Brand Loyalty Tracker Q2 2026 found that Amazon, McDonald's, and Costco lead in repeat purchase not because of better rewards programs, but because each has built integrated systems customers can't easily leave.
ReadingThe steal: stop building loyalty programs and start building friction that keeps people coming back. If your repeat rate is points-driven, you're losing to convenience. Map what makes leaving your brand expensive in terms of habit, sunk cost, or switching friction — not points. For DTC, it might be a membership tier or subscription box that makes canceling feel like a loss. For retail, it's location density or category coverage that makes competitors inconvenient. For CPG, it's ecosystem integration (multiple skus that work together). The brands winning on repeat purchase have made leaving hard, not rewards generous.
MY STASH TAKEThis is the corrective to five years of loyalty-program gospel. Points don't drive repeat purchases; they make customers feel sticky. What actually drives repeat purchase is making your customer's life harder if they leave. Costco knows this — the annual membership fee is a loyalty device. Most brands try to compete with generosity. The winners compete with structural switching costs.
WatchWatch for DTC brands launching membership tiers with tangible perks (priority shipping, exclusive drops, price locks) and measuring repeat rate improvement against non-members.