Since March 2020, the double dividend day stamps were paused to reduce the risk of spreading Covid and to ensure colleagues and members could work and shop safely.
Double divvy days were popular, increasing customers in stores. However, the Co-op realised that people who could not shop on those days missed out.
Also the machines which create the stamps were now obsolete.
‘For years many members have been asking us to update our loyalty offer but we were hesitant to do so,’ CEO Mark Cox said.
‘There’s a lot of nostalgia and history surrounding stamps and we were never quite sure how removing them would be perceived by some members.’
Stopping double divvy days gave the Co-op the chance to implement a temporary loyalty scheme, where members received a 1% loyalty bonus on a daily basis.
Mr Cox said this had been hugely popular with many members saying it is more equitable and accessible.
This bonus dividend is accumulated alongside a member’s share account where they can transfer it over to earn interest, or take it out as cash.
‘We are committed to developing and protecting long-term member value and as part of this it is the right time to invest in our loyalty offering and future-proof our member dividend offer.’
This, he said, was an opportunity for the society to take a leap into the future.
‘We aim to create a scheme where members can spend their loyalty and earned dividend balances in store, check balances more easily and readily through an app, take advantage of offers and even donate to charity.’
In the meantime, the 1% loyalty bonus will continue to be offered every day and promotions and discounts will continue to run.
The Co-op wants to work with members over the coming months to develop the scheme and ensure it has the right systems and processes in place to implement it.
‘We are confident that this new approach will ensure the Co-op can continue to “give back” through dividend, but in a more inclusive way where all members can benefit and we can continue to reinvest in the Channel Island communities that we serve for the next 100 years,’ Mr Cox said.
n The Co-op is still accepting full 4p stamp cards to be used against purchases. Dividend stamp cards are the equivalent to cash and members can pay using these until the end of 2022. It will continue to accept incomplete £1 stamps, so if members have £3 on a card, these can still be spent in store. It will not accept incomplete 4p stamp cards in store but these can be paid in to share accounts over post office counters.