The Use of Channel of Communication in the Promotion of Loyalty Programs on the Example of Banking Services

Loyalty programs are important marketing tool in the field of banking services, which allows to increase the number and volume of provided services, as well as to encourage clients' loyalty. In this regard, it is necessary to increase awareness of the clients about the loyalty programs of banking services, promoting them through different communication channels. The purpose of this research is to identify the most preferred communication channels by different categories of clients to inform them about the loyalty programs of banking services. Methods of the research that have been used in this work are the methods of content analysis and survey (the survey was conducted online and intramural to cover different age groups of bank clients). During the content analysis, the main conditions of loyalty programs of Sberbank, VTB, Gazprombank, AlfaBank, Citibank and Tinkoff Bank were considered, the main channels and tools for loyalty programs promotion were identified. The survey was aimed at identifying the most convenient and preferable channels for clients of banks to obtain information about loyalty programs of banking services, depending on their age. Key findings: banks to promote their loyalty programs primarily use online promotion channels, however, consumers of different ages prefer to receive information through different information channels: from 18 to 34 years through online communication channels (mobile applications, social networks), 35-44 years – all communication channels, with a great emphasis on online channels (especially SMS and e-mail newsletter), from 45 – offline and direct communication channels. As a result, it was concluded that banks need to promote their loyalty programs on the basis of omni-channel approach, sending communication messages focused on certain age groups of consumers through their preferred channels.