Rewe and Penny supermarkets are making waves by ending their collaboration with Payback, effective December 2024. This move signals a shift toward their own loyalty program, aptly named the REWE Bonus program, which is fully integrated within the REWE app.
Onone notable Saturday at the end of the year, Penny orchestrated a spectacular drone show over the Cologne Old Town, showcasing their transition with a magnificent QR code crafted from 400 drones. This display not only marked the end of the Payback partnership but also encouraged consumers to download the Penny app to take advantage of new offers and promotions. The air show commenced with the phrase "Hallo Kölle" and depicted the silhouette of Cologne Cathedral, demonstrating the store's commitment to innovation and customer engagement.
Under the new REWE Bonus program, customers will no longer collect points as they did with Payback. Instead, they will accumulate "Rewe Euros" using the REWE app during their shopping trips. With this switch, there won’t be any physical loyalty cards, as all rewards are digital and directly attributed to the customer’s app account.
To use the REWE Bonus program, customers need to download the REWE app available for both Android and iOS. After creating an account and completing their usual shopping, they will simply need to open the app at the checkout and scan the QR code displayed. The app tracks their balance of Rewe Euros, which can then be used to offset future purchases, providing savings ranging from mere cents to several euros depending on the amount accumulated.
Starting January 1, 2025, the Payback card will be obsolete at Rewe and Penny stores. Customers will no longer earn Payback points at these retailers, and they will need to transition to the REWE app to continue benefiting from loyalty rewards. Nevertheless, any points collected prior to the partnership termination will still be valid for some time, adhering to the established expiration policies. "Die bei Rewe gesammelten Punkte müssen hingegen nicht sofort zum Programmende am 31.12.2024 eingelöst werden. Auch wenn Rewe bei Payback aussteigt, werden die Punkte genauso wie alle anderen Punkte gehandhabt," elucidates the source on the matter.
Understanding these changes is pertinent for loyal customers who have depended on the Payback system for grocery rewards. While the transition might seem abrupt, Rewe and Penny assure their consumers of continued benefits through the new program.
The REWE Bonus plan is more than just a replacement; it promises simplicity and more direct benefits for customers. Unlike the previous method where points could be accumulated over time to redeem for products or services, with the new app-driven system, savings are instantly usable for the next shopping trip, enhancing the customer experience markedly.
Although the end of the Payback partnership alters how customers earn rewards at Rewe and Penny, it does not mean their existing points vanish. Payback will continue to operate with other partners, ensuring users can still earn and redeem points through numerous channels.
It's also worth noting the changing dynamics within loyalty programs. With Edeka and Netto joining the Payback umbrella, the competition for the attention of consumers intensifies. Payback seems set on diversifying its offers, particularly with expanded partnerships across mobility and travel sectors, allowing customers to collect points from car-sharing services and various travel-related businesses.
This move reflects broader trends within the retail and loyalty sectors, where personalization and tech integration are key. More brands are turning to digital solutions, incentivizing customers to engage directly through apps rather than traditional, less flexible loyalty cards.
While some might lament the end of collecting Payback points at Rewe and Penny, the retailer's leap to create a dedicated loyalty program hints at their commitment to enhancing customer satisfaction. By providing greater immediate rewards, they aim to attract tech-savvy shoppers who prefer seamless app experiences.
For now, customers still have time to fully utilize their points accrued before the Payback phase-out deadline at the end of 2024. Rewe's decision reflects not just immediate operational changes, but also their vision of fostering long-term customer relationships through more direct and rewarding engagement.
Only time will tell how successful this transition will be; one can't help but feel the impending change signifies just how quickly the retail world is altering its approach to loyalty and reward systems.