In a survey of more than 18,000 consumers in 20 countries globally, KPMG found that only 37% of consumers say that today’s loyalty programmes are an effective way to earn their favour.

Most Brits ( 95%) said that companies need to find new ways to reward their loyalty.

When it comes to loyalty to retailers specifically, value for money, customer service and pricing are the three most important factors. Loyalty points and rewards ranked low compared to other factors including: easy shopping experience; the selection of products offered; and even online reviews.

Paul Martin, UK head of retail at KPMG, said: “In much the same way as our high streets are coming to terms with ongoing structural change within the industry, the same goes for customer loyalty. Loyalty is by no means dead, but it’s clearly being reinvented for the digital age, and consumer businesses – including retailers – need to look beyond the points-based plastic loyalty cards of yesteryear.”

Linda Ellett, UK head of consumer markets at KPMG, added: “Few consumers are willing to have their wallets stacked with loyalty cards, nor do they want to be members of a whole host of loyalty programmes. In any case, more cards or memberships doesn’t necessarily equate to greater loyalty.