The season of abundance typically delivers a surge for retailers, but new research shows they may be overlooking the growing demand for sustainability in shopping options.
by Sarah Jarvis
According to Eagle Eye’s new Green Loyalty survey, 56% of North American shoppers prioritize sustainable purchases, yet 46% of loyalty programs fail to offer them any sustainability-related rewards. 
A missed chance to cater to a valuable, values-driven audience.
This data paints a clear picture: sustainability is a driving force for many shoppers and presents an immediate revenue opportunity for retailers. Among Gen Z consumers, 74% rank sustainability or health incentives as “extremely” or “very important” in their purchasing decisions. For families with children, that figure is close behind at 70%.
Updating loyalty programs to reflect consumer demand for health and sustainability incentives isn’t just a good strategy; it’s what a growing number of shoppers expect. Besides being an opportunity to promote responsible consumerism, retailers can build stronger customer connections with these important shopper segments and evolve alongside sustainability trends.
Turning Sustainability into Loyalty: How Retailers Can Benefit from “Green” Rewards
Yet retailers may be reluctant, questioning whether the technology exists to offer sustainable rewards in a viable, nondisruptive, and profitable way. The answer is yes—there are some solutions that make it easy for retailers to achieve this. With AI, for example, retailers can identify where sustainability initiatives will have the greatest impact and design rewards around those shoppers’ values and priorities.
What could incentivizing these shopper behaviors look like?
- Providing personalized product recommendations that help shoppers discover and incentivize the purchase of sustainable products
- Delivering real-time rewards for eco-friendly purchases to thank customers for making greener choices
- Digital receipts cut down on paper waste and can also provide added value to customers such as tracking their purchases’ carbon emissions over time
While these initiatives can provide a customer experience boost, when executed strategically, they also create measurable value for retailers. From the sales lift that incentivizing sustainable purchases can deliver, to increasing customer frequency, basket size and even lifetime value by providing added-value information and new ways to earn rewards green loyalty programs can deliver both customer impact and ROI.
With heightened engagement and transaction volumes, the holiday season presents an ideal testing ground for green loyalty initiatives, such as:
- Point multipliers for buying sustainable products
- Dedicated “green currencies” for eco-friendly items
- Options to redeem loyalty points for charitable donations to sustainability-oriented organizations or causes
The Health-Sustainability Link in Loyalty Programs
The intersection of health and sustainability also presents a compelling proposition to expand reward options. Our Green Loyalty survey data found that 71% of sustainability-focused consumers also value health-centric rewards; retailers should broaden their range of offers and promotions to appeal to this cross-section of shoppers.
Health and sustainability incentives also have the potential to drive results that extend well beyond a single transaction:
- Retention rates are 40% higher among sustainability-focused segments
- Customer acquisition costs drop by 15% through referrals tied to green incentives
- 66% of consumers would view a brand more positively if it offered health & wellness rewards.
- Average basket sizes increase by 23% from loyalty members engaged by green incentives
The above stats highlight how reward programs can become more impactful when they embody what matters to customers. For instance, tiered rewards for consistent purchases of organic products can drive repeat visits, while gamified health challenges—such as step trackers or meal-planning incentives—can motivate shoppers to achieve their health objectives and strengthen their connection to the issuing retailer.
Regional Differences Demand Localized Loyalty Strategies
The same survey data reveals how regional nuances can shape loyalty program effectiveness. In Canada, consumers demonstrate 28% greater brand loyalty for eco-rewards than their US counterparts. Additionally, 40% of Canadians actively choose healthier products when incentivized, compared to 33% of Americans.
These variations showcase the need for tailored approaches to green loyalty strategies. Canadian programs, for instance, might prioritize eco-friendly initiatives, such as donating points to reforestation projects or rewarding purchases of sustainable products. In the U.S., retailers could provide discounts for organic produce, incentives for plant-based products, or points for reusable bag usage, where these options have greater appeal.
Tailoring programs to regional needs shows customers that their values are understood, creating a sense of trust that is much harder to achieve through a one-size-fits-all rewards program.
Beyond Seasonal Success: Sustainability as a Year-Round Strategy
What does all this data tell us? That shoppers are motivated by loyalty programs that reflect their values, and sustainability and health and wellness are emerging as powerful drivers of these choices. Offering green rewards is a critical response to those expectations, yet many retailers are approaching this movement cautiously and leaving behind a significant opportunity.
More than a busy shopping period, the holiday season is the moment to evaluate whether your loyalty strategy is built for the future. Are your rewards keeping pace with what matters to your customers?
Programs that integrate health and sustainability incentives do more than reflect today’s consumer preferences—they create deeper connections with high-value shoppers who prioritize meaningful engagement over one-off discounts.
So why not start the new year by leveraging all the insights you already have about shoppers to design rewards that reflect their values and build loyalty that lasts far beyond the next transaction?
Sarah Jarvis is Communications and Propositions Director at Eagle Eye. Her expertise spans loyalty program design, CRM, personalization, data analytics and commercialization, and the technical implementation of initiatives that bring retailers and brands closer to their customers. Sarah also co-authored the 2nd edition of Omnichannel Retail: How to Build Winning Stores in a Digital World.
Photo by Sebastian Unrau on Unsplash
