Tesco Lotus invests Bt1 billion in Clubcard scheme, links with AirAsia Big

Economy October 01, 2015 01:00

By KWANCHAI RUNGFAPAISARN
THE NA

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TESCO LOTUS, Thailand's leading retailer, said yesterday that the company had invested about Bt1 billion this year on its Clubcard loyalty programme aimed at attracting new customers as well as increasing shopping frequencies at its stores.



Mark Roughley, Tesco Lotus marketing director, said this was the biggest expenditure ever by the UK-based hypermarket retailer since it launched the Clubcard programme about six years ago. 
The company has 11 million Clubcard members who are able to earn and collect points when shopping at any of 1,800 Tesco Lotus hypermarkets and its Express stores around the country. Tesco Lotus expects the number of Clubcard members to increase to about 12 million by the end of this year.
Tesco Lotus also announced a historic partnership with AirAsia Big, the coalition loyalty programme of Asia’s leading low-cost airline, to offer Clubcard members the ability to transfer their Clubcard points to AirAsia Big points and redeem them for free flights on AirAsia, starting from today.
“Tesco Lotus is always looking for ways to make our customers’ lives easier by providing quality products at incredibly affordable prices and with great shopping experience,” Roughley said. 
“We have established the Clubcard programme as a way to thank customers by rewarding them with Clubcard points, which are redeemable for cash vouchers and discount vouchers. Currently, over 11 million members around Thailand are enjoying these monetary benefits and today we are pleased to add on more benefits that fit with the lifestyle of our customers through our partnership with AirAsia Big.” 
 
Partnership 
Roughley said the partnership with AirAsia Big reflected Tesco Lotus’ strategy of looking for new opportunities to improve Clubcard benefits for its members. 
“We are pleased to be the first and only hypermarket retailer in Thailand that offers shoppers the ability to redeem points from their shopping on AirAsia flights.” 
He said 20 Clubcard points were equal to one AirAsia Big point, with each transfer requiring a minimum of 500 Clubcard points.
“This partnership with AirAsia Big will be the starting point for other strategic cooperation between the two partners. In the future, AirAsia Big may set up kiosks at Tesco Lotus stores for ticketing and check-in services, for example,” Roughley said.
Alice Goh, chief executive of AirAsia Big, said: “AirAsia Big is committed to [provide] more value and rewards to our members for their loyalty in Thailand. We are excited to collaborate with Tesco Lotus, a leading retailer in Thailand, as we believe this will provide exciting value to both [companies’] members. Simply spending every day with Tesco Lotus will bring them closer to their next holiday with free flights. 
“Clubcard members can easily convert Clubcard points to Big Points and redeem [them] for free AirAsia flights from as low as 500 Big Points to over 100 destinations.” 
Launched in 2009, TescoLotus’ Clubcard currently has a membership base of more than 11 million. Members earn points simply by shopping at any of Tesco Lotus’ 1,800 branches nationwide and enjoy such benefits as cash coupons and product discount vouchers. 
Last year, the Clubcard programme helped members save around Bt945 million through cash coupons and discount coupons, the company says. So far this year, members have saved around Bt600 million through the programme.