Latest news with #JeffZotara
Forbes
23-05-2025
- Business
- Forbes
How Personalization Is Shaping The Travel Economy
MADRID, SPAIN - JANUARY 27: The chef of Simpar Restaurant, Axel Smith, wins the XI Championship for ... More the Best Iberian Ham Croquette at Madrid Fusión 2025 at Ifema on January 27, 2025 in Madrid, Spain. 'Madrid Fusion Foods of Spain' celebrates its 23rd edition since it was first held in 2003. (Photo by) The pandemic didn't just disrupt travel—it reprogrammed it. Travel and live events were the currency consumers most wanted and the absence of opportunities created more than just pent up demand. Gen Zers created bucket lists. The longing that hasn't subsided even though we are years removed from the initial pandemic disruption. Consumers today aren't chasing destinations. They're chasing experiences with meaning. According to Jeff Zotara, CMO at Arrivia, we've entered the age of the purposeful traveler, and loyalty programs must evolve—or risk becoming obsolete. AI has a big role to play in the travel booking shift. 'AI and machine learning are now the engines behind meaningful loyalty,' says Zotara. 'It's not just about booking the next cruise—it's about booking the right cruise with the right excursion, cabin, and cuisine.' 'Today's travelers aren't just chasing deals – they're chasing experiences that reflect who they are,' says Lesley Klein, SVP of Strategy and Brand Marketing at Priceline. 'That's where AI can really deliver. We recently launched Neighborhood Navigator, a new tool that helps travelers find their perfect neighborhood in a new city by cross-matching with neighborhoods they like elsewhere. Combined with additional features like our new Trip Vibe Selector and AI-powered Penny Maps, we're helping customers personalize their trips to align with their interests and passions.' Arrivia's personalization engines have shown 10–12x higher conversion rates when customized travel offers are delivered based on past travel behavior, booking history, and even dining preferences. Think Amazon Prime, but for travel—with every touchpoint curated based on data. When strategy meets technology and the consumers preferences are clearly considered the opportunity to drive increase demand is significant. A person has a conversation with a Humanoid Robot from AI Life, on display at the Consumer ... More Electronics Show (CES) in Las Vegas, Nevada on January 10, 2024. (Photo by Frederic J. BROWN / AFP) (Photo by FREDERIC J. BROWN/AFP via Getty Images) Zotara sees the experience economy being driven by two major forces: Interestingly, household composition (child vs. no child) was a bigger predictor of immersive travel behavior than age alone when I published my research on youth culture trends. We also discussed the double-edged sword of loyalty benefits. Take American Express: once famed for its 'buy one, get one' first-class offer, it eventually sunsetted the perk. 'If you take something away, you better replace it with something remarkable,' said Zotara. 'Consumers notice—and they're not shy.' In its place? A web of monthly benefits—Uber credits, streaming services, Grubhub perks. The logic? Provide continuous value that keeps cardholders engaged every month, not just on their annual vacation. Zotara outlined what separates great programs from forgettable ones: As Zotara summarized: 'The best loyalty programs are the ones you live with—not just ones you use when you fly.'
Forbes
21-04-2025
- Business
- Forbes
Personalization Drives Travel Loyalty: Arrivia Exec Gives Insights
Jeff Zotara has spent over a decade helping brands redefine what loyalty means. As Chief Marketing Officer at Arrivia, a global travel technology company powering loyalty platforms for American Express, Hilton Grand Vacations, T-Mobile, and others, he's had a front-row seat to one of the most seismic shifts in consumer behavior: the evolving definition of loyalty itself. What once meant a punch card, or a discount code has now become a rich data exchange between consumer and brand—fueled by AI, personalization, and emotionally resonant experiences. LAS VEGAS, NV - FEBRUARY 10: The Las Vegas Strip and Bellagio Water Fountain Show is viewed after ... More dark on February 10, 2023 in Las Vegas, Nevada. Las Vegas will play host to the NFL's Super Bowl LVIII, taking place next year at the recently constructed Allegiant Stadium, home of the Las Vegas Raiders. (Photo by) Zotara doesn't mince words: 'Consumers are more and more demanding as far as getting to the end of that journey—that decision point—faster, and having those offers be more personalized to them.' Today's loyalty programs leverage AI to create tailored experiences. 'If I'm a member of a loyalty program,' Zotara added, 'that travel platform likely knows what I've searched, when I've searched, and where I want to go. That experience needs to be, and should be, very different than if my mother-in-law took a trip.' Leading brands are already acting on this. Amazon has long set the gold standard for data-driven personalization, and now travel loyalty is catching up. Capital One, for example, offered early access to Taylor Swift tickets—knowing full well it resonated with the passions of their cardholders. 'It's important not to get caught up in the pressure to implement 1:1 or hyper-personalization from day one. Simply start by asking questions you can easily turn into more personal interactions. Ultimately, personalization is a data collection exercise and loyalty programs provide an ideal platform to turn zero-party data into more relevant experiences,' remarked John Pedini, Forrester Analyst. Zotara echoed a concept explored in Marketing to Gen Z: data is currency, and consumers—especially younger ones—know it. 'If we can be more transparent with the consumer,' he said, 'we have found they are more than willing and wanting to have that personalized user experience by providing that data point.' According to a Salesforce report, 79% of consumers are willing to share relevant data in exchange for personalized engagement. But transparency is key. 'A lot of brands used to collect data without really informing people. That doesn't fly anymore.' To explore the generational nuance behind this shift, see Fromm's 'Gen Z Is Not Gen Y On Steroids.' The future of loyalty isn't just about points earned—it's about points redeemed meaningfully. 'You're seeing a lot of this with my American Express Platinum card,' Zotara noted. 'I've got Hulu and Wall Street Journal and Uber credits every month… it reinforces the value of my annual fee across a variety of lifestyle activities.' This shift—toward what McKinsey calls 'lifestyle loyalty'—is driven by consumer demand for flexibility. T-Mobile's loyalty program, for example, gives subscribers benefits outside of mobile service, from travel discounts to streaming offers. The goal? Create emotional connection and frequency of use. 'I saved $1,000 on this trip,' Zotara said, 'and I went to New York City and enjoyed a Broadway play. That feels good. It allows the brand to make a more emotional connection.'
Martechvibe
13-02-2025
- Business
- Martechvibe
We Need Loyalty Strategies that Evolve in Real-TIme
In a world where consumer expectations shift almost as quickly as technology evolves, static loyalty programs no longer cut it. Today's travelers—especially digitally savvy Gen Z—demand more than just points or discounts; they crave personalized, real-time rewards that reflect their values, such as sustainability and authentic experiences. 'With personalisation and the technology powering it, I think that the idea of 'changing tracks' may soon become outdated. With advances in personalisation technology, we will be continually fine-tuning offers and strategies to align with individual preferences, making the consumer journey more dynamic and ever-evolving rather than requiring periodic overhauls,' says Jeff Zotara is the Chief Marketing Officer of arrivia. Jeff is a marketing leader with over 20 years of experience driving growth through data-driven personalisation, AI, and machine learning. As Chief Marketing Officer, he specializes in customer acquisition, engagement, and retention, leveraging big data to create impactful customer experiences. Jeff also fosters strong corporate culture, leading global teams across nine countries. He talks to CXM Today about the state of loyalty in the industry today. He dives into how brands can harness the power of AI and big data to create dynamic loyalty strategies that adapt instantly to individual preferences; and more. Excerpts from the interview: With Gen Z valuing sustainability and authenticity, how can loyalty programs integrate these principles without alienating other demographics? Value in loyalty programs isn't one-size-fits-all. While it's commonly associated with discounts or savings, it also includes perks like upgrades and for Gen Z, rewards that reflect their commitment to sustainability and unique, experience-driven experiences like exclusive events. To cater to this demand, marketing and loyalty managers should focus on building diverse rewards portfolios and utilise the power of AI to deliver those rewards to the right person, at the right time. While Gen Z overall values sustainability, they aren't a monolith — neither are Millennials, Gen X or Boomers — and we shouldn't treat them as such. Instead, loyalty providers must use data collected across multiple touchpoints to craft personalised engagement strategies that appeal to individual values, improving the relevancy of the loyalty program in their eyes. To maintain authenticity, loyalty programs must be transparent about their practices and rewards. For instance, if a loyalty provider offers sustainable accommodations on its platform, it can leverage hotels' sustainability certificates to appeal to eco-conscious members and provide assurance that they are actively supporting responsible environmental practices. Or, if they want to offer experiences through their platform to a travel destination, they can partner with a local influencer to curate these experiences, therefore adding credibility and authenticity to the benefit. While these initiatives may not appeal to everyone, a sophisticated personalisation strategy ensures that the right opportunities are presented to the most interested consumers, reducing the risk of alienating any group. Given Gen Z's preference for non-travel redemptions and real-time add-ons, how can travel brands expand their offerings to meet these expectations? Modern travel loyalty technology is the key to meeting Gen Z's expectations. Travel brands that want to engage Gen Z should be looking for partners that can provide them with a wide array of redemption options across diverse suppliers and a robust technology platform that enables a seamless omnichannel experience. For instance, brands that can update members' points and status in real-time, can also offer real-time add-ons such as room upgrades or free Wi-Fi when members check in to their hotel via their loyalty app. This type of instantaneous reward is crucial to resonate with a generation that grew up during an era of same-day delivery. Partnering with a travel loyal provider can also help travel brands increase members' earning opportunities, which is vital to engaging Gen Z who, research shows, are less likely to enrol in airline loyalty programs than older generations due to inconsistent travel behaviour. A travel loyalty platform with a flexible structure that allows members to earn points across different vendors and for different behaviours (as opposed to just travel), will help them earn faster, thereby encouraging higher redemption rates and improving the program's value. What would you recommend to brands to strengthen their loyalty strategies? The worst thing a loyalty provider could do — aside from not providing members with the value they are looking for— is create a forgettable ecosystem. With nearly 45% of Americans only traveling once or twice per year, travel loyalty brands need to find ways to engage their members in between. Providing a mobile-friendly or app-based experience that is easy to use and includes real-time updates, as well as gamification, can help loyalty brands stay top of mind, particularly for tech-savvy Gen Z and millennials. How can travel brands use data from loyalty programs to anticipate and respond to generational trends more effectively? This won't come as much of a surprise, but the answer is AI. Loyalty programs, particularly well-established ones, have access to years – sometimes decades – of valuable data. AI can process that data at lightning speed, creating detailed profiles of members including their preferences, behaviours, and booking history. It can analyse historical and current data from multiple sources to predict short and-long-term trends, identifying ways that loyalty strategies can be adapted to help brands effectively meet their goals. That's simply something that we haven't been able to do before and when it comes to loyalty programs, brands that leverage this technology now will be best positioned for the future. ALSO READ: How will Travel Loyalty Programmes Evolve in 2025? What are your thoughts on Gen Alpha? Will this generation bring about another change of track in five years? Gen Alpha will demand even more from brands when it comes to the digital experience. As true digital natives, they have never known life without the internet, smartphones, or touchscreens, they will naturally gravitate toward brands that seamlessly speak their tech-savvy language. That could mean adapting loyalty strategies space like the metaverse or crafting hyper-interactive digital experiences. However, with personalisation and the technology powering it, I think that the idea of 'changing tracks' may soon become outdated. With advances in personalisation technology, we will be continually fine-tuning offers and strategies to align with individual preferences, making the consumer journey more dynamic and ever-evolving rather than requiring periodic overhauls. What does 'Silent Loyalty' mean to you? What metrics or indicators can travel brands use to identify and measure silent loyalty in their customer base? 'Silent Loyalty' refers to customers who consistently purchase from a brand without publicly endorsing or advocating for it. These individuals may prefer to keep their brand preferences private, often due to personal values or perceptions. Despite their lack of vocal support, they remain reliable and consistent patrons. To identify and measure silent loyalty within their customer base, travel brands can monitor several key metrics: 1. Repeat Purchase Rate (RPR): This metric calculates the percentage of customers who make multiple bookings or purchases over a specific period. A high RPR indicates a strong base of returning customers, which may include silently loyal individuals. 2. Customer Lifetime Value (CLV): CLV measures the total revenue a brand can expect from a single customer throughout their entire relationship. Elevated CLV suggests that customers are consistently choosing the brand for their travel needs, even if they aren't vocal about their loyalty. 3. Customer Retention Rate: This indicates the percentage of customers who continue to engage with the brand over a set period. A high retention rate can be a sign of silent loyalty, as customers consistently return without necessarily promoting the brand publicly. 4. Engagement with Loyalty Programs: Monitoring participation in loyalty programs can provide insights into silent loyalty. Customers who regularly accrue and redeem points or benefits are demonstrating loyalty through their actions, even if they aren't vocal advocates. By analysing these metrics, travel brands can gain a clearer understanding of their silently loyal customers and tailor strategies to nurture and retain this valuable segment. ALSO READ: The CX Problem Nobody Talks About—and How to Fix It Chandni is an Editor with a keen interest in customer-obsessed ideas. A journalist by profession and a writer at heart, she is committed to martech and CX content that resonates with readers across industries. View More AIarriviaGen Zloyaltypersonalisationrewards program
