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Mobile Loyalty

What are the Benefits of a Punch Card App?

Written by 
Guest Writer
September 17, 2019

Loyalty reward programs are at the heart of many strategies to build stronger relationships with your target audience.

The right programs can increase your sales, engage your customers, and even increase the likelihood of repeat business.

In fact, in the United States, stats suggest that consumer engagement is much higher with individuals who belong to loyalty programs.

While plastic and paper punch cards might have started the loyalty marketing revolution, they’re quickly being replaced with a more convenient and consumer-friendly option in today’s digital world.

Businesses are discovering that it’s much easier to gain and keep their customer’s attention with a punch card app, rather than a piece of paper.

A breakdown of loyalty program features pros and cons

The Evolving Era of the Loyalty Card

While loyalty programs are an excellent way to improve the connection that your business has with its consumers, just having a strategy in place isn’t enough anymore.

Instead, companies need to make sure they’re giving their consumers an experience that’s easy and engaging.

More progressive and forward-thinking businesses realize that it’s easier for consumers to track and interact with their reward opportunities on an app.

As digital loyalty solutions become easier and more accessible, businesses have found that loyalty punch card apps are more cost-effective, versatile, and compelling than their paper and plastic counterparts.

The Starbucks app is an excellent example of this. With a new digital loyalty program, the coffee brand made it much easier for their customers to earn and manage rewards, encouraging a higher level of spending. Also, as case studies show, Starbucks has been able to use the app to learn more about its customers too.

Want to launch a loyalty program but need a bit of help? Check out our free Digital Loyalty Program Launch Checklist!

So, what are the benefits of a punch card app?

digital loyalty App on mobile

1. Ease of Use

Old-fashioned card-based loyalty programs meant that customers had to carry different punch cards in their pockets and wallets. This means that clients have to fiddle with their belongings at the checkout to find and use a card.

Your customers may often leave their cards at home and neglect to use them to avoid the hassle. Around 43% of consumers say that having a collection of cards is the biggest frustration they have with loyalty programs. On the other hand, your customers are already taking their smartphones with them wherever they go.

By delivering a punch card app, you can ensure that your customers can easily access your program wherever they are, without the pocket clutter.

2. Customer Engagement

Graphic icon of a woman walking with explanations on scratch & win + birthday club

Another massive benefit of punch card apps is that they encourage better customer engagement levels too.

Card-based programs generally require your customers to remember to redeem their rewards and offer their card up at checkout. A plastic card or paper punch card doesn’t engage with your customers or remind them of the benefits of interacting with your brand.

An app can send push notifications straight to your customer’s pocket, letting them know that they can save more by buying products at a specific time. Remember, smartphone owners almost always have their devices with them, so you’ll have constant access to your target audience.

These consumers spend around 2-3 hours on their phones each day, improving your chances you’ll reach your customers when they’re ready to spend.

3. Data Collection

business meeting with laptop

When you hand out a standard loyalty card or punch card, there’s no way to know for certain how many people are using it.

You can’t analyze any information on your target audience or find out how people are responding to your offers. Because you have no way to collect data, there’s also no option for sending personalized offers to your clients either.

Mobile punch card apps allow you to collect valuable information (with your customer’s permission). That data provides you with a useful insight into your target demographic.

Mobile apps are so adaptable and offer an additional sales channel. When you learn more about how customers are using your digital tools, you can adjust your app accordingly to improve your chances of better outcomes.

4. Lower Cost

cheap loyalty programs

At first, it might appear it will cost more to work with developers and advanced technology to build your punch card app. However, your app might end up being a lot more affordable and cost-effective than an old-school card in the long-term.

You don’t even need to create a custom app from scratch. There are ready-made platforms you can use and customize for your business. There are no ongoing costs of maintaining a punch card system, and the money you invest in your business will not have a negative impact on the environment either.

With a digital punch card, there is no need to replace or reprint any outdated cards for your customers. Instead, the punch card app will help you keep track of your customers and their rewards instead.

So, Is It Time For You to Go Digital?

If you're ready to make the move, then there's no better place to start than with the go-to digital punch card app. Across over 80 countries, our digital loyalty platform caters to the modern-day customer, blending convenience with technology. But our simple user experience doesn't stop you from getting access to a range of customer engagement campaigns, communication capabilities, and access to real-time insights into customer behavior so you can know the people that matter most, more. Get started today!


Jen McKenzie is a freelance writer at Uk Assignyourwriter and independent business consultant from New York. She writes extensively on business, education and human resource topics. When Jennifer is not at her desk working, you can usually find her hiking or taking a road trip with her two dogs. You can reach Jennifer @jenmcknzie.

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