February 03, 2026
Impact of digital loyalty programs on consumer behavior in Brazilian retail
Camila Resende Oliveira; Renê de Oliveira Joaquim dos Santos
Summary prepared by the ResumeAI tool, an artificial intelligence solution developed by the Pecege Institute focused on synthesis and writing.
The objective of this study was to investigate the relationship of digital loyalty programs with consumer behavior in Brazilian retail, analyzing their influence on purchase perceptions and actions. The research sought to identify the motivators for adherence and evaluate to what extent these programs transcend transactional incentives to build genuine loyalty. In a competitive and digitized market, understanding the effectiveness of these tools is a strategic imperative for customer retention. The transition from traditional mechanisms to digital platforms has expanded the potential for data collection and personalization, transforming engagement and raising new questions about consumer loyalty in the digital age. This work explores these dynamics, providing an overview of Brazilian consumers’ perceptions.
The literature on relationship marketing points out that the cost of acquiring a new customer is higher than retaining one (Kotler & Keller, 2012). In this context, loyalty programs emerged as tactics to foster repurchase. Reichheld (1996) argues that a small increase in retention can generate a significant impact on profitability. Initially, these programs operated with a transactional logic, rewarding frequency with financial benefits. However, the proliferation of similar programs led to saturation, making differentiation a challenge. The mere offer of discounts no longer guaranteed consumer preference, who participates in multiple programs, demonstrating a loyalty that is more situational than attitudinal (Berry, 2002).
The digitalization of retail was a turning point for loyalty strategies. Digital platforms enabled the collection and analysis of data on consumer behavior, such as purchase history, frequency, and average ticket value. This analytical capability enabled a new level of personalization, with customized offers and rewards that resonate with individual needs (Lemon & Verhoef, 2016). Dowling and Uncles (1997) had already highlighted that the effectiveness of a program lies in its ability to offer perceived value beyond the financial, encompassing convenience, recognition, and exclusivity. Digital technology made the delivery of this added value more feasible, transforming loyalty programs into relationship ecosystems.
Despite technological advancements, the debate on the nature of cultivated loyalty persists. Nunes and Drèze (2006) warn of the risk of creating “mercenary loyalty,” where the customer remains faithful to the reward, not the brand, making the relationship fragile. True loyalty, according to Aaker (1991), involves an emotional component and identification with the brand’s values, something difficult to build solely with economic incentives. Therefore, the central question of this study is whether digital loyalty programs in Brazil are evolving from transactional retention tools to relationship-building platforms, capable of generating authentic and sustainable engagement.
The investigation is justified by the need to evaluate the return on investment of these strategies in Brazilian retail. The national consumer has cultural and economic particularities that influence their response to incentives (Oliveira & Nunes, 2020). Analyzing their perceptions of benefits, frequency of use, impact on trust, and emotional connection with brands allows for a diagnosis of the effectiveness of these programs. The results can offer insights for marketing managers, guiding the development of loyalty initiatives that are more aligned with public expectations and effective in building a lasting competitive advantage.
To achieve the objectives, the study adopted a quantitative approach with a descriptive purpose. The methodology was chosen for its ability to measure and describe characteristics and behaviors of a population, allowing the identification of patterns through statistical analysis (Malhotra, 2019). The technical procedure was a field survey, with the application of a structured questionnaire to a sample, a method suitable for collecting primary information directly from the source.
The data collection instrument was an online questionnaire, structured into four sections. The first contained the consent form, explaining the research objectives and assuring ethical principles. The second section, “Respondent Profile”, collected sociodemographic data (age range, gender, income, education level) to characterize the sample. The final two sections investigated “Perceptions About Loyalty Programs”. The third used multiple-choice questions to identify the programs used, the most motivating types of rewards, and frequency of use. The fourth and final section employed a five-point Likert scale (1 = “Strongly disagree” to 5 = “Strongly agree”) to measure attitudes and subjective perceptions, such as the programs’ impact on trust, repurchase intention, brand preference, perceived value, and emotional connection, an approach validated for measuring psychological constructs in marketing (Sheth & Parvatiyar, 2000).
The sample consisted of 83 respondents, selected by non-probabilistic purposive sampling. The inclusion criterion was to be a consumer of brands with an online presence in Brazil and to participate in at least one digital loyalty program. Although it does not allow for statistical generalization, the sampling was adequate for the descriptive objectives, ensuring that the data were collected from the target audience. Data analysis was conducted using Microsoft Excel to tabulate responses, calculate frequencies and percentages, and create charts and tables.
The data analysis revealed a respondent profile predominantly of young adults, with high education and purchasing power. The 26 to 35 age group represented 55.4% of the sample, a group known for intense digital activity (Singh & Khan, 2012). There was a female predominance, with 77.1% of participants, a finding consistent with studies that indicate women are more engaged in loyalty programs (Oliveira & Nunes, 2020). The socioeconomic profile showed that 67.5% of respondents have a monthly income greater than R$ 10,000, and 95.2% have at least a complete higher education, with 47% holding postgraduate degrees or MBAs. This profile suggests consumers with high decision-making power who value premium benefits.
Regarding participation, the results indicate a preference for airline programs. Latam Pass was the most popular (67.5% adoption), followed by Smiles (59%) and Tudo Azul (32.5%). The retail program with the highest penetration was Pão de Açúcar Mais (43.4%). The dominance of mileage programs can be explained by the high-income profile of the sample and the nature of the rewards, such as airline tickets, perceived as having high added value, aligning with the theory that effective programs should offer aspirational rewards (Dowling & Uncles, 1997). The mention of other programs like Amazon Prime and iFood Clube demonstrates the diversity of sectors that have adopted the strategy.
When asked about the most motivating types of rewards, immediate financial benefits stood out. “Discount” was the option chosen by 85.5% of participants, followed by “Cashback” (49.4%), highlighting the price sensitivity of Brazilian consumers. “Category/status upgrade” (45.8%) also appeared with relevance, indicating a dual motivation system: short-term savings and a desire for long-term recognition. Open-ended responses reinforced the importance of travel rewards, corroborating the popularity of mileage programs.
Despite high adherence, engagement proved limited. The most common usage frequency was “rarely” (33.7%), followed by “1 to 3 times a month” (27.7%). Only 2.4% use the benefits daily. This low frequency suggests that many consumers sign up opportunistically but do not actively integrate the programs into their shopping routine. This indicates a gap between adherence and effective engagement, which may compromise return on investment. The cultivated loyalty appears to be passive, activated only at specific purchase moments (Nunes & Drèze, 2006).
The analysis of the emotional connection with the brand revealed one of the most critical findings. The majority of respondents (43.4%) stated they no longer felt connected to the brand by participating in the program, declaring that they “just take advantage of the benefits”. Only 33.7% feel that participation brings them closer to the brand. This result reinforces the hypothesis that loyalty programs, in their current format, are mostly perceived as transactional tools. They are effective in encouraging repurchase, but fail to build the affective bond that is the basis of true loyalty (Aaker, 1991).
Likert scale data deepen the dichotomy between behavior and attitude. The usefulness of the programs is recognized, with 79.5% of participants agreeing that it is useful to participate. Furthermore, the programs exert a strong influence on repurchase intention: 82% of respondents feel motivated to buy more often from the same brand. However, this influence diminishes when price enters the equation. Only 37.4% stated that the program would make them prefer a brand even if the price was not the lowest, while 33.8% disagreed. This division demonstrates that program-induced loyalty is conditional and vulnerable to price competition.
The perception of appreciation and trust showed ambiguous results. Although 47% of participants feel more valued as customers, 27.7% disagree. This indicates that, for almost half of the sample, the program does not generate a feeling of special recognition. The relationship with trust is even more fragile. When asked if a program increases brand trust, responses were divided between agreement (44.6%), disagreement (27.7%), and neutrality (27.7%). This skepticism suggests that consumers do not associate the presence of a program with greater credibility, viewing it more as a standard marketing tactic (Loureiro & Kaufmann, 2017).
Finally, the strategic importance of programs for maintaining purchasing behavior was confirmed. More than half of the respondents (54.2%) agreed that they would buy less frequently from the brand if the loyalty program were discontinued. This data quantifies the risk of discontinuing the initiative, validating its role as a barrier to exit. Programs function as an inertia factor, encouraging consumers to maintain their consumption patterns. This effect, although it does not represent emotional loyalty, is relevant from a financial point of view (Reichheld, 1996). The joint analysis of the results shows that programs are powerful tools for influencing repurchase, but limited in their ability to build brand equity and genuine relationships.
In summary, digital loyalty programs have consolidated as strategic instruments for customer retention in Brazilian retail, exerting a positive influence on repurchase intention. The research demonstrated that financial benefits, such as discounts and cashback, are the main attractions, although rewards with high perceived value, such as those from airlines, also have a strong appeal. However, the effectiveness of these programs in building authentic loyalty is questionable. The results point to a gap between repeat purchase behavior and the development of an emotional bond or trust with the brand. Most consumers perceive these initiatives as a transactional mechanism to obtain advantages.
The main practical implication for managers is that loyalty programs should not be seen as an isolated solution. For loyalty to transcend opportunism, it is imperative that they be integrated into a broader relationship marketing strategy, focusing on the customer experience. Personalization, enabled by data analysis, should go beyond simply offering discounts and aim to create relevant interactions that strengthen the perception of value. The combination of tangible rewards with experiential and emotional benefits can be the key to transforming repeat purchases into genuine preference. It is concluded that the objective was achieved: it was demonstrated that digital loyalty programs positively influence repeat purchases, but their ability to generate genuine loyalty is limited, depending on the perceived value offering and complementary relationship strategies.
References:
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