Saturday, June 27, 2026

Why Are You Not On This List? Amazon, Walmart, Kroger and Starbucks Continue Winning the Loyalty Battle

 


The latest loyalty rankings should serve as a wake-up call for every restaurant, grocery retailer, convenience store operator, and foodservice executive in America.

The real question is not why Amazon, Walmart, Kroger, Costco, CVS, and Starbucks made the list.

The question is:

Why are you not on it?

According to new research from LoyaltyLion, 91% of consumers say loyalty programs influence repeat purchases. That number alone should capture the attention of every food retailer and restaurant executive in the country. In an era where customer acquisition costs continue to rise and consumers remain cautious about discretionary spending, retaining existing customers has become more valuable than ever.

The study found that consumers log into loyalty accounts an average of 11 times per month, while 15% engage daily. Among younger consumers ages 16-24, fully 80% engage with loyalty programs at least weekly.

That level of engagement would make most social media marketers jealous.


Loyalty Has Become a Daily Habit

Today's consumers are not simply looking for discounts. They are looking for value, convenience, recognition, and personalization.

That is exactly why the most successful food retailers and restaurant brands have evolved beyond the traditional "buy 10, get one free" model.

Consumers increasingly expect:

·       Personalized offers

·       Digital convenience

·       Mobile ordering

·       Exclusive member pricing

·       Faster service

·       Better experiences

·       Relevant recommendations

·       Community engagement

In fact, industry research consistently shows that acquiring a new customer can cost five to seven times more than retaining an existing one. Loyalty programs have become one of the most efficient ways to increase visit frequency, basket size, and customer lifetime value.


Foodservice Operators Should Pay Attention

While Amazon, Walmart, Kroger, Costco, and Starbucks dominate loyalty rankings, foodservice operators should recognize a larger trend.

Consumers no longer separate grocery stores from restaurants the way they once did.

The modern consumer shops across channels.

A shopper may:

·       Order Starbucks before work

·       Pick up lunch at a quick-service restaurant

·       Purchase dinner from a grocery store service deli

·       Buy snacks at a convenience store

·       Order delivery later that evening

Winning loyalty means winning multiple eating occasions throughout the day.

The battle is no longer store versus store.

It is meal occasion versus meal occasion.

That is why grocerants, Ready-2-Eat meals, Heat-N-Eat solutions, meal bundles, and fresh prepared foods continue gaining relevance. Consumers increasingly seek convenient meal solutions that save time while delivering quality and value.


The Top 10 Most-Valued Loyalty Programs

According to the LoyaltyLion survey, America's most valued loyalty programs are:

1.       Amazon (including Prime)

2.       Walmart (including Walmart+)

3.       Kroger

4.       CVS

5.       Starbucks

6.       Costco

7.       Kohl's

8.       Sephora

9.       Target Circle

10.   Ulta

Notice something interesting?

Consumers interact with these brands frequently.

Very frequently.

The more often consumers engage with a brand, the more opportunities that brand has to reinforce value, trust, and habit.

Frequency drives familiarity.

Familiarity drives preference.

Preference drives loyalty.

Loyalty drives profits.


Economic Pressure Is Fueling Loyalty Growth

Consumers remain focused on stretching their household budgets.

More than half of survey respondents indicated economic uncertainty makes them more likely to join loyalty programs.

That finding aligns with broader food industry trends.

Consumers continue searching for:

·       Everyday value

·       Meal deals

·       Bundled offers

·       Member pricing

·       Subscription savings

·       Convenience without sacrificing quality

Warehouse clubs such as Costco and Sam's Club continue benefiting from this trend because shoppers increasingly view memberships as a way to control food spending while maximizing value.

The same principle applies to restaurants and grocerants.

Customers want predictable value.

When they find it, they return.


Loyalty Is Becoming Emotional

Perhaps the most important finding in the report is that 55% of consumers say they feel more connected to a brand after joining a loyalty program.

Another 60% report a better overall customer experience.

This highlights an important shift.

Loyalty is no longer purely transactional.

It is increasingly emotional.

Consumers want to feel recognized.

They want relevance.

They want simplicity.

They want brands that make their lives easier.

The strongest loyalty programs create relationships, not merely transactions.

That explains why local retailers, breweries, fitness centers, and independent businesses also earned significant consumer recognition in the survey.

Consumers reward brands that consistently deliver on expectations.



The New Loyalty Formula

The food industry often overcomplicates loyalty.

Consumers have actually made it quite simple.

They reward brands that consistently deliver:

·       Good food

·       Fair prices

·       Fast service

·       Reliable quality

·       Convenient access

·       Positive experiences

Technology may facilitate loyalty, but operational excellence creates it.

A mobile app cannot fix poor food quality.

A rewards program cannot overcome inconsistent execution.

A discount cannot compensate for bad service.

The brands winning today understand that loyalty begins long before points are awarded.

It starts with delivering value every single day.


Four Grocerant Guru® Insights

1. Service Is the First Loyalty Program

Consumers remember how they are treated long after they forget how many points they earned. Friendly, efficient, reliable service remains the foundation of repeat business.

2. Price Creates Trial, Quality Creates Repeat Purchases

Value attracts customers the first time. Consistently high-quality food and products determine whether they return the second, third, and tenth time.

3. Brand Consistency Builds Trust

Consumers reward brands that deliver the same experience every visit. Consistency reduces purchase risk and strengthens confidence in the brand.

4. Service + Price + Food Quality = Long-Term Loyalty

The brands that win over time are not necessarily those with the biggest loyalty programs. They are the brands that consistently execute the fundamentals. When service, price, and food quality align with brand expectations, loyalty becomes a natural outcome rather than a marketing promotion.

At Foodservice Solutions®, we continue to find that consumers vote with their wallets every day. Loyalty programs may encourage engagement, but sustainable growth comes from delivering a consistently superior experience. In today's competitive food marketplace, loyalty is earned one meal, one visit, and one positive experience at a time.

Gain a Competitive Edge with a Grocerant ScoreCard

Unlock new opportunities with a Grocerant ScoreCard, designed to optimize product positioning, placement, and consumer engagement.

Since 1991, Foodservice Solutions® has been the global leader in the Grocerant niche—helping brands identify high-growth strategies that resonate with modern consumers.

Call 253-759-7869 or Email Steve@FoodserviceSolutions.us



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