10. Loyalty cards

Some large organisations such as supermarkets and petrol companies run loyalty card schemes.

When a customer applies for a loyalty card, they have to fill in an application form which asks for personal details such as name, home address, email and so on. reward card

In return, they are issued with a Loyalty card that resembles a credit card in size and appearance. The loyalty card only contains their customer membership number. 

The card is swiped when the customer buys something and they are rewarded with a discount, typically 1p for every £1 spent. 

This would only seem to benefit the customer as the entire scheme is free of charge.  However, supermarkets also benefit in other ways.

  • Increase the amount customers spend as they are keen to get their loyalty points
  • Build up a profile of their typical customer e.g. age, gender, average spend etc.
  • Track customer spending habits
  • Offer special promotions in partnership with other companies e.g. hotel discounts
  • Measure the results of special offer campaigns

So the loyalty card allows the supermarket to build up a very accurate picture their customers.

Challenge see if you can find out one extra fact on this topic that we haven't already told you

Click on this link: Loyalty cards