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♦ Discounts, special offers personalized according to history, prizes or points. These are some of the benefits that retailers promote when it comes to their own loyalty programs.

In a time when consumers are less loyal than ever, in an era where relationships – even interpersonal ones, let alone between consumers and brands – are shorter and more volatile than ever, loyalty programs are more valuable than ever. never.

In Romania, this loyalty tool arrived later, but quickly caught on with the public, and the most conclusive example is the programs developed by large food retailers, which attract over 1 million members each, according to the latest ZF data. Why are consumers flocking to download apps, have virtual or physical cards?

“Promotions and offers play an essential role in the food trade in Romania, being determining factors in consumers’ purchasing decisions. In recent years, this area has seen a significant evolution, with an increase in the frequency and diversity of promotions, thus responding both to customers’ need to save, and to their desire to discover and experience new products. In this context, loyalty programs become a key element in strengthening the relationship between merchants and customers, providing a bridge between the needs and preferences of consumers and the offer of personalized promotions”, say representatives of Lidl Romania, a company that in 2020 launched the Lidl Plus program , which also includes a digital loyalty card.

Officials of the German discounter add that a study carried out in 2023 by the market research company GfK shows that six out of 10 households in Romania have the Lidl Plus digital card. At the same time, according to GfK, of the total number of owners of the Lidl Plus application, 89% use it when shopping in the chain’s stores.

“One of the most important benefits offered by the loyalty program is exclusive access to weekly product discounts and promotions that customers can take advantage of by scanning their digital card before making a payment.”

Another benefit is represented by Coupon Plus, a promotional mechanism that rewards people’s loyalty. Through it, users have access to promotions, percentage discounts or special prices applied to the quantity of products purchased.

“Customer loyalty is a continuous concern, realized through complex technological processes, such as the “Card Connect” loyalty program (… which comes with – n. ed.) personalized offers and real discounts with each shopping basket”, say the representatives of Mega Image, the company that launched this program in 2018.

Recently, record inflation, rising interest rates and, in general, the increase in the price of all goods and services have led consumers to be more careful about how they spend their money.

Thus, people are now more than ever in recent years looking for low prices, offers and discounts. And look for the stores that offer them these advantages. Loyalty to a brand or to a retailer has lost its charm.

It is precisely this change in consumer behavior, which comes after several years of uptrading – that is, orientation towards more expensive products and less focus on price -, that makes the importance of loyalty programs grow in the eyes of retailers. However, they need to come up with something new to attract people.

“Loyalty cards are a copycat artifice, for which something more is needed to create a well-rounded and highly digitized shopping experience. I like to say that we offer the customer the opportunity to have the entire Carrefour universe right in his pocket, through the mobile application”, says Narcis Horhoianu, CMO & e-commerce at Carrefour Romania, a retailer that has the Act For Good program.

It is accessible through the Carrefour App, and customers receive points, exclusive offers or the chance to unlock vouchers or experiences for each shopping session. At the same time, the program also has a social component.

One of the first loyalty programs on the market is that of the Metro group, which is not addressed to end customers, but to companies, more precisely resellers and HoReCa operators. The company’s stores are of the cash&carry type, that is, auctions, not retail points.

The METRO PLUS program was launched in 2017.

Although the first loyalty programs in food retail appeared about five years ago, there are companies that have recently entered the field. This is the case of Profi, which sat down at this table in April 2022. The network integrated the loyalty program into the ProfiAPP application.

By tracking consumer behavior closely with the help of technology, retailers can offer lower prices and discounts on even the most purchased goods, which can cause customers to return to certain stores at the expense of others.

People look for offers and promotions and thus are tempted to join one or more loyalty programs offered by food retailers, especially since in Romania a good part of the income (about 30%) goes to consumer goods.

“I support loyalty cards. Discounts can be substantial, especially on products you buy regularly. If you often shop at the same place, a loyalty card helps a lot”, says Adriana A, who is a member of several loyalty programs both in food trade and in pharmacy retail. She adds that among the benefits identified are personalized discounts, especially for certain products that are frequently found in one’s own shopping cart, and points that you can accumulate and use later.

However, these tools are not only beneficial to consumers, but also to retailers who, in a difficult period, with decreasing purchasing power, are looking for more and more ways to gain market share. Thus, a loyal customer is now more valuable than a few years ago when there was money in the market and when people were willing to spend.

“Increasingly advanced digitalization in retail, such as contactless payments and personalized experiences, will influence consumer behavior and the way we shop. The Kaufland Card application is the most handy tool through which we can get to know our customers better”, confirm Kaufland officials.

The more people use the applications and cards of supermarket and hypermarket chains, the better they will know what everyone eats and drinks, what they buy and what they look for. As with artificial intelligence and social networks, these loyalty programs can be seen as a beneficial tool by consumers or as a form of controlling shopping behavior. The answer varies.

Loyalty above all?

What loyalty programs have the big retailers outlined

Retailer: Carrefour

Loyalty program: Act for Good

Release: 2021

Description: Through the Act For Good program, accessible through the Carrefour App, customers receive points, exclusive offers or have the chance to unlock vouchers or experiences during each shopping session. At the same time, the program also has a social component.

Merchant: Metro

Loyalty program: METRO PLUS

Launch: 2017

Description: To be eligible under the program, Metro Romania customers, legal entities, must have at least one monthly purchase and a total purchase value of over 15,000 lei/month for a bonus of 1% of the amount or over 25,000 lei / month for a bonus of 2% of the value. If the customer is also a LaDoiPaşi partner, he receives an additional bonus of 1.5% of the purchased value, according to previous ZF data. Accumulated loyalty points (1 leu = 1 bonus point) can be used as a complementary payment method when paying the bill in METRO Romania stores.

Retailer: Penny

Loyalty program: PENNY Loyalty

Release: N/A

Description: As part of the loyalty program, there are special offers for PENNY card users, vouchers dedicated to them exclusively in the application, but also specific campaigns run throughout the whole year.

Retailer: Kaufland

Loyalty program: Kaufland Card

Launch: 2019

Description: The Kaufland Card loyalty program was launched in 2019, initially as a pilot program in Romania, and later it was implemented in all the countries where the group is present. To join the program, customers just need to download the “Kaufland – Offers and News” app and set up their new customer account.

Retailer: Auchan

Loyalty program: MyCLUB Auchan

Release: 2021

Description: MyCLUB Auchan offers on-the-spot discounts for purchases, savings solutions such as money back for purchases made – given as a bonus on the loyalty card, personalized promotions or offers granted to groups of customers (parents, sports enthusiasts or loyal consumers of certain product categories ), services dedicated exclusively to club members, unique experiences (camper trips or visits to craft breweries, etc.).

Retailer: Profi

Loyalty program: ProfiAPP

Release: 2022

Description: The program offers specific advantages, including targeted offers, vouchers, games with prizes consisting of free products and bonuses in lei, depending on the monthly purchases that customers make.

Retailer: Mega Image

Loyalty program: Connect

Launch: 2018

Description: Based on this card, customers can benefit daily from specific offers signaled in stores, accumulate loyalty points that give them real discounts for each shopping session and can have personalized offers according to their shopping history.

Retailer: Lidl

Loyalty program: Lidl Plus

Release: 2020

Description: Lidl Plus includes a digital loyalty card, and among the advantages offered are exclusive access to special offers and weekly promotions for products, as well as the centralization of vouchers and the digital history of purchases.

Note: ZF did not find data about a Selgros program.

Sources: ZF, Companies