The Art of Collecting

Ms Chan

Hey hey, welcome back to Loyalty Unlocked!

Ms Chan

For those listening for the first time, this podcast, including all voices, is AI generated based on posts on loyalty and marketing by my co-host, Mark Sage.

Ms Chan

So, if you’ve ever obsessively collected anything—stickers, stamps, sneakers, scented candles, you name it—then today’s episode is going to hit you right in the nostalgia.

Ms Chan

We’re diving into one of my favourite chapters yet from Mark's forthcoming book — it’s called The Art of Collecting, and we’re going to explore how this very human urge to complete the set is quietly powering some of the smartest loyalty programs out there. As always, I’m joined by the man behind the book, loyalty architect and recovering Panini addict—Mark! Welcome back.

Mark Sage

Thanks very much. I feel seen already1

Ms Chan

I mean, look, you opened the chapter by admitting you weren’t even a football fan growing up—but still hoarded those sticker books like they were treasure. Let’s talk about that.

Mark Sage

It’s true. I had absolutely no clue who most of the players were. I just loved the process—swapping stickers, chasing the rare silver badges, filling in every blank space in the album. It was this satisfying ritual that somehow made me feel… accomplished?

Ms Chan

Yes! There’s something weirdly emotional about it. I still remember the joy of slapping that final sticker in and closing the book like I’d just finished a novel.

Mark Sage

Exactly. That feeling of completion is powerful—and it sticks with us. As adults, we might not be collecting footballers anymore, but we’ve just swapped the stickers for shoes, handbags, or… loyalty stamps.

Ms Chan

Or avocado toast loyalty punch cards. Guilty!

Mark Sage

There you go. The collecting instinct is alive and well—it’s just been rebranded.

Ms Chan

And in the chapter, you even mentioned Argentina’s sticker crisis during the World Cup. That was next-level.

Mark Sage

Yeah, in 2022 there was so much demand for Panini stickers that the country had a full-blown shortage. It made international headlines—and the government actually stepped in. The trade secretary held a meeting with Panini and sweet shop reps to try and solve it.

Ms Chan

I love that so much. Imagine being the Minister of Stickers. But seriously—it shows just how deep this runs. It’s not just a kid thing. It’s human nature.

Mark Sage

Right. And that’s why it works in loyalty. Retailers have been leveraging this for years. Stamp cards, punch cards, sticker promos in grocery. It’s familiar, it’s tangible—and it drives behaviour.

Ms Chan

Okay, so here’s where my inner marketing nerd got excited. You dig into the behavioural science behind why collecting works—and you make a really important distinction: stamps aren’t the same as points..

Mark Sage

Very true! Points are flexible. You earn a bit here, a bit there, and one day you might redeem them for something. Stamps are focused. “Buy 5, get 1 free.” It’s clear. It’s finite. And you know exactly where you stand. They're essentially appealing to different motivations.

Ms Chan

There’s a clarity to it. Like I can see the goal. I know how many more visits it’ll take. With points, it’s like… “you have 8,422 points” and I have no idea what that actually gets me.

Mark Sage

Yes! Thats true. And it's not to say that stamps are better than points, they just serve different purposes. With points, you're tapping into the psychology around mental accounting - people assign a value to them... sometimes more than they actually deserve, but this desire to accumulate more value drives more spend.

Mark Sage

But with stamps, you're tapping more into the goal gradient effect which says the closer you get to a goal, the more motivated you are. We do see that within points too, but typically centred around the timing of redemption. The challenge with stamps though can be around completion - people tend to drop off more easily having put energy in to achieve them.

Mark Sage

So ultimately stamps create a nearer and sharper motivation. Especially when you combine them with what we call the Endowed Progress Effect.

Ms Chan

Ah yes, this study was genius. Can you break it down?

Mark Sage

So, researchers gave people loyalty stamp cards. One group got a card with 8 blank stamps. The other group got a 10-stamp card—but with 2 stamps already pre-applied. Same number of steps. But the second group was way more likely to finish.

Ms Chan

Because psychologically, they already felt like they’d started. Even though they hadn’t actually done anything.

Mark Sage

Exactly. That illusory head start gave them momentum. It’s like joining a gym and being told you’ve already done your first two sessions—it changes your mindset.

Ms Chan

It’s also a little sneaky. But in a good way.

Mark Sage

Well, I guess most behavioural science is a little sneaky - in a good way. Another good example is priming. There’s this study where people were asked to put a tiny “Be a Careful Driver” sticker in their window. Then two weeks later, they were asked if they’d install a giant billboard with the same message on their lawn. The ones who had the little sticker were way more likely to say yes.

Ms Chan

That blew my mind. Like, one tiny action literally redefined how they saw themselves.

Mark Sage

Right. That’s the point. Small actions lead to big behaviours—especially when they align with how someone wants to see themselves. And in loyalty, if someone accepts one offer, collects one stamp, or makes one choice—they’re far more likely to continue.

Ms Chan

So, let’s talk about how this all plays out in real life. You took all this behavioural gold and embedded it into yuu Rewards. What did that look like?

Mark Sage

We started by using welcome offers to prime behaviour. But crucially, they weren’t just “join and get free points.” You had to transact—take an action—to earn them. That created a sense of choice and progress right from the start.

Ms Chan

So people felt like they’d earned it—not just been handed something.

Mark Sage

Exactly. That perception of effort matters. Then we introduced something that most programmes avoid: a hybrid model using both points and stamps.

Ms Chan

That’s rare, right? Most programmes pick a lane.

Mark Sage

Yes, and for good reason—it’s simpler. But we saw value in both. Points gave us flexibility across our coalition of partners. Stamps gave us short-term, focused behaviour change.

Ms Chan

Which brings us to 7-Eleven. Honestly, this part of the chapter was fascinating.

Mark Sage

Yeah, 7-Eleven was a challenge. The average basket was small, and lots of items—like tobacco or mobile top-up cards—were excluded from earning points. So customers didn’t bother scanning their loyalty ID a lot of the time. The perceived value just wasn’t there. And this is true across any convenience retailer - loyalty penetration is much lower than larger grocery stores.

Ms Chan

Right, no one’s opening an app for a couple of loyalty points on a litre of milk!

Mark Sage

Well, with points thats true - but stamps gave us a new tool. We could run campaigns like “Buy 5 bottles of milk, get 1 free.” It’s simple, habitual, and it makes the programme feel rewarding at a much smaller scale.

Ms Chan

And I loved the bit where you said some people internally were worried about it diluting the message. Or even cannibalising revenue.

Mark Sage

Yes. It was a real debate. Some said, “Why add a second mechanic? Won’t it confuse people?” Others worried we wouldn’t monetise stamps the way we do points. But we believed engagement was the bigger win—and the data backed us up.

Ms Chan

Alright, time to nerd out on results. What happened when you rolled it out?

Mark Sage

At first, it was slow. We ran category-specific stamp campaigns—coffee, bread, ice cream—but the visibility was low. So we ramped up app placements, shelf signage, in-store promotion. And participation started to snowball.

Mark Sage

This was a great lesson in consistency - if we'd simply given up at the first hurdle, we'd have missed out on the really strong benefits we ultimately saw. Sometimes, customers just need time to see something and to understand it - marketing messages take time to embed themselves!

Ms Chan

Any numbers you can share?

Mark Sage

Sure. Within a year, 7-Eleven basket penetration rose by four percentage points - which is massive for this category! Members in stamp campaigns also spent nearly 50% more on promoted products. And the biggest insight? The type of product mattered.

Ms Chan

Oh yes. You broke this down beautifully—stockable vs habitual.

Mark Sage

Right. Stockable items like ice cream triggered bulk buying. Great for short-term lift. But habitual products—coffee, milk—, things you can't really keep, drove visit frequency. The spend per member was 3x higher on habitual products over time.

Ms Chan

So one builds revenue, the other builds behaviour.

Mark Sage

Exactly. We also structured stamp campaigns in waves—every two months. At first, I thought it might frustrate regulars, resetting progress. But it had the opposite effect—it created urgency and kept things fresh.

Ms Chan

And you used auto-enrolment, which some would say is risky.

Mark Sage

Yes, but it gave us that “free” head start again. People would buy a coffee and suddenly get a message: “You’ve earned your first stamp!” And once they were in, they were more likely to keep going.

Ms Chan

I love that. You turned collecting into a habit. Into a rhythm.

Ms Chan

Mark, this chapter was such a joy. It’s nostalgic, practical, and so grounded in what actually drives people. From sticker swaps in the schoolyard to stamp cards in 7-Eleven—it’s all about progress, identity, and that little hit of dopamine when you complete the set.

Mark Sage

That’s exactly it. Loyalty doesn’t always need to be complex. Sometimes, the most powerful mechanic is one we learned as kids.

Ms Chan

Amen to that.

Ms Chan

So if you’re listening and you’re building loyalty, designing offers, or just wondering why your coffee stamp card works so well—this is your blueprint.

Ms Chan

You can read the full chapter now on Mark's Medium page — see the show notes for the link. And we’ll be back soon with more chapters, more stories, and a whole lot more behavioural goodness.

Ms Chan

Until next time—happy collecting!