Save 10% At A Local Shop
A new, community-friendly loyalty card scheme could offer you the chance to save 10% at a local shop.
I'm going to have a look at an unusual reward card, that helps you save cash and support independent retailers at the same time.
Wouldn't it be nice if we could support our local, independent shops and save the pennies? If being principled didn't mean paying higher prices, I suspect many more of us would happily shun the multinational chains and opt out from big brand domination.
The trouble is, supermarket giants can achieve enormous economies of scale - and the prices they charge for goods tend to be cheaper as a result.
This means that, although we may have the best of intentions, when cash is tight, many of us sneak guiltily off to Tesco and chums to stock up.
However, the picture isn't entirely gloomy. This month marks the first anniversary of the launch of The Wedge Card, a rather different reward card scheme which is designed to financially benefit people who shop locally at independent retailers.
It was the brainchild of Big Issue founder John Bird and his daughter, Diana, and its successful roll-out in London over the past year means plans are now underway to introduce the cards all over the UK.
This means you can now save money and support businesses in your local community. Puts new meaning in the word `rewarding', doesn't it?
How The Wedge Card Works
A Wedge Card can be bought (online or over the phone) for £10. Half of this sum goes to a local charity, while the other £5 covers administration costs. The card is valid for one year.
Cardholders are then able to take advantage of discounts, savings and special offers from over 500 independent businesses. This includes all sorts of shops and outlets, from grocers and gift shops to clothes retailers and restaurants.
On a single street in Hackney, for example, 12 shops and businesses are currently part of the Wedge scheme. And the discounts and deals you get are often quite substantial. Perusing a list of participants in East London, I found lots of businesses offering 10-20% off goods. This is around 10 times better than Nectar, which usually only offers one to two points for every pound spent. (Plus, each point is typically worth just half a penny in store).
And it's not just discounts. Some local traders are offering free gifts of food, drink, bags and jewellery to Wedge card holders.
But before you rush off to get one, bear in mind that the Wedge Card is currently focused on local traders in and around London. However, it is being piloted in Bristol and Norfolk, and if the pilot is a success, Wedge plans to expand into many other areas of the UK.
Hopefully, the scheme will benefit both the independent shopkeeper and the independently-minded shopper. Who knows? With more money being spent on the local high street and retained by local businesses, a sense of community may develop, and your neighbourhood may become a more pleasant and prosperous place to live. Fingers crossed, eh?
What's The Catch?
The trouble with the Wedge Card scheme is that, unlike a conventional reward card scheme like the Nectar card, it is very region-specific and most parts of the UK are not yet covered.
After all, if you avoid national chains, it is much harder to offer national rewards. This means that if you decide to go on holiday, work away from home or move house, your card may prove useless in your new location. So before you take one out, look up how many traders have signed up to the scheme in your postcode. If you can't find many, why not contact Wedge and let them know whereabouts you live. They promise they'll then try their best to get shops in your local area involved with the scheme.
Finally, make sure you're actually saving money. The Wedge Card costs £10, which you'll need to recoup from the discounts before you can start saving money on the scheme. And although the discounts offered may be substantially better than Nectar, for example, the reduced price could still be higher than that of an equivalent product at Sainsbury's or one of its big chain partners. But then again, if you shop there, you won't be supporting your high street...
So there you have it: a local reward card for local people. It won't appeal to everyone, and many Fools will find it isn't yet available in their area. However, it does encourage loyalty to your local community rather than a national brand - so you can spend, spend, spend without feeling guilty about adding to the coffers of all those faceless, multinational chains.
More: Money Talk Podcast: Getting The Most From Loyalty Card Schemes | How To Make The Most of Reward Points