Sainsbury to HALVE the Nectar earning rate from next year!

Sainsbury’s surprised me, to put it midly, when it announced yesterday that it is halving the Nectar earning rate from next Spring.

As of April 2015, you will earn only 1 point per £1 spent rather than 2 points.  You can learn more on the Sainsbury website here.

The net result is that your cashback will be cut in half, from 1% to 0.5%.

Sainsbury's Nectar card and vouchers

The supermarket chain has clearly been doing the maths and has decided that Nectar does not drink in enough extra custom to justify the cost.  If other stores follow suit then the scheme will be in serious trouble.

The announcement also said that “Nectar is changing for all Sainsbury’s customers, which means that the way our Bank customers collect points when they use their Nectar card in store will change in the future too.”  This makes me think that the Sainsbury credit card will also change.

If Nectar is to remain relevant in the UK – and that is an odd thing to say about a scheme with 19 million members – then they will need to work harder on the redemption side.  At the moment, with 90% of redemptions getting you exactly 0.5p per point, it isn’t exciting.

If I was heading to Sainsburys and realised I had left my Nectar card upstairs, would I bother to run up and get it?  Probably not at just 1 point per £1.

Tesco Clubcard is fun and engaging as Shopper Points shows every day.  I would love to be able to say the same about Nectar, but I can’t.

Want to earn more Clubcard or Nectar points? Click here to visit the Shopper Points home page for the latest news and offers. Come back every day for new deals or join our email list.

Do you have a Clubcard or Nectar credit card?  If not, you can receive up to 20,000 FREE points for signing up!  Full details are in this article.

Do you convert Clubcard points into Avios or Virgin Flying Club? If you do, visit our sister site, Head for Points, which is full of tips for maximising your frequent flyer miles.

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Want to earn more Clubcard or Nectar points? Click here to visit the Shopper Points home page for the latest news and offers. Come back every day for new deals or join our email list.

Do you earn Clubcard or Nectar points from your credit card?.  If not, you're missing out. We review the best options in this article.

Do you convert Clubcard points into Avios or Virgin Flying Club? If you do, visit our sister site, Head for Points, which is full of tips for maximising your frequent flyer miles.



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