Millions of consumers in the United Kingdom are being denied access to lower prices at major supermarkets due to stringent loyalty scheme requirements, according to a recent study by a consumer watchdog.
The study scrutinised the loyalty programmes of prominent supermarkets including Asda, Co-op, Iceland, Lidl, Morrisons, Sainsbury’s, Tesco, and Waitrose. It found that only Co-op and Morrisons permit 16-year-olds to enrol in their loyalty schemes, whereas others set the minimum age at 18. Notably, Sainsbury’s has an exception that allows under-18s to join through a parent or guardian’s card.
Address requirements also create barriers. While no address is needed for Asda, Co-op, and Lidl, Iceland and Morrisons demand UK residency. Tesco and Sainsbury’s require a UK address, and Waitrose stipulates residency in England, Scotland, Wales, or the Channel Islands.
Digital access further complicates matters. Co-op, Morrisons, Sainsbury’s, and Tesco do not require digital access to join. On the contrary, digital access is mandatory at Asda and Iceland; this includes needing the app at Lidl, which also asks for an email and phone number, and an email and internet access at Waitrose.
The consumer watchdog expressed concern that these requirements exclude certain demographic groups from availing lower prices, citing age, address, and digital access barriers. They urge retailers to consider more inclusive solutions.
Lidl responded that they comply with industry norms, particularly where adult consent is necessary, and offer promotions for non-members. Sainsbury’s expressed a desire to simplify access to its Nectar programme. Tesco reported no consumer concerns about age criteria, while Waitrose claimed their requirements align with other retailers’ practices reflecting their store locations. Meanwhile, Iceland’s comments remain pending.
In light of these findings, the consumer watchdog calls for supermarkets to reassess their loyalty programme criteria to prevent exclusion of potential customers based on age, residency, or digital capabilities.
