Loyalty schemes - Do they work?

[London Stone Paving]

I'm really interested in whether schemes like nectar card or club card actually do encourage brand loyalty. If anyone has the time would you be able to let me know your thoughts on the following

1. Do loyalty schemes dictate where you shop?
2. What is your favorite loyalty scheme and why?
3. What kind of incentive is most likely to attract you to a loyalty scheme? Vouchers, cash back, exclusive offers/benefits

I've got a nectar card and a shell card and I always try and fill up at either a BP or shell station and I try and use Sainsbury's as much as possible when buying food. As a result, last Christmas I ended up with about £80 worth of vouchers to spend at Sainsbury's which really came in handy.

the reason I ask is that we are currently working on giving some additional benefits to people who join our contractor profile scheme. One idea we had was to set up some kind of loyalty scheme.

Thanks in advance

Steve

[higgness]

In my opinion, you are going to live or die based on quality, service and price.
If you are cheap selling crap, you know what kind of customer you will get.
Customer service is also vital, you seem to have this in spades.
I know from posts that LLL and the Boss enjoyed there day out with you guys.
Maybe consider something like 10 no 40m2 patios and the 11th is 1/2 price?

[lutonlagerlout]

I dont really care for loyalty schemes
we use LSP because they do what they say , many dont

the cost of the stone is really of little difference to me its whether it turns up as advertised in good nick

which so far LSP has

the only one i use is amex airmiles

use it for fuel and shopping got around 90,000 point teed up now

cheers LLL

[GB_Groundworks]

i use tesco because it nearby

i use travis because we get a big discount and a huge line of credit and they've always looked after us

i use what ever fuel is available at the time, if you were up this way id use yo because i know you off here and you take pride if your products and thats a big thing in the paving game

regarding loyalty to you i think you'll find

customer picks the product, we can recommend them products etc but if theyve got a budget in mind and have been on the internet talking them into £50m/2 over £18m2 is a hard sell

i dont see you competing down the bottom end of the market so regarding keeping ppl loyal to you few things win over ppl in this game

free stuff, free beer especial, we got taken to aintree by city electrical factors on a freeby and the lads still go on about it years later

training days at teh yard say discuss products, teach ppl a little and free buffet lunch to get ppl to turn up etc

just wish you had a northern division

[Mikey_C]

loyalty schemes don't do it for me, yes I've got the club card, nectar card, Texaco etc. cards, but it doesn't draw me to one place over another. Surely the free MOT DTp type 1 you have been handing out from your "waste" has had everyone coming back?

as Giles said days out/freebies seem to work for me and people I know. I got invited to watch the first world cup England game with a free bar and finger buffet, care of a mates supplier and very good it was to!!!

[RAPressureWashing]

Pretty much like like yourself Steve Nectar Card, fuel for machines and vehicles,
I use D&M tools for certain things and get loyalty points (money off of next order)
Jewsons
Have hammered then down to a price we are both happy with for the products we need or use.

I have other suppliers for X amount of products and try to strike the best deal in both interests and will stay with that supplier as long as as the deal is in both our interests.

Re customers, re-book for next year and we'll give a 10% discount on the same work you've had done next year.

[seanandruby]

whatever happened to green shield stamps. Used to get a stamp for every tanner. Remember when they were dying a death you could get reems from retailers and get part cash for them.There was like a mini black market for a time in stolen stamps :;):

[lutonlagerlout]

my mum did them sean
needed about 12000 for a box of matches
LLL :;):

[seanandruby]

Don't think there was a car in England without books of them in the glove box :laugh:

[London Stone Paving]

Thanks to everybody for the feedback. The over riding message seem to be that points based loyalty schemes are seen as a bit of con and waste of time. I posted this question on LJN and the guys on there were of a similar opinion as you all.
Cheers all