PunchTab Study Reveals Secrets to Motivating Moms with Rewards

Survey shows 81 percent of moms respond positively to brands when offered rewards; more than one-third are motivated by non-financial rewards such as elite status or early access to products

Palo Alto, Calif. – Loyalty and engagement platform PunchTab today shared results of a survey of over 600 moms that offers new insights into what works to motivate engagement and purchase from this high-value audience segment.  The data shows that 81 percent of moms will engage more with a brand when offered some type of reward, and that rewards can work to increase a brand’s social following, boost positive word-of-mouth and to driving more sales.  The study also reveals that some non-financial incentives – such as elite status or early access to products – can be very effective behavior motivators.

“Moms are the most critical demographic segment for many brands. They are the primary decision makers when it comes to household purchases and influence $2.4 trillion in spend every year.  Everyone wants to engage this audience segment.  The question is: what motivates moms to take action?” said Angela Sanfilippo, CMO at PunchTab.  “This study offers definitive evidence that providing moms with the right incentives can boost word-of-mouth and drive sales across a company’s entire brand portfolio.”

Key findings of the survey include:

1. Moms will engage more with a brand when offered a reward.

PunchTab’s survey shows that 81 percent of moms will engage more with a brand when a reward is in place.  Rewards are most effective at driving participation in surveys and polls, with 72 percent saying they would take a survey or poll if provided with an incentive.  Rewards can also help with building a customer database: 59 percent of respondents say they would sign up for regular email updates when a reward is offered, and 41 percent say they would share personal details and purchase behavior.

PunchTab data also shows that rewards can be effective at driving word-of-mouth amongst moms.  According to the study, 41 percent of moms will post a review when offered a reward, and 50 percent of moms on Facebook say they would be willing to share brand content on Facebook. Increasing positive word-of-mouth through rewards can lead to more sales: studies show that more than half of moms rely significantly on the online recommendations when making purchase decisions.

2. Rewarding moms for following your brand on social channels can boost sales.

The study shows that rewards can motivate moms to follow a brand on social channels.  Over half (57 percent) of moms on Facebook say they will “Like” a brand’s page on Facebook when offered a reward; 50 percent of moms will follow a brand on Pinterest and 52 percent of moms will follow a brand on Twitter when offered a reward.

Social followers will take a number of other social actions to promote your brand when incentivized. 92 percent of moms who say they would be willing to “Like” a brand on Facebook when offered a reward, say they would also be more likely to share brand content, post reviews or purchase additional brand products if incentivized.  This number jumps to 98 percent for Twitter and 93 percent for Pinterest.

3. Moms are motivated by more than just financial rewards.

The study shows that while financial rewards are highly valued by moms, the VIP treatment can also be a strong motivator.  67 percent of respondents say they would be interested in receiving perks associated with elite status, such as free shipping or branded merchandise.  More than one-third of moms indicate they would value incentives that offered them exclusive access to a brand, such as being able to buy new products ahead of the general public (39 percent), being able to influence a brand’s future products (38 percent) or getting advanced notification of new products (36 percent).

When it comes to financial rewards, some are more highly valued than others.  Free products and services from the brand are the most popular incentives, with 83 percent of respondents saying these would be effective motivators, followed closely by receiving gift cards from popular retailers (82 percent).  Discounts and coupons are also valued by moms, with 60 percent saying they would take an action in return for a discount or coupon to use on the future purchase of a brand product.

Doing good is also a strong motivator, with 58 percent of moms saying that they would want a brand to make a donation to charity on their behalf as a reward.

While gamification strategies such as leaderboards and badges have historically been popular, the data shows these types of “social recognition” programs are the least effective at motivating behavior.  Only 6 percent say they would be interested in being rewarded with badges, and less than one-quarter (23 percent) says they would appreciate recognition for their contributions.

4. Umbrella loyalty programs can be effective at increasing trial and purchase.

While many companies focus their loyalty programs on single brands, the data shows parent companies of brands would be wise to consider developing umbrella loyalty programs that take advantage of moms’ loyalty to specific brands to increase purchase of other products in the company’s portfolio. 73 percent of respondents say that they would be interested in a loyalty program for a parent company, with 59 percent of all moms in the study saying they would buy other products from the parent company if doing so resulted in more loyalty points.

More than half (52 percent) of moms would also be willing to take a social action in return for a discount or coupon to use on a future purchase from a brand’s broader family of products.

Almost half (46 percent) say they would switch from a competitor’s product to a brand or parent company product in order to earn loyalty points, assuming equivalent product quality.

Digitally Engaged Moms Research Methodology

The Digitally Engaged Moms study was conducted by PunchTab, a multi-channel loyalty and engagement platform that enables agencies, brands and enterprise organizations to incentivize user behavior. This survey was fielded online, between April 18, 2013, and April 22, 2013, and sent to a random sample of moms between the ages of 18-44. There were 647 total responses from moms across the United States. 54% percent of respondents were moms who also work full-time outside of the home, with another 18% also working part-time outside of the home. The household income of 57% of respondents was greater than $50,000, with 21% between $25,000 and $50,000 and 22% less than $25,000. PunchTab asked what channels moms use, what actions they would take in exchange for earning loyalty points, and what rewards they would like to receive for points earned in the program. In addition, PunchTab combined secondary research from multiple sources around channel usage and various motivations for interacting with brands.

About PunchTab, Inc.

Founded in January 2011, PunchTab is a multi-channel loyalty and engagement platform that enables agencies, brands and enterprise organizations to incentivize user behavior and drive business success. PunchTab’s customers use the company’s flexible solutions to deepen audience engagement and build awareness by leveraging everything from social sharing and UGC and awareness campaigns to sophisticated B2E and B2B programs.  PunchTab offers both an out-of-the-box product and a fully customizable, white-labeled solution that can reward any action with virtual, social and real-world rewards.  For more information, please visit www.punchtab.com.