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eBucks tops in rewards survey

Jul 18 2007 13:15

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Johannesburg - eBucks has been recognised as South Africa's most valuable rewards programme in the retail sector and the most valuable independent multi-partner programme, according a national survey.

The survey rates South African points-based retail rewards programmes according to their value to members and covers categories such as most valuable retail, entertainment, frequent flyer and mass markets rewards programmes.

Ster-Kinekor movie club proved most popular in the entertainment category and SAA Voyager in the frequent flyer group, according to Razor's Edge Business Intelligence, publisher of the Value in Rewards Programmes report.

eBucks was rated the most valuable in two categories (seven accolades were awarded).

"This is an outstanding achievement," says Bruce Conradie, managing director of Razor's Edge. "In other countries, coalition programmes have had among their partners a major grocer and a fuel retailer as partners. eBucks has been able to offer great value despite not having either of these.

In the retail sector, eBucks was up against Clicks ClubCard, Dis-Chem Benefit Programme, Edgars Purple Cash Card, Exclusive Books Fanatics, and Meltz Rewards. Three independent coalitions were rated: eBucks, Infinity, and Mahala. These were rated in their own category and in the retail sector.

Razor's Edge says despite the criticism that has been levied at rewards programmes, they are growing in popularity, both among companies and among consumers.

The two-year period since the survey was last done has seen a considerable growth in the sector. In the 2005 survey, 22 programmes were profiled. This has risen to 32 for the current survey.

This is the fourth edition of the Value in Rewards Programmes survey, which was started in 2002.

In the 2005 survey, 22 programmes were profiled. This has risen to 32 for the current survey.

In that time, the membership of eBucks has grown from 800 000 to 1.1 million.

According to Razor's Edge rewards programme active memberships now exceed 10 million, excluding the Vodacom Talking Points programme, for which the membership could be considerable - the potential members base, Vodacom prepaid cellular users, numbers 17 million.

The survey did not rate credit-card rewards programmes because these were rated in the company's Value in Credit Cards survey, last undertaken in December 2006. That survey found the DiscoveryCard to be the country's most valuable credit card.

Also not rated in the new survey were hotel programmes, as major programmes in this sector were in the process of being reengineered.

Professor Adele Berndt, department of marketing - University of Johannesburg, said the analysis conducted by Razor's Edge is comprehensive and detailed in indicating what customers can get from their membership of each programme.

"This report serves as a management tool that indicates the relative benefits offered to customers and how management can differentiate their clubs for their members.

"This is important as it is clear from the report that South African consumers have a wide array of clubs to which they may belong.

She said selecting benefits that will add value to customers will continue to be the challenge for club management as new clubs and programmes are launched.

 
 
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