Why Discount Vouchers are the Ultimate Loyalty Play for Newsagents
For decades, I have seen first-hand how loyalty tools can transform a newsagency. While many retail trends come and go, the right loyalty strategy remains a bedrock of a healthy business. In my experience, newsagency businesses are the ideal environment for a discount voucher-style program.
Real Results Since 2013
I first started using discount vouchers in my own shops when they launched in February 2013. The impact was immediate. We saw measurable growth in revenue that was directly attributable to the vouchers. It wasn’t just a “feel-good” exercise; it was a clear win for the bottom line.
As the retail landscape shifted and magazine sales declined, these loyalty tools became even more critical. By allowing shoppers to accrue loyalty value from higher-margin card purchases and redeem them on magazines, we managed to drive sales in a low-margin category. This strategy has consistently delivered a better-than-average magazine sales result compared to the rest of the industry.
The Power of Flexibility
Flexibility is essential in my experience. You shouldn’t be locked into a “copycat” model. The Tower Systems newsagency POS software allows you to pull different levers to guide shopper behaviour:
- Discount Vouchers: Offer cash off the next purchase to encourage a return visit.
- Point Accrual: Allow customers to build value over time, which you can then convert to cash rewards.
- Frictionless Options: Reward your locals without requiring them to sign up for anything, reducing counter wait times.
- Digital Cards: Modern versions of the classic “clip-the-ticket” for high-frequency items.
Lessons from the Counter
Data show that you don’t need to give away the farm to see engagement. A 50-cent voucher can be just as effective as a $50.00 one at bringing a customer back through the door. I have seen this myself many times.
We also see clear patterns in how people shop. Men often redeem their rewards on the same day, while women are more likely to return about a week later to spend their voucher. Understanding these habits helps you make better management decisions.
My Advice: Don’t Overthink It
If you aren’t running a loyalty program yet, my best advice is to just start. The beauty of the Tower Systems toolkit is that where you begin is rarely where you end up. You can start with a simple voucher, learn from your shoppers, and adjust your strategy as you go.
Newsagencies are unique, and our loyalty should be too. Let’s use the flexibility of these tools to keep our businesses thriving.
