Digital loyalty programs are poised to jump from the pioneers to the masses of local restaurants, cafes, bars, salons and more that rely on repeat business. Companies like LevelUp, LocalBonus, Five Stars, Swipely, RewardMe, Square and others are rapidly expanding to new cities. Peter Krasilovsky, vice president at BIA/Kelsey, told Bloomberg over $155 million in VC money has been invested in digital loyalty-card companies.
What are the benefits of e-loyalty programs for local businesses and why is this sector likely to surpass daily deals? The three accelerants are cost, performance and insights.