The lure of exclusive deals and substantial savings are becoming the bedrocks of customer loyalty schemes for UK retailers, according to the Consumer Outlook survey by RMS UK.

As price-conscious consumers increasingly seek out the best bargains, the survey of 2,000 UK consumers found 51% are more likely to shop with a retailer that has a loyalty scheme over those that don’t. And interestingly, this jumps to 60% in households earning £80,000 and above.

The main driver behind this shift in loyalty is to make the most of price reductions (48%), followed by bonus points to spend with the retailer (18%) and bonus points to be spent across a range of retailers (12%). 

Across age groups, baby boomers are the most likely to seek price reductions (53%), while Gen Z is the least likely (36%).

The savings can be substantial with RMS highlighting that Frasers Group’s Fraser Plus members get almost a third extra off a Michael Kors tote handbag, while brands such as Beauty Pie offer its bestselling serum at £44 to members, but non-members pay £185 – a 76% discount for loyalty.

Jacqui Baker, head of retail at RSM UK, said: “Unlocking exclusive bargains with a retailer has become the latest tool to build brand loyalty and increase market share — all for the small price of sign up, and in some cases a small fee, which is offset by exclusive deals. Not only does a retailer secure repeat custom, but they also benefit from greater access to consumer data to help shape future product offerings and deals.  

She added: “Supermarkets have led the way giving significant discounts on everyday groceries, but more and more retailers are adopting this strategy with brands, such as Beauty Pie and Fabletics, shaping their whole business models around offering VIP prices to members.

“Despite economic headwinds easing, the hangover of the cost-of-living crisis and inflated prices, sees consumers still seeking value and this looks set to continue into next year. The brands that get this right will win market share and gain that all important competitive edge.”