Morrisons is planning a major ramp-up of its loyalty card strategy in September as CEO Rami Baitiéh seeks to turn it into a more effective weapon against rivals.
The supermarket relaunched its More card last year, having previously opted for cardless rewards in 2021.
Following the success of Tesco Clubcard and Sainsbury’s Nectar scheme, More has become a major part of Baitiéh’s recovery plan.
The Grocer understands he has told suppliers investment in the card will include a major expansion of exclusive loyalty Prices. It has been billed as dwarfing the investment of last September, when Morrisons staged a record number of loyalty deals in ‘More Month’.
Morrisons is also set to increase the use of “hyper-personalised” offers for loyalty cardholders, having trialled a My Points Boosters scheme in April, which allowed users to select up to 10 leading brands from a personalised list of favourite products.
Customers could unlock additional More Points to convert into Morrisons Fivers, by hitting spending milestones with the brands.
Baitiéh told suppliers at a recent conference that it planned to increase the number of transactions involving a More Card from around 50% to 70%.
“Our loyalty programme is on the right path,” he said. “In the past it was a disadvantage. Now it’s a shield. And in the future it will become a sword.”
The Grocer understands Morrisons and its backers CD&R will put millions behind the new wave of offers.
Baitiéh has received plaudits for his “laser focus” on loyalty and the launch of a price matching scheme against Aldi and Lidl in February.
Bryan Roberts, retail future senior partner at IGD, said he believed both Morrisons and rival Asda could do more to ramp up the effectiveness of their loyalty schemes.
“Morrisons has previously tried more price exclusives, but they haven’t been anything like as pervasive as you might find in Sainsbury’s and Tesco.”
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