Got washing to do? Would you rather pay £16 for Ariel washing pods or £8? Thirsty? How about £5 or nearly £8 for a dozen Diet Cokes. Hungry? £2.50 a pop for Pringles or £1.75?
The lower prices are among the current “top picks” for Tesco Clubcard holders – and it’s a similar story in other big supermarkets. With the cost of groceries rising, it no longer makes sense to shop without joining a loyalty scheme when it is on offer.
That explains why 24 million UK households now have a Clubcard. Tesco says the deals mean shoppers save up to £375 off their annual grocery bill compared with its regular prices. Sainsbury’s claims its Nectar scheme can save more than £450.
The widespread use of loyalty discounts has gradually seduced even the sceptical, with 76% of consumers now in a scheme, according to Mintel. The market researcher says close to 60% of us subscribe to four or more, helping to stretch the definition of loyalty.
Nick Carroll, the Mintel director of retail insight, says in the current tough economic climate “instant savings” are important. “We’re in a period of very high food inflation, and that means people want savings now, not in six months.”
Carroll suggests the loyalty schemes which are a new spin on store promotions “do save customers money”. But if they weren’t there, the big supermarkets “would still need to be price competitive”.
During the cost of living crisis the sudden fashion for loyalty card price cuts attracted the scrutiny of the Competition and Markets Authority.
The CMA went on to review 50,000 products with loyalty price options and found 92% offered a saving against the supermarkets’ usual price. It concluded that shoppers in supermarket loyalty schemes can make “genuine savings”.
However, the watchdog also offered some advice: “Our review has shown that loyalty prices aren’t always the cheapest option, so shopping around is still key.”
We’ve rated the current crop of supermarket schemes, and given them an overall score based on upfront discounts, rewards and other perks.
Tesco
The Tesco Clubcard works on a point-based system. Photograph: True Images/Alamy
You earn one point for every £1 spent on shopping at Tesco. You can also accrue points at its other businesses such as its fuel stations and Tesco Mobile but the qualifying spend varies. A point is worth 1p when converted into Clubcard vouchers, which can be spent in Tesco or exchanged for twice their face value at more than 100 “reward” partners, including Pizza Express and Legoland. More important these days is its “Clubcard prices” promotion. With 10,000 deals every week the offers claim to save a Tesco regular £375 on their annual grocery bill.
Pros Members-only prices include a discount on Tesco’s popular meal deal – the price recently increased to £3.85 but is £4.25 for non-cardholders. Tesco uses your data to serve up personalised discounts, while a new “Tesco Tuesdays” deal offers film fans up to four standard 2D Cineworld tickets for £5 each (or £2.50 in Clubcard vouchers at double their value).
Cons Some would argue it is no longer in your interests to shop at Tesco without a Clubcard as it involves paying over the odds for your groceries. Also the rewards are stingier these days – at one point you could cash in vouchers for four times the face value.
Overall rating 8/10
Sainsbury’s
Argos is part of the Sainsbury’s Nectar scheme. Photograph: Michael McHugh/PA
Shoppers earn one Nectar point for every £1 spent in-store or online. A point is worth 0.5p and can be spent in blocks of 500 (worth £2.50). You can also collect (and spend) points elsewhere as the scheme boasts 500-plus partners including big names such as British Airways and Marriott Bonvoy.
With 27 million users, Nectar has taken the fight to Clubcard. The supermarket claims that “Nectar Prices” can save you more than £450 a year. It says Nectar Prices save you £323, plus potentially another £169 based on the average weekly saving from “Your Nectar Prices”. The latter is its personalised pricing offer, providing up to 10 weekly deals based on your shopping habits.
Pros Sainsbury’s says Nectar Prices alone can save customers a chunky £13 on an £80 basket of shopping. Also with lots of other companies, including big high street brands such as Argos, as part of the scheme, it is possible to collect points on a big chunk of everyday spending.
Cons In the same vein as Tesco, it is mad to shop there without a Nectar card. With a Nectar point worth 0.5p to Clubcard’s 1p, you need to spend twice as much to earn vouchers. However, with lots of ways to collect points this could balance out.
Overall rating 8/10
Asda
The Asda Rewards app. Photograph: mundissima/Alamy
For Asda Rewards you have to download an app – there is no physical card available. Users earn pounds rather than points when they complete “missions”, which may involve shopping a certain number of times or buying particular products. (Sample missions: spend £5 on ready meals, or £7 on sports drinks, to earn £1.) These pounds go into your “cashpot” and are converted into vouchers to spend at Asda. There are about 6.4 million active customers.
Pros Asda says some customers earn hundreds of pounds a year by completing all the missions, linking up their Asda credit card, using the various coupons and so on. The money can be spent on your shopping, so saves on the things you want to buy.
Cons You pay the full price upfront and get money off later rather than an immediate discount. It is only available via an app.
Overall rating 4/10
Lidl
The Lidl Plus app. Photograph: True Images/Alamy
The app-based loyalty scheme Lidl Plus gives you access to special offers that refresh weekly – current offers include 27% off Rubicon mango juice and 20% off granola. You can also get personalised coupons in the app that are based on your shopping habits – you need to opt in to these. There’s “Coupon Plus”, which unlocks rewards such as a free in-store “bakery sweet treat” when you spend £10 in a month, and 10% off your next shop (up to a maximum discount of £20) if you spend £250 in a month.
Pros As well as immediate discounts it offers “exclusive discounts and benefits” from its partners, such as £65 off holiday bookings with Jet2holidays and up to 40% off cinema tickets. In July the retailer announced it would be introducing a new self-scanning feature within the Lidl Plus app. It will let customers scan products as they shop, track their spending and savings in real time and complete their purchases at a self-checkout terminal, all through the app.
Cons The consumer group Which? is among those to have highlighted Lidl Plus as a scheme that is only accessible via an app, with an email address also required. That means the big savings available via the scheme are off-limits to those who cannot or do not wish to go digital. You have to actively opt in to get some of the savings.
Overall rating 7/10
Co-op
The Co-op offers a membership scheme. Photograph: Andy Rain/EPA
You pay £1 a year to become a member of the Co-op and get a virtual and physical card that gives you some discounts and other perks. There are some members-only prices – recent deals include 65p off Mr Kipling Lemon Slices and 70p off Co-op Fairtrade chocolate – and access to discounts that price-match 100 products to their Aldi equivalent. There are also two weekly personalised offers to choose from, based on your shopping habits. These may include £1 off your shop or money off specific items.
To add some fun, there are in-app games with vouchers for prizes, as well as a monthly prize draw – you get an entry for each £5 you spend.
Pros You can save money straight away with some of the offers. You get a say in how the Co-op is run and can help choose a local charity for the business to support. It is also available to 16- and 17-year-olds, unlike other schemes.
Cons It costs £1 to join; not all Co-op societies are involved.
Overall rating 5/10
Waitrose
There was delight among shoppers when Waitrose brought back its free hot drink offer. Photograph: David Gee 4/Alamy
With 4.6 million members, the benefits of the supermarket’s My Waitrose scheme include personalised money-saving vouchers, free hot drinks and 20% off selected service counter products such as “big cheese Thursday” and “fish Friday”.
Pros Free hot drinks. It caused outrage when this element was dropped during the coronavirus pandemic and its return at the start of this year was met with joy. You need to have your reusable cup on you but given the price of coffee these days it’s a freebie that’s not to be sniffed at.
Cons The proposition feels underwhelming compared with the might of Clubcard and Nectar but a current trial in 18 shops called “little treats” suggests it could be about to become more generous. The trial offers shoppers up to three “little treats”, such as a free product, or money-off voucher each month, based on how much they spend.
Overall rating 6/10
Marks & Spencer
The Marks & Spencer Sparks storecard. Photograph: Michael Melia/Alamy
Marks & Spencer says Sparks is about giving customers “treats and thank yous for shopping with us”. These include personalised offers across its clothing, home and food departments, and there is also a birthday treat that could include Percy Pigs, Swiss truffles or prosecco (if you have supplied your birthdate). There is also a coffee loyalty scheme in its cafes and a baby club called The Parent Hood with offers such as 10% off babygrows for new parents.
Pros Sparks clothing discounts are worth keeping an eye out for as they can result in a big saving, especially for families with growing kids, and with its womenswear feted in the fashion press, it can help bring down the cost of a new outfit. Customers can also donate to the causes they care about, with M&S donating 1p to their chosen charity every time they buy something. And come on … who doesn’t want a free bag of Percy Pigs on their birthday?
Cons: On a day-to-day basis it doesn’t feel there’s a compelling reason to scan your card at the till but it’s worth checking the app and loading the latest offers as, particularly for clothing and home, these can result in welcome savings.
Overall rating 4/10
Morrisons
Every week Morrisons offers a range of products at a More Card price. Photograph: Mark Collinson/Alamy
The More Card offers a mixture of loyalty prices, targeted offers and the chance to earn points that are turned into vouchers once you have accrued enough – you need to build up 5,000 points, which you can then turn into £5. Every week a range of products are offered at a More Card price – some of these are straightforward price cuts, while others are multi-buy offers that only apply if you are a member. You earn five points for every product you buy and can also opt into “points boosters” so that when you buy particular products you will earn extra points towards a voucher – for example, you might be offered 400-1,200 points on spending on Branston products.
Pros There are some upfront savings, although these do not really stand out from the other offers and discounts being advertised. You can choose to donate your points to the charity Marie Curie. You can earn extra points towards vouchers when you shop with partner retailers including eBay, Dunelm and Deliveroo.
Cons There are not as many immediate discounts as available via Nectar and Clubcard – each week the number of items at More Card prices is in the hundreds rather than thousands. You have to build up £5 worth of points before you can get the money, and the points expire after 12 months.
Overall rating 6/10
The Which? view: not all discounts are equal
Every month the consumer group Which? compares the average price of shopping across eight of the UK’s biggest supermarkets. In September the cheapest store for its shopping list of 71 items was Aldi. The discounter does not have a loyalty scheme.
For a bigger trolley load of 186 items, it found that Asda continued to be cheaper than shopping at Tesco with a Clubcard and remained one of the UK’s cheapest supermarkets. (Aldi and Lidl are not included in this comparison as they have a smaller range of products compared with the other supermarkets.)
Reena Sewraz, the Which? retail editor, says: “Supermarket loyalty cards can be a useful way to save money but our research shows that not all discounts are as good as they appear, and while most people have signed up to at least one, millions of people can’t access loyalty prices at all because of age limits or digital requirements. That means deals on everyday essentials aren’t always as fair or inclusive as they should be.
“The best approach is to use loyalty cards where you already shop, but don’t rely on them for the lowest prices. Compare across supermarkets – Aldi and Lidl often come out cheapest – and only stock up on items you were planning to buy anyway. That way, you’ll be sure to benefit from real savings.”
