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Customer loyalty schemes appear to be more popular than ever, as a result of   the downturn.

Last week British Gas announced that it was joining J Sainsbury, BP, Homebase   and a raft of other companies on Nectar, the UK’s biggest loyalty programme.

A loyalty scheme has recently been launched for farmers’ markets across the   UK, while toiletries chain Superdrug is planning to launch one in May. An   estimated 85pc of British shoppers now hold a loyalty card, according to   market research company TNS.

The rules of loyalty schemes are simple – the more you spend in a particular   shop or on a particular service, the bigger discount you receive.

The first known loyalty scheme was launched by Curt Carlson, a Minnesota-based   businessman, in 1938. He launched his Gold Bond Stamp Company during the   Great Depression with a $55 loan, offering shoppers incentives to shop in   particular grocery stores. The movement has been growing ever since.

Jan-Pieter Lips, Nectar’s managing director, says that as household incomes   become tighter, loyalty schemes are become more attractive to shoppers and   therefore a more valuable weapon in retailers’ armouries.

Research out today from the IGD shows that more than 60pc of consumers think   that they will be worse off in the next 12 months. This is when loyalty   schemes come into their own.

Separate research carried out last year showed that 71pc of marketing   directors felt that loyalty schemes had become more important since the   credit crisis started. Those in retail, telecoms and banking were the most   supportive.

Nectar’s Mr Lips said: “We have seen an increase in engagement [during   the downturn]. It is a little like found money. Like when you go to your   sofa and find a penny or a nickel,” he says.

In 2009 in clear recognition of how stretched household budgets had become   Tesco, the UK’s biggest supermarket, offered double points to its 15m-plus   Clubcard loyalty scheme holders.

The British Gas addition is the latest stage in Nectar’s growth. The card,  which has more than 17m active members in the UK, was launched eight years   ago by Air Miles-founder Sir Keith Mills, whose Loyalty Management Group UK   was sold to current owner Groupe Aeroplan in 2007.

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