Woolworths continue to expand its Everyday Rewards program with the launch of a new subscription service, Everyday Extra.
The launch of Everyday Extra from Everyday Rewards is meant to work side-by-side with existing Everyday Rewards memberships to offer members additional savings and benefits.
Extra comes during a time where Woolworths is actively transforming their digital experience. The company launch their card-linking platform – Everyday Pay digital wallet – one month earlier.
When is Everyday Extra available?
Everyday Extra is available now.
The rollout of the new subscription program began in the last few weeks of June 2022 – and will likely be more strongly promoted above-the-line over the coming months.
Who is eligible?
An Everyday Rewards membership is required to subscribe to Everyday Extra.
Existing Everyday Rewards members can choose to sign up to the subscription service by linking their Everyday Rewards membership.
To encourage new sign ups, a 30-day free trial is available to new and existing Everyday Rewards members.
What are the benefits of Everyday Extra?
For $7 a month, or a discounted annual rate of $59, subscribers will receive extra points on every shop, extra perks and offers and a once-a-month discounted shop at Woolworths and BIG W.
The complete benefits include:
- Extra Discount: 10% off one shop per month at Woolworths and 10% off one shop per month at BIG W
- Extra Points: 3x Everyday Rewards points on every shop at Woolworths and BIG W (please note points exclusions apply on certain products)
- Extra Perks like free products, exclusive subscriber offers and extra points boosters
Is it worth it?
Australian households spend on average $153 per week on groceries, this equates to $612 a month or $7,344 a year. If a household can save 10% off one of those weekly shops each month, they could save approximately $184 in one year.
During a time where the cost of living is rising and household discretionary income is tightening, the benefits of the program are likely to appeal to members looking for ways to save money.
The rise of subscriptions in the grocery industry
Subscription services have been on the rise for several years. This includes in the loyalty space – paid-subscription loyalty programs seem to be all the rage at the moment.
Across all industries, the pandemic gave way to a boom in retailers offering shoppers a convenient way to access whatever they desired or deemed necessary.
In the grocery and supermarket industry, major chains and independents have been offering (or at least trialling) a subscription service. Tesco in the UK, a long-time first mover in loyalty, launched their own subscription service Clubcard Plus back in 2019. Similarly, Walmart launched Walmart Plus in 2020 to take on Amazon Prime in the competitive online retail space.
With that said, this subscription boom may be at breaking point. With in-person shopping on the rise and inflation kicking in, consumers will likely look to cut back on any extra expenses and refine the subscription services they have signed up to.
Beyond economic trends, subscription guilt is real. People are increasingly feeling guilty about the amount of subscriptions they have. Ongoing loyalty and loyalty program research study – For Love or Money 2022 – explored the reality of subscription guilt within loyalty programs. The study revealed 36% of members who participate in loyalty programs with a subscription, have felt guilt for not using or accessing enough benefits. The subscription guilt trend has increased by 6% since 2019.
Will a little extra stick?
Coles and Woolworths have both been experimenting with various subscription programs for some time to entrench shopper loyalty. Coles has Coles Plus which expanded on the original Delivery Plus program; it now offers benefits such as free delivery, bonus points and express delivery, among other extra benefits.
At the end of the day, the uptake of grocery and supermarket subscription programs depends on shopping habits. The growing trend of people feeling oversubscribed to programs they underutilise will magnify the importance of the subscription value proposition. While the subscription model will continue to be adopted by brands, consumers are likely to be more selective in what they keep.
Only time will tell whether the new Everyday Extra program offers that extra bit, to make subscribers stick.
Scott Harrison is a Strategy Consultant at Loyalty & Reward Co, the leading loyalty consulting firm. Loyalty & Reward Co design the world’s best loyalty programs for the world’s best brands.
Scott is a customer experience and digital marketing specialist with extensive experience in loyalty, CX, market research and member lifecycle management.
Scott co-created the book ‘Loyalty Programs: The Complete Guide’, the most comprehensive book on loyalty program theory and practice available.
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