Loyalty association launches AI & behaviour courses

The Australian Loyalty Association has launched an executive education series on loyalty economics, artificial intelligence and behavioural science, aimed at loyalty and marketing leaders.

The launch comes as businesses face weaker household spending, rising price sensitivity and closer scrutiny of marketing budgets. Recent association research found 52% of Australians believe their household budget is under significant pressure, while 86% are using cost-saving measures such as switching to home brands, buying on promotion and comparing prices more often.

The new course lineup is split into three areas: loyalty economics, agentic commerce and AI, and behavioural science.

The Loyalty Economics course is designed to help participants assess the financial impact of loyalty initiatives. Topics include incremental revenue modelling, program profitability, liability management, customer lifetime value and frameworks for reporting performance to boards and senior leaders.

"During periods of economic instability, loyalty programs come under greater scrutiny," said David Parsons, Chief Executive Officer of Ellipsis, Australian Loyalty Association board member and course leader.

"Boards and executive teams are increasingly asking a simple but critical question: what measurable value is this program delivering to the business?

"The ability to demonstrate incremental revenue, behavioural change and long-term customer value is no longer optional. It is essential."

AI Shift

A second course examines how AI is changing shopping and brand interaction. More than 40% of consumers are willing to use AI tools to speed up shopping decisions and identify better value, highlighting a growing role for AI-assisted purchasing.

The Agentic Commerce and AI course explores how organisations can respond as autonomous tools play a larger role in recommendations, purchasing decisions and customer interactions. It also looks at how loyalty strategies may need to change as consumers increasingly use AI intermediaries.

"AI is not simply another technology layer. It is reshaping how consumers discover, evaluate and interact with brands," said Sarah Richardson, Chief Executive Officer of the Australian Loyalty Association.

"As more consumers begin using AI to compare prices, identify promotions and make faster purchase decisions, organisations that understand AI discovery and emerging agentic commerce models will be far better positioned to compete."

Human Factors

The third strand of the series centres on behavioural science. Drawing on behavioural economics and cognitive psychology, it examines how motivations, biases and decision-making frameworks influence customer behaviour.

The module is intended to help organisations design loyalty experiences that drive stronger engagement, with a focus on the human factors behind customer decisions rather than technology alone.

"Technology and data are powerful, but loyalty ultimately comes down to human behaviour," said Richardson.

"Understanding the psychological drivers behind engagement is critical if programs are going to deliver sustained impact," said Dan Monheit, behavioural science expert and Chief CX Thinker at Thinkerbell.

The broader aim of the education series is to help loyalty leaders, marketing executives, customer experience professionals and senior decision-makers respond to changing consumer behaviour in a more structured way. The courses will combine input from practitioners, academics and industry specialists.

Economic conditions are a key part of the backdrop to the launch. Rising interest rates, higher fuel costs and shifts in the job market are putting pressure on household budgets, making consumers more cautious and more likely to switch brands.

The association also pointed to media reports that inflation could move back towards 5% and that unleaded petrol prices have risen above AUD $2.40 a litre in many markets, up from around AUD $1.80 only weeks earlier. Those shifts have increased pressure on brands to show that loyalty activity is delivering commercial returns.

Richardson said the new courses are designed to address that pressure across finance, technology and customer behaviour.

"With customer expectations changing rapidly and economic pressures mounting, organisations need stronger capabilities in loyalty economics, emerging technology and behavioural design," she said.

"These courses are about equipping the industry with the knowledge and tools needed to build programs that deliver real, measurable value."