Top 5 Loyalty Use Cases of the Week #4


In the fourth entry of our weekly loyalty series, we are breaking down the most recent selection of the top five use cases in the loyalty space.

Loyalty industry innovators and pioneers have been getting the headlines this week, from ground-breaking use cases applying blockchain tech to insights on general fundamentals of consumer behavior from none other than McDonald’s.

In this week’s top 5 loyalty industry use cases:

Use Case #1

airBaltic Links Loyalty Program Membership with NFTs

“Planies is the first NFT-based airline loyalty program in the world, and airBaltic is happy to offer its members the opportunity to purchase the top-tier elite membership, even if they are only flying occasionally.” – Martin Gauss (CEO of airBaltic)

This unique addition to the Latvian airline’s airBaltic Club loyalty program enables members to acquire top VIP status by owning 25 NFT collectible planes. Marking a step forward that most traditional brands still haven’t taken yet.


Use Case #2


Wow Bao Taps Into the Wonders of Web3

“The goal in adding NFTs and Web3 into the Bao Bucks setup is to transform it from a reward to a loyalty program” – Geoff Alexander (President & CEO of Wow Bao)

Bao Bucks’ Web3 extension will allow members to purchase an NFT-based access pass and unlock different rewards based on three tiers of passes. This enables the brand to grow a more loyal community of customers who can engage more actively through the gamified loyalty experience.


Use Case #3

What Southwest Airlines Just Told The SEC About Its Frequent Flyer Program

“The striking thing about Southwest’s frequent flyer program is that more passengers are traveling on points than with any other airline.” (VFTW)

The airline reported that in 2022, members redeemed 9.2 million flight awards and more than 15% of all travels were paid with points. Totaling 2x the percentage of points-based travel you’ll find on American, Delta, and United.


Use Case #4


Why Starbucks “free” drinks will now cost more

“The changes with redemption tiers better align the cost of product redemptions to our current pricing, as well as improving discount efficiency, which helps us continue to grow the program while effectively managing margins.” – Brady Brewer (VP at Starbucks)

As a result of high inflation, customers have been flocking to reward and loyalty apps, which have also caused businesses to grow their digital sales. In Starbucks’ last quarter, 56% of sales were driven by its 30.4 million active U.S. loyalty members.

Use Case #5

A Conversation With McDonald’s Tariq Hassan On The Future Of Consumer Empowerment

“With our loyalty program, and the scale of data we have access to gets really exciting… You can start to create a real picture of your customer.” – Tariq Hassan (CM & CXO at McDonald’s)

Adding that while the company has always focused on growth, they’ve been blindsided by the change in consumer behavior over the past few years.


Thank you for taking the time to read our most recent entry into the top 5 loyalty use cases of the week. We hope that it has provided you with useful insights into the potential advantages that loyalty programs can offer for businesses and customers alike.

Don‘t forget to signup for early access to our upcoming Loyalty Report 2023 coming soon. Who knows what other surprises await by registering early: Global Rewards Liquidity Report (2023).

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