South Africans must find ways of coping as living costs continue to rise in the country, and using loyalty benefits is one of them – with Clicks’ ClubCard being a firm favourite.
This is according to TrendER/infoQuest’s latest survey, which assessed the most popular consumer loyalty programmes in South Africa.
In May 2023, the survey asked over 300 South Africans which loyalty programmes they belong to, which they use most often, and which are their favourites.
The popularity of loyalty programmes is driven by several factors, with the economic climate and the opportunity for consumers to save where they can, being critical.
The ease of using loyalty programmes has also improved with technology, making it more convenient for consumers to accumulate points or claim discounts on products, said infoQuest.
The data revealed that, on average, consumers belong to eight loyalty programmes across different categories.
In terms of age groups, those in the 35 to 49 age category belong to the most loyalty programmes at
seven, while the younger generation, those aged 18 to 24, belong to the least loyalty programmes at seven – albeit still a significant number, said the report.
InfoQuest added that women belong to a few more loyalty programmes than men: nine compared with seven.
The table below shows, on average, the number of programmes subscribed to based on age bracket.
|Age category||Number of Programmes|
According to the survey, Clicks’ ClubCard is the leading loyalty programme regarding membership numbers, with 71% of respondents having a ClubCard.
This is followed by Pick n Pay Smart Shopper (66%) in second, Checkers Xtra Savings (65%) in third, Shoprite Xtra Rewards (58%) in fourth, and Capitec Live Better (53%) in fifth.
The graph below shows the most subscribed loyalty programmes in South Africa.
Unsurprisingly, the top positions are occupied by the more general and grocery retailers. Capitec Live Better is the only financial loyalty programme in the top five, with just over half of respondents in the survey belonging to this programme, said InfoQuest.
Programmes used and the most valued mirrored those with the highest membership, with Pick n Pay Smart Shopper viewed as offering the most value, followed by Clicks ClubCard and Checkers Xtra Savings coming in second and third, respectively.
These programmes are also perceived to provide the most value, as seen in the graph below.
Despite the Pick ‘n Pay Smart Shopper being perceived as offering the most value, the Clicks loyalty programme is South Africans’ favourite loyalty scheme – although only marginally so.
Capitec and Shoprite are in second place, with Pick n Pay and Checkers in very close fourth and fifth positions.
The graph below shows the best loyalty programme based on respondents who listed them as their favourite overall.
“As expected, consumers choose their favourite programme based on the tangible benefits they get – cash back and discounts are the drivers,” the report said.
It added that in the 25- to 49-year age category, Capitec’s loyalty programme is the most preferred.
“There are several factors influencing the popularity of loyalty programmes, now more so than
ever,’ says Mogorosi Mashile, MD of TrendER/infoQuest.
“Firstly, the market’s competitive nature has led to a proliferation of choices for consumers, and loyalty programmes offer an incentive for customers to stay loyal to a particular brand.
“Secondly, the convenience and accessibility of loyalty programmes have improved significantly with digital platforms and mobile apps being available,” he said.
He also noted that the economic uncertainty had heightened the importance of value and cost savings for consumers.
“Loyalty programmes enable customers to stretch their budgets by accessing discounts and rewards. During times of financial strain, these incentives become even more appealing,” Mashile said.