Financial News

• Brown dismisses housing crisis fears (09 04 2008 10:15)
• Mortgage hope offered by bank (09 04 2008 10:15)
• Consumer morale 'falls again' (09 04 2008 10:15)
• Bristol & West withdraws deals (09 04 2008 10:15)
• Retirees feel 'unhappy due to no longer working' (09 04 2008 10:15)
• Severn Trent to be fined £36m (08 04 2008 04:15)
• Brown to announce first time buyers help (08 04 2008 04:15)
• UK bank details 'for sale by thieves' (08 04 2008 04:15)
• Last 100% mortgage to disappear (08 04 2008 04:15)
• High earners 'shut out of market' (08 04 2008 04:15)

Subscribe!

Consumers turn to loyalty cards during difficult economic times

Shoppers are increasingly using loyalty cards during the current period of financial instability, the new profit report from the company that owns the Nectar card has suggested.

The Nectar card allows consumers to retain points upon shopping at Sainsbury, eating at Beefeater restaurants, filling their cars at BP or using the AA road rescue service.

Loyalty Management UK, which owns the card, reported a £5.4 million rise in profits since 2006 to £194 million in 2008.

Tony Buffin, the company finance director, told the Daily Mail that; "What we have seen with Nectar is when there is a cyclical downturn in the economy people place more importance on collecting points as there is an element of thrift.

"What we haven't seen is any real impact from the final quarter on consumer spending."

The company also issued a statement that the biggest challenge they face is the "health of the UK retail environment" in the current economic conditions.

Send this article to: