Showing posts with label loyalty. Show all posts
Showing posts with label loyalty. Show all posts

Tuesday, 29 July 2025

Supermarket Loyalty Waning

Reward, a customer engagement and commerce media specialist, has unveiled new consumer spending insights that confirm a continued decline in brand loyalty among UK grocery shoppers.

The data shows switching behaviour among shoppers has accelerated since 2023, with June this year marking a new high – 41% of consumers moved away from their primary grocer. Discounters are benefitting most from this shift as shoppers manage their budgets, claiming a market share of 20% in June, higher than their 2025 average of 19.3%.

Meanwhile, cross-shopping is now the norm, with 80% of consumers using two or more grocers in June and the average shopper visiting 3.2 different grocers.

Reward noted that these behaviours reflect the growing importance of price, availability, and perceived value in shaping grocery choices – key themes explored in its newly released report – The Trends Reshaping Grocery Spend – which analyses six years of evolving consumer behaviour.

The insights highlight a series of trends that have become firmly embedded in how UK consumers shop for groceries. Key takeaways include:
  • Top-up shopping dominates: In 2025, 67% of grocery transactions were smaller, frequent shops – up from 61.5% in 2019. The big weekly trolley shop is increasingly being replaced by ‘little and often’ purchases that reflect immediate household needs.
  • Online is embedded: Online grocery shopping accounted for 11.4% of spend in June, a figure that has remained stable post-pandemic, indicating online is now a standard channel for all types of shopping missions, not just a contingency.
  • Value is more than price: While discounters gain ground, full-range grocers that invest in personalised supermarket loyalty schemes and convenient multichannel experiences have maintained around 42% of market share since 2019. Consumers are weighing price alongside quality, convenience, and the benefits offered through loyalty.
Paul Jones, SVP data & insights at Reward, commented: “Our insights confirm a key trend that’s been building: loyalty isn’t dead – it’s evolving, and it must be earned. Grocers can no longer depend on routine habits; today’s shoppers are selective, value-driven, and quick to switch.

“In this environment, deeply understanding customer behaviour and market dynamics is more critical than ever. Retailers that harness data-driven personalisation and activate contextual spend insights through commerce media strategies will be best placed to drive meaningful engagement, long-term loyalty, and sustained growth in an increasingly complex landscape.”

NamNews Implications:
  • Worth keeping in mind that the same could be said of supplier branding.
  • i.e. Brand loyals now prepared to ‘shop around’ for other brands and own-label equivalents in a search for real value, rather than ‘price’.
  • More inclined to identify and criticise instances of shrinkflation and skimpflation.
  • ‘paying more and more, for less and less)
  • And prepared to ‘tell a friend’.
  • Unprecedented change, indeed…

Monday, 4 November 2013

UK shoppers replace loyalty cards with phones

A new survey from CloudZync via a poll of 2,000 consumers shows that while the average leather wallet now contains four loyalty cards, people have access to six schemes on their handsets.

Supermarkets are falling behind in the digital race - 92% of respondents have a physical card for Tesco, Sainsbury's or one of their rivals yet only 36% have a mobile scheme.

Furthermore, loyalty card users have on average £83 worth of redeemable points across their schemes at any point in time, and UK shoppers have cashed in on over £4 billion worth of points over the past year.

However, around £150 million in points remain unclaimed. Explaining why, 27% say that it takes too long to start earning benefits, 18% say they don't carry their cards in their wallets, and 14% don't remember to add on their points even when paying in-store.

In other words, traditional retailers are operating in ‘inertia-land’, on the assumption that low redemption rates will continue…

However, as with the infamous Hoover air-miles fiasco, if consumers are presented with more effective ways of managing their loyalty point redemption, current levels of inertia could disappear and be replaced by soaring redemption-levels, well beyond retailer expectations…

An app-nightmare in the making?