UK shoppers want instant rewards from loyalty schemes

Research from SumUp shows that 70% of UK consumers say loyalty schemes encourage them to return to shops, while 52% would switch local retailers for better perks.

The survey of 2,000 UK residents suggests loyalty programmes play a broader role in spending decisions ahead of key seasonal shopping periods. Some 73% of respondents said the schemes offer good value for money, while 41% said the savings influence how they manage their finances.

The findings suggest loyalty is driven more by immediate, practical benefits than by long-term point accumulation. Nearly three in five consumers, 59%, said they prefer small, instant rewards over larger offers that take longer to unlock.

That preference appears to shape shopping behaviour in several ways. Some 64% said they would delay a purchase if it meant buying an item more cheaply through a loyalty programme, while 68% said they sometimes or always spend more than usual when they are close to earning a reward.

The survey also points to an emotional link between consumers and local businesses. Some 61% said they feel more connected to a local business when it recognises their loyalty through an app or card, while 28% said they feel guilty shopping with a competitor if they hold a loyalty card with their usual shop.

Reward value

The research suggests consumers are willing to abandon schemes that do not offer clear or timely benefits. More than a quarter, 27%, said they are most likely to avoid a loyalty scheme if the benefits are unclear or unappealing, and 35% said they had stopped using a programme because it took too long to earn rewards.

That pressure extends beyond the scheme itself to store choice. Just over half of respondents, 52%, said they would change their local shop if another retailer offered better loyalty perks, underlining the risk for businesses that fail to meet customer expectations.

Supermarkets remain the strongest category for loyalty participation. Some 76% of British consumers use supermarket loyalty cards, and 79% said these were the loyalty programmes most important to them.

Coffee shop schemes ranked second for importance at 34%, suggesting smaller and independent businesses also have scope to use rewards to drive repeat visits. At the other end of the market, multi-brand points-based schemes such as Love2Shop or Perkbox were the least used, with just 7% of respondents using them.

Tracking rewards

Consumers are split on how they want to manage rewards, with no single format dominant. The survey found that 29% prefer a physical card kept in a wallet, another 29% favour a digital wallet card, and 28% prefer a dedicated brand app.

That spread suggests retailers may need to offer more than one option to keep schemes accessible across age groups and shopping habits. Physical cards still appeal despite the wider shift towards mobile payments and app-based retail services.

For merchants, the findings highlight both the appeal and fragility of loyalty schemes. They can encourage repeat business and larger baskets, but shoppers appear ready to walk away if rewards are confusing, slow to arrive or less competitive than those offered elsewhere.

The results also indicate that loyalty schemes now influence more than occasional discretionary spending. With 41% saying savings from these programmes help shape household finances, retailers may face growing pressure to show direct value rather than rely on abstract points balances or delayed redemptions.

Gabriel Destremaut, PR and Corporate Communications Expert at SumUp, said: "When developed with the consumer in mind, rewards programmes are an effective way to build brand trust and loyalty. We wanted to show businesses how they can create worthwhile loyalty schemes that encourage shoppers to return and spend. The findings show how valuable these programmes are to shoppers, and how much potential there is for brands to make them more rewarding and easier to use."