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Thursday 17 October 2019

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Payments Awards 2019

Tesco plans loyalty scheme overhaul

Written by Peter Walker
08/04/19

Tesco is planning an overhaul of its Clubcard loyalty scheme, moving towards a programme similar to Amazon Prime.

The Times reported that the revamp would encourage shoppers to sign up to the supermarket chain’s bank and mobile phone services.

The new scheme is thought to be linked with the Tesco Pay+ app, which allows shoppers to use a smartphone to pay for their shopping by scanning barcodes in store.

The app is connected to the customer’s debit or credit card, as well as their Clubcard, allowing them to collect points without presenting their physical loyalty card.

Amazon Prime has redefined loyalty in recent years, with customers pay an annual membership fee of £79 to get unlimited next-day delivery and its music and video streaming service.

Retailers have been keen to update loyalty schemes for mobile technology, but without losing customers that don’t want to make the switch. Last year, changes to Tesco’s Clubcard points which made it significantly less generous caused social media uproar for the UK’s biggest supermarket.


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