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Deconstructing the new digital formula for loyalty programs:

WiiFM (What’s in it for me?) + DiFM = Please g*d don’t make me use My Coke Rewards or try to cash in my airline mileage points.

DiFM (do it for me) expects brands to understand what consumers do and want and to intervene with rewards and offers at the appropriate inflection points. These inflection points can be planned and communicated in an easy-to-understand way (e.g. 5% cash back) or spontaneously; which tend to surprise or delight customers usually at the point of sale.  

Similarly the DiFM idea demands that brands create or aggregate deals and offers and automatically communicate them and/or apply them in relevant circumstances. For grocery stores this means  – find all the coupons for stuff I buy, put them on myloyalty card and automatically deduct the discounts when you ring me up.  For other retailers, it means automatically deduct deals and discounts and apply whatever rewards I’ve earned in the moment, when I’m making a relevant purchase. And while the systems requirements to deliver on this expectation are significant, consumers don’t care. If you are not proactively taking care of them, all the cards, points and promises in the world don’t matter.