Morrisons revamps loyalty scheme with ‘instant money’ offer

Morrisons has unveiled a new loyalty scheme and app that offers customers instant money off, as the supermarket looks to simplify the process and boost its digital credentials.

Rather than needing to save up points for vouchers, the new My Morrisons proposition shows all savings in pounds that shoppers can spend immediately.

As part of the loyalty revamp, Morrisons is also launching the My Morrisons app, meaning shoppers no longer need to carry a plastic card to collect incentives, although there is still an option for one should consumers request it.

As well as keeping track of the amount of money consumers have saved up, the app will also provide personalised offers and house Morrisons’ other digital services, including online shopping, food boxes and the Morrisons Café takeaway menu.

The supermarket also plans to add an option for customers to give back to the community via the app down the line, as well as ‘Basket Bonus’, which it describes as “surprise and delight rewards”.

Morrisons’ head of digital marketing, Waseem Haq, says customers have been increasingly using its apps and online services over the past 12 months, which it wanted to take advantage of by revamping the offer.

“The launch of My Morrisons enables us to make good things happen for our customers, rewarding them with instant offers every time they shop at Morrisons,” he adds.

The new proposition replaces the Morrisons More programme. Card holders were first informed of the transition in March and will have until 9 August to redeem unclaimed ‘Morrisons More Fivers’. Existing Morrisons More customers are also being asked to update their app in order to be part of the My Morrisons scheme.

Morrisons CEO David Potts last year outlined the supermarket’s intention to capitalise on sales growth during lockdown through a combination of online innovation, price cuts and its British supply chain.

The supermarket has been ramping up its digital offer over the past year, with the launch of food boxes and its doorstep delivery service, as well as tie-ups with Amazon and Deliveroo.

In March, Potts described the partnership with Amazon as a “kicker for sales revenue”.

Morrisons is not the only retailer looking at revamping its loyalty offer. Tesco has hinted it has “lots in the pipeline” on customer loyalty, after seeing its loyalty scheme grow in popularity during the pandemic. Nearly 80% of transactions in large stores during the second half of the year were made by Clubcard members, up from 67% in the first half.

The Co-op, meanwhile, rolled out its digital membership app at the end of last year, providing personalised offers and member-only in-store discounts.

But rather than describing it as a loyalty scheme, chief membership officer Matt Atkinson was keen to position the app, and the benefits it offers, as “membership”.

“The difference between loyalty and membership is pretty simple. Loyalty is carrot and stick, I give you this and you give this to me. I’ll thank you over time, but the centre of gravity is back to the business,” he told Marketing Week in November.

“Membership is very different in the sense it’s about us giving you something that you’re in control of, where you get some value but you can also create value.”