Loblaw's to Merge Loyalty Programs

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Loblaw’s to merge loyalty programs

November 9, 2017

Building on the success of two of Canada's most popular loyalty programs, Loblaw Cos. plans to bring together the Shoppers Optimum and PC Plus programs to create one program, PC Optimum, on Feb. 1, 2018. Through a single card or app, members will be able to earn and redeem loyalty points more conveniently across Loblaw's network of nearly 2,500 stores and its e-commerce sites.

The current programs, PC Plus and Shoppers Optimum, have respectively 8 million and 11 million members — who, last year, redeemed points every two seconds of the day, to save money on their necessities and indulgences.

"Retail is increasingly about customer relationships and loyalty will be central to the future of personalized value and experiences," said Galen G. Weston, executive chairman and chief executive officer, Loblaw Cos. Ltd. "Keeping customers at the heart of our thinking, we created the single PC Optimum loyalty program to give Canadians the value they have come to trust, with the ability to earn more points and redeem them in more stores than ever before."

Members of the Shoppers Optimum and PC Plus programs can continue to earn and redeem points as usual until the Feb. 1, 2018 launch of the new program, when the full value of their existing points will convert to PC Optimum points.

"We know how much Canadians care about their loyalty points, so we created the PC Optimum program by listening to our customers," said Jim Noteboom, senior vice president, loyalty and consumer insights, Loblaw Cos. Ltd. "They want a single, easy-to-understand program, covering our entire assortment of food, health, beauty and apparel. Most of all, the PC Optimum program will deliver on their expectation of equal value when the programs come together, with additional options

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to save even more."

The PC Optimum program will include elements of the Shoppers Optimum and PC Plus loyalty programs that Canadians love, including weekly personalized offers, the ability to redeem points for almost anything in our stores, and exclusive points-earning and points-redemption events.

When it launches, the PC Optimum program will provide a range of features requested by customers:

Equal value when their PC Plus and Shoppers Optimum points are converted to PC Optimum points. Just one card or app for loyalty offers across the Loblaw and Shoppers Drug Mart network. The ability to earn and redeem points in nearly 2,500 stores and Loblaw-owned online services: Real Canadian Superstore, Atlantic Superstore, City Market, No Frills, Independent, Zehrs, Loblaws, Shoppers Drug Mart, Shoppers Home Health Care and online at Loblaw- owned Click & Collect websites, joefresh.com and beautyBoutique.ca. The ability to redeem faster. With the PC Plus program, members can redeem only once they reach 20,000 points. The threshold will be lowered to 10,000 with the PC Optimum program. 50 percent more points (15 points vs. the current 10 points) for almost every dollar spent at Shoppers Drug Mart. The PC Optimum program will have a single, simple redemption table — i.e. 10,000 points equals $10 of value. President's Choice Financial Mastercard cardholders will earn up to 30 PC Optimum points for every dollar they spend across Loblaw's retail network, with an additional 15 PC Optimum points for every dollar spent on eligible purchases at Shoppers Drug Mart/Pharmaprix stores. PC Financial has provided Canadians with more than $1 billion in free groceries.

In Quebec, due to the difference in laws applicable to loyalty programs, the Pharmaprix Optimum program will end on Jan. 31, 2018. Members of the Pharmaprix Optimum program will have until May 2, 2018 to convert their points at full value to PC Optimum points or redeem them online or in store.