience is memorable. Loyalty is you talking to yourself because it's you're doing it for yourself and reward is what you're giving your members, right? You're rewarding them for their loyalty.
So, it's semantic but it's a huge mindset shift.
