In the UK, the AA (Automobile Association) is to be the next partner to join Loyalty Management UK's coalition loyalty programme, Nectar, with consumers being rewarded for taking out and renewing personal memberships and other breakdown cover options.
David Warren, Head of Affinity at the AA, said: "Nectar has a strong brand alignment to the AA ... This relationship provides the AA with a real opportunity to engage and acquire new members, while at the same time rewarding existing members."
Points for personal cover
According to the AA, the company has an active member base of some 15 million drivers. Starting in June 2006, Nectar collectors will earn 2 Nectar points for every 1 spent on AA Personal Membership, including the optional European Breakdown Cover and Breakdown Repair Cover packages.
Brian Sinclair, managing director for LMUK, said: "We know our collectors will value this link and they will now be able to boost their opportunities to earn Nectar points through this new partnership."
Currently, more than half of the UK's households have a Nectar card, and the average Nectar-collecting household can (if they shop with Nectar partners whenever possible) potentially earn up to 30 or more worth of rewards per quarter.
According to LMUK, an average of 19 Nectar cards are used at a point-of-sale during every second of every day, through the programme's nationwide network of points-issuing retail partners (those being Sainsbury's, Debenhams, BP, adams kids, Ford, EDF Energy, Winemark, Hertz, Magnet, Brewers Fayre, eBookers, Beefeater, American Express, TalkTalk, Dollond & Aitchison, Thomson, and the AA).
LMUK is owned by Loyalty Management Group (LMG), which also owns Loyalty Management International (LMI), which provides loyalty expertise and management internationally, and also Loyalty Management Services (LMS) which provides specialist data management services.