How does the nectar card make money?

[Charlieb]

Does anyone know how the nectar card makes money? I've got an idea I posted a few days ago which could work similar to a nectar card, so I was just wondering how they make money if they are free to get and give you rewards. Or are they designed purely to increase loyalty?

 

[deniser]

As far as I know they are intended to collect data on your shopping habits which is then used to target you in marketing initiatives.

 

[vvaannmmaann]

http://en.wikipedia.org/wiki/Nectar_loyalty_card

 

[crphillips]

I never use any loyalty cards of any type. It may cost me a little more for my shopping but at least I'm the only one that knows what I'm buying!

 

[TotallySport]

I has nothing to do with loyaly, it has to do with gather data to sell to companies.

Imaging if an insurance company can find out:

If you smoke and how many
if you drink, and how much
estimate you income based on the products you buy
estiblish how much you drive based on the petrol you buy
if your a risk taker by the sports you do and sports products you buy and take part in

I agree with crphillips, I don't have any loyalty cards either

 

[countybathroom]

Nectar can be used instore at Sainsburys and other shops, and online at loads of shops via the Nectar website.

 

[Podge]

Nectar can be used instore at Sainsburys and other shops, and online at loads of shops via the Nectar website.

Nearly there

 

[JackieC]

I went into Homebase yesterday and was delighted to have £21 knocked off my bill courtesy of the accumulated amount on my Nectar Card. I was expecting it to have pennies on it, so pleasantly surprised.

Jackie