Store Cards are spies
Your supermarket is spying on you – and it will cost you money
So-called "loyalty cards", which many of us have in our wallets, might as well have been called "information cards".
With all the fuss about Prism, the US surveillance programme, we in Britain might be forgiven for wondering who is collecting data on us.
British supermarkets are some of the biggest culprits when it comes to holding information about their customers. You can tell a lot about a person from their shopping habits, after all, and the supermarkets have long understood that this sort of knowledge is power.
So-called “loyalty cards”, which many of us have in our wallets, might as well have been called “information cards” were it not that this would sound a bit sneaky. While you use them to collect spendable points each time you shop, supermarkets use them to build up a profile of you and ensure that they target you with the right type of offers.
But what data do the supermarkets hold on you, how do they use it, and are the loyalty discounts worth the potential invasion of privacy?
Tesco, for example, recently said it would use “nudge tactics” and its Clubcard data to help tackle the obesity crisis by finding out whether customers were buying too many doughnuts and pizzas.
In return for the information it holds, Tesco gives out Clubcard points, which accumulate at one point per pound. Each point is worth a penny if you use them to shop in store, effectively a 1pc discount. However, used wisely, they can equate to far more. For example, Tesco is currently running a summer voucher exchange, meaning that your points are worth twice as much on many non-food categories such as toys and clothing. If you use them for eating out or going on trips, they can be worth up to four times their face value.
Used in this way, however, may mean you are ineligible for other deals such as two-for-one offers. But, used judiciously, Clubcard vouchers can add up quickly. A good way of maximising them is to take out a Tesco Clubcard credit card. With this a customer earns five points for every £4 spent and one point for every £4 spent elsewhere.
Sainsbury’s runs the Nectar points scheme. It too can be beefed up by using a Nectar credit card, which enables customers to collect up to five times the number of points they would normally earn on their Sainsbury’s shopping for three months.
After that customers will get four points for each pound spent in stores (or online) – twice the rate of the store’s normal loyalty card. Each point is worth around 0.5p (500 points are worth £2.50) when spent in Sainsbury’s, although, like Clubcard points, they can be redeemed elsewhere, such as at Legoland, Merlin Entertainments, The Gourmet Society or Orient Express.
Don’t assume that a supermarket without a loyalty card is not collecting data. Asda is planning a smartphone app that could help it gather information about our shopping habits.
Ironically, if you use a loyalty card, you may find that it costs you. Supermarkets tend to target their best offers at infrequent customers, in the hope of tempting them back. For the best offers, it still pays to shop around.
Source: Daily Telegraph
Supermarket spies: How the Government plans to use loyalty card data to snoop on the eating habits of 25million shoppers
Whitehall in talks with supermarkets over sharing their data, which shows exactly what customers buy
People with poor diets would be sent tailored advice to improve their health and lifestyles
Parents could be contacted if their bills show they are not giving their offspring a balanced diet
Giants like Tesco know more about eating habits than the NHS, experts claim.
The shopping habits of Britain's 25 million supermarket loyalty card holders could be grabbed by the Government in an attempt to halt the UK's dangerous obesity crisis, it was claimed today.
People who buy too much alcohol, fatty foods or sugary drinks would be targeted with 'tailored' health advice under plans being considered by the Coalition.
With more children than ever dangerously overweight, parents could also be contacted if their bills show they are not giving their offspring a balanced diet from their weekly shop.
Cutting obesity-related illness would help the NHS save billions.
Source: Daily Mail
