Woolworths Rewards

Woolworths Rewards
Entity: Loyalty program
Established: 2007
Owners: Woolworths Limited
Major retailers: Woolworths supermarkets, Big W, Caltex Woolworths/Safeway
Major rewards: Fuel saving offers, Qantas Frequent Flyer points, special offers
Website: www.woolworthsrewards.com.au

Woolworths Rewards (formerly Everyday Rewards) is a loyalty program owned and operated in Australia by Woolworths Ltd. The principal participant in the program is Woolworths supermarkets, with other participants being BWS, Caltex Woolworths/Safeway and other retail brands in the Woolworths group.

Members can earn one point for every dollar spent (some exclusions apply - see woolworthsrewards.com.au for full details) at participating Woolworths supermarkets, Woolworths online, BWS and selected Caltex Woolworths fuel outlets. Once members reach 2000 points they will automatically get $10 off a future shop. Members can also choose to bank their savings for Christmas. If a member has a Qantas Frequent Flyer card added to their Woolworths Rewards account they can then choose to convert their savings to Qantas Points. In addition, shoppers (not necessarily Woolworths Rewards members) who spend more than $30 in one transaction at a Woolworths supermarket are entitled to fuel discounts, which must be redeemed within 28 days at Caltex Woolworths/Safeway outlets. This entitlement can be stored electronically and accessed by presentation of the Rewards card, dispensing with the need for shoppers to retain paper coupons, which are still produced if a Rewards card is not presented. Woolworths also offers in-store discounts to customers with a Woolworths Rewards card.[1][2]

History

Everyday Rewards Card

Everyday Rewards was first trialled in central west New South Wales from September 2007.[3] This followed Woolworths' announcement that it was planning to launch a general purpose credit card in 2008, the Everyday Money credit card.[4]

During the NSW trial, 50,000 cards were issued to customers.[5] In February 2008, Woolworths announced that following the NSW trial, Everyday Rewards would be rolled out nationally, beginning with South Australia and Northern Territory in mid-February, and to other states by the end of May 2008.

By early May 2008, the scheme had been extended to Victoria, Western Australia and Queensland and by the end of May 2008 to all mainland states (excluding Woolworths and BWS stores in Tasmania.[6]). Woolworths stated in June 2008 that "well over a million" shoppers had taken a card and registered their details.[7] In July 2008, Woolworths stated that the program had exceeded expectations, with more than three million cards on issue.[8]

By August 2008, there were 3.8 million cards "on issue", with 2.4 million cards "registered".[9]

By June 2010, Big W had withdrawn the fuel discount benefit for cardholders in Western Australia and South Australia,[10] and in August 2010, Big W also withdrew from the fuel discount benefit for cardholders to all of Australia (except Tasmania).

In May 2012, Woolworths started offering in-store discounts to Everyday Rewards members who use the card.[11]

On 26 October 2015 Woolworths announced that, from 1 January 2016, customer loyalty cards would no longer earn Qantas Frequent Flyer points. Instead they will receive more discounts on groceries. The new discount program came into effect on 28 October 2015. Everyday Rewards cardholders will be sent new 'Woolworths Rewards' cards.[12] The furore over this new program caused Woolworths to do an about-face and offering their customers the choice of redeeming their Woolworths Rewards for Qantas points.

On April 2016, doubts were expressed over the effectiveness of the new program with claims by analysts that the program has not gained traction in the community and is possibly a cause of the slow down in supermarket sales growth which has slowed to 3 per cent.[13]

On 22 August 2016 significant improvements to Woolworths Rewards were announced - As of 31 August 2016, members will earn rewards on every dollar they spend in Woolworths’ Supermarkets and BWS stores, and for the first time, members will also earn on every dollar they spend at Caltex Woolworths outlets.[14]

Qantas Frequent Flyer program

In December 2008, Woolworths and Qantas entered into a six-year agreement to allow Everyday Rewards members to earn Qantas Frequent Flyer (QFF) points for purchases at Woolworths supermarkets.[15] In June 2009, details of the arrangement were announced. Under the arrangement Everyday Rewards members would earn one Qantas Frequent Flyer point for each dollar over $30 spent in one transaction at Woolworths (or Safeway) supermarkets (excluding Tasmania) or Woolworths liquor stores. To earn these points Everyday Rewards members would need to also have and link a QFF account, and the QFF joining fees were waived for new QFF members.[16] Woolworths was to pay the QFF program for QFF points earned by members under the arrangement.[17]

The program was later expanded to include some of Woolworths Limited's other stores including Big W and BWS.[18] From October 2009, cardholders could collect one point per dollar for every dollar over $50 spent in one transaction at Dick Smith and Tandy,[19] however those stores' participation stopped in September 2012.[20]

In August 2009, of 3.8 million Everyday Rewards cards "registered", 1.2 million were linked to a QFF account,[21] which increased by August 2010, to 5.1 million cards registered, of which 2.7 million were linked to a QFF account.[22]

On 26 October 2015 Woolworths announced it is splitting with Qantas to revamp its Everyday Rewards Program.[23][24]

On 15 December 2015 Woolworths Rewards announced a new partnership with Qantas Frequent Flyer giving customers the choice to convert their Woolworths Dollars, earned through buying orange ticket products, into Qantas Points at a conversion rate of 870 Qantas Points for every 10 Woolworths Dollars.[25]

On 22 August 2016 Woolworths Rewards announced that members would now have additional redemption options, including converting their savings to Qantas Points.[26]

See also

References

  1. "Woolworths Rewards". www.woolworthsrewards.com.au. Retrieved 2016-09-08.
  2. "Significant Improvements to Woolworths Rewards - Woolworths Limited". www.woolworthslimited.com.au. Retrieved 2016-09-08.
  3. "Fuel change on the cards". Australian Financial Review. 6 September 2007: 20.
  4. "Now it's Woolworths the credit card people". Sydney Morning Herald. 27 August 2007. Retrieved 2007-09-06.
  5. "Woolies revs up discount petrol war". Australian Financial Review. 11 February 2008: 1, 15.
  6. "Everyday Rewards - Earn Points". Everyday Rewards Site. Retrieved 2 June 2011.
  7. "Fuel's gold as a million people play cards with Woolworths". Sydney Morning Herald. 5 June 2008. Retrieved 2008-06-05.
  8. "Woolies reports sales rise". Sydney Morning Herald. 16 July 2008. Retrieved 2008-07-17.
  9. "Full Year Results Presentation" (PDF). Woolworths Limited. Retrieved 2008-08-29.
  10. "Terms and conditions". Woolworths Petrol. Retrieved 27 August 2010.
  11. "Woolworths escalates supermarket price war with new discounts". The Australian. Retrieved 6 June 2012.
  12. Croy, Liam (26 October 2015). "Woolies dumps flyer points". The West Australian. Retrieved 30 October 2015 via au.news.yahoo.com. ... shoppers will no longer earn frequent flyer points on their loyalty cards. Instead, they will earn credits averaging 15 per cent of the price of about 500 products marked with orange tickets at participating Woolworths supermarkets and BWS liquor stores. When the value of the credits reaches $10, customers will receive $10 off their next grocery or liquor bill.
  13. http://www.smh.com.au/business/retail/woolworths-loyalty-program-comes-up-short-20160413-go5axt.html
  14. "Significant Improvements to Woolworths Rewards - Woolworths Limited". www.woolworthslimited.com.au. Retrieved 2016-09-08.
  15. "Qantas Frequent Flyer points for Woolworths". The Australian. 8 December 2008. Retrieved 2009-06-07.
  16. "Battle for loyalty intensifies". The Age, Melbourne. 2 June 2009. Retrieved 2009-06-07.
  17. http://www.theage.com.au/business/retail/woolworths-looks-to-cut-ties-with-qantas-20151021-gkf0ry.html
  18. Kidman, Angus (7 October 2009). "Frequent Flyer Points From BWS, Dick Smith Soon". Lifehacker Australia. Retrieved 2009-10-18.
  19. "About Everyday Rewards and Qantas Frequent Flyer". Woolworths Limited. 26 October 2009. Retrieved 2009-10-26.
  20. "Important changes to earning points with Everyday Rewards". Woolworths Limited. 12 September 2012. Retrieved 2015-03-15.
  21. "Full Year Results Presentation" (PDF). Woolworths Limited. Retrieved 2009-09-17.
  22. "Woolworths reports solid profits". Australian Food News. 26 August 2010. Retrieved 27 August 2010.
  23. "Woolworths faces protracted battle to maintain loyalty after ditching Qantas deal, says expert". mumbrella. 26 October 2015.
  24. "Woolworths ditches Qantas rewards tie-up as shoppers complain of "points fatigue"" (26 October 2015). dailytelegraph. 26 October 2015.
  25. "Woolworths and Qantas announce new Frequent Flyer partnership - Woolworths Limited". www.woolworthslimited.com.au. Retrieved 2016-09-08.
  26. "Significant Improvements to Woolworths Rewards - Woolworths Limited". www.woolworthslimited.com.au. Retrieved 2016-09-08.
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