Facebook recently announced a pilot program that allows users to link their brand loyalty and rewards accounts to their Facebook accounts, with in-app activity on Facebook generating loyalty points and promotions. This system also allows brands to offer better ad targeting and personalization directly in users’ Facebook feeds, highlighting perk status and insider promotions. For now, Sephora seems to be the most high-profile brand participating in the pilot program.
What Are The Benefits Of Facebook’s Recent Change For Brand Loyalty Members?
The connected app system allows members to track the “status of the brand loyalty account” via Facebook and earn additional rewards with in-Facebook activities, such as the initial linking of the accounts. Users who opt-in to the linked Facebook system will also be more easily targeted based on their loyalty status or questions they may have answered as part of the brand’s loyalty program, like birth dates or preferred product types. Personalized brand promotions, sneak peeks and other perks will also be served in Facebook timelines.
Are There Data Concerns With The New Facebook Loyalty Program System?
Facebook’s issues with privacy could raise concerns among members of loyalty programs reluctant to share even more information with the social media giant. Marketing Land reports, “It’s worth noting that a user must consent to Facebook’s data policy when linking an [loyalty program] account -- an action that might put some users on edge given Facebook’s reputation with data handling. Brands considering the program should revisit their own policies to ensure data passing through the platform complies with privacy regulations.”
How Does Facebook Linking Loyalty Programs Help Brands?
According to Social Media Today, “the [linked] system would effectively enable marketers to better incentivize repeat purchases among its most loyal customer base, while also enabling improved ad targeting (based on past on and offline purchase behavior) and specialized, member-exclusive events.” By serving dynamic, personalized ads through this new Facebook system, brands may be more able to connect with highly targeted consumers encouraging action that doesn’t require consumers to log into websites or apps outside of Facebook.
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