Virtually every major supermarket chain in the UK uses a customer loyalty scheme to entice and retain customers. These schemes provide a number of benefits, ranging from vouchers to exclusive offers and discounts. They can be very effective too- a large percentage of shoppers are signed up to at least one supermarket’s loyalty scheme.
With so many different loyalty schemes available companies are offering more benefits in an effort to entice more customers- and keep them away from competitors. Comparing the best supermarket loyalty schemes in the UK highlights a few key differences that can be useful for anyone trying to improve their customer loyalty. Here are some examples of the most popular supermarket loyalty schemes in the UK.
Nectar Card (Sainsbury’s)
One of the most popular loyalty schemes in the UK, Sainsbury’s Nectar Card uses a points-based system whereby the customer gains points whenever they buy something in store or online. These points can then be redeemed for a discount on certain products. Sainsbury’s Nectar Card is a popular customer loyalty scheme for several reasons, with one of the main being the wide variety of ways points can be used. Not only can they be redeemed for discounts on Sainsbury’s products, but they can also be used with a host of other partner companies including Argos, Ebay and Domino’s.
The Nectar Card works because of its personalised nature- every customer’s card is unique. This means that the more a customer uses their nectar card, the more the system learns what the customer is interested in, which gives every customer a unique experience. This personalisation is a great way to increase loyalty as it gives each customer what they want, and if they’re saving money buying the things they want, they’ll be more likely to keep using Sainsbury’s rather than a rival brand.
A Co-op membership allows the customer to get exclusive discounts and money back on certain products, but it differentiates itself by offering a share in the company- giving customers a say in the future of the business. Each Co-op store runs initiatives in the local community, so a membership lets customers help out their community every time they shop.
Iceland Bonus Card
Iceland’s Bonus card is similar to other loyalty schemes, but with a few differences that make it stand out. First, customers can manage their budget by adding money to the card, so even if an unexpected expense occurs, they’ll still be able to shop at Iceland. Secondly, customers who use this scheme qualify for free delivery, both in store and online. With many customers preferring to shop online, offering free delivery is a powerful incentive to attract and retain customers.
These are just a few of the best supermarket loyalty schemes in the UK, but they each have particular traits that make them attractive to customers. The most successful loyalty schemes offer customers rewards that they want and offer a personalised experience that makes every customer feel unique, inspiring emotional loyalty that will keep these customers coming back in the long-term.