AUSTIN, Texas, Aug. 10, 2016 /PRNewswire/ -- Buzz Points, the Austin-based rewards and marketing platform, today announced the results of "The Total Economic Impact™ of Buzz Points®," a commissioned study conducted by Forrester Consulting on behalf of Buzz Points. Forrester interviewed four community financial institutions (CFIs) with experience using Buzz Points as the centerpiece for loyalty and rewards solutions, ultimately creating a composite organizational model that analyzes the benefits, costs and risks associated with Buzz Points. Forrester's analysis projects that Buzz Points would likely generate a risk-adjusted return on investment (ROI) of 139 percent over three years and pay back program costs in just over four months for regional banks and credit unions that implement the program.
"Since its inception, Buzz Points has put community first," said Dwayne Spradlin, chief executive officer at Buzz Points. "We're the only rewards and marketing platform specifically designed to support the 'bank local, buy local' movement, and we believe this study validates the successes we've achieved with our clients, their account holders and local businesses."
When asked about the Buzz Points program, one executive stated, "We look at Buzz Points as a differentiator." Forrester consulting identified four major benefits for participating CFIs:
- Buzz Points helps CFIs attract incremental customers to the tune of $466,200 in incremental fees over three years.
- Buzz Points customers increase their card swipe volume, boosting non-interest revenue by more than $460,000 over three years.
- Buzz Points incentivizes incremental loan income, amassing $2.4 million in new loans that generated $41,787 in interest income over three years.
- By offering points to drive specific consumer behavior, like enrolling in electronic statements, Buzz Points reduces the cost of incentives for customers by more than $10,500 over three years.
Another CFI executive confirmed, "Cardholders who are registered with Buzz Points swipe their cards with more frequency and they have higher average transactions than non-Buzz customers."
Executives from other participating organizations reported that Buzz Points stemmed the flow of regular customer attrition and grew new account revenue, as well.
"The Buzz Points platform is a unique tool that empowers regional banks and credit unions to drive growth and enhance engagement across all levels, the results of which are felt throughout local communities," added Spradlin.
Visit BuzzPoints.com/Forrester to review the results of the study and learn more about Buzz Points' positive economic impact.
About Buzz Points, Inc.
Buzz Points® is a community-focused rewards and marketing platform that connects community financial institutions, consumers and locally-owned businesses. The Buzz Points platform incentivizes members to shop locally, drives business results for community banks and credit unions, and helps local businesses compete against national chains.
SOURCE Buzz Points, Inc.