The loyalty program market in Brazil is booming, as recent data from the Brazilian Association of Loyalty Market Companies (Abemf) reveals. According to the survey, the redemption of points and miles by participants increased by 18.3% in 2023 compared to 2022. In the last quarter of last year, loyalty companies revenue grew by 13.6%, reaching R$ 4.8 billion.
The number of registrations in loyalty programs also saw a significant increase. By the end of 2023, there were 312.5 million registrations, representing a growth of 5.4% compared to 2022. Transactions made by program participants rose by 9.7% during the same period. The breakage rate (expired points/miles) reached its lowest level since 2020, standing at 13.1% at the end of 2023. ‘These data are a clear indication that loyalty initiatives continue to attract the interest of Brazilians,’ says Martin Holdschmidt, Abemf’s president.
The expansion of the loyalty program market is corroborated by industry players like Alloyal, a startup from Minas Gerais. The company, which repositioned itself as a Loyalty Tech, exceeded the mark of R$ 100 million in annual sales in 2023, double the figure from 2022.
Formerly known as Lecupon, Alloyal adopted its new name in February of this year. The change aims to follow the market growth and the evolution of consumer profiles, who now demand more than just discount coupons. ‘Customers want more personalized and memorable experiences. More than just loyal, they become loyal fans of the brand. The era of the coupon is behind us, and it is up to us, as players in this market, to develop solutions that meet this new consumer desire,’ emphasizes Aluísio Cirino, Alloyal’s CEO.
In 2023, Alloyal is preparing a series of innovations to increase user engagement. Among the planned actions are giveaways, telemedicine services, new segmentation options, and customization.
Currently, Alloyal has a user base of 5 million and serves 500 client companies in all regions of Brazil. In total, there are 25 thousand registered establishments, including physical and online stores, restaurants, gas stations, and airlines.
