Poundland has become the latest retailer to knock loyalty schemes and ‘fake discounts’, in a new ad campaign on social media.
The variety discounter has dubbed itself “the home of anti-silly prices” in ads featuring a wrestler – the Poundland Pounder – tearing downs signs that say ‘fake discount’.
“At Poundland, we’re firmly anti-silly pricing,” says a store manager character in one ad. “And we won’t stand for these so-called loyalty cards.”
Poundland said in a post: “Anyone noticed those silly supermarket prices going up and down every week! It’s all special discount, short term offer and have you swiped your card?
“Well there’s a new body slamming bodyguard of your bank balance! And he’s Pounding prices for everyone… all the time. No club, no card, no faff, just amazing value every day.”
Poundland ran its own loyalty scheme until less than two years ago, including exclusive discounts for members.
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Loyalty scheme discounts have been thrust into the spotlight after PM Andy Burnham’s recent promise of a clampdown on “phoney bargains”.
The government has promised a consultation this autumn on “whether tactics such as fake ‘was’ prices, invented discounts and misleading recommended retail prices should be added to the list of practices banned”.
Aldi CEO Giles Hurley seized the moment to attack loyalty scheme discounts in newspapers last week. Writing for the Mail’s This is Money, Hurley said Burnham was “right to challenge fake ‘was’ prices, invented reductions and other promotions that make a deal look better than it really is”.
“Most of Britain’s major full-price supermarkets now run huge promotional schemes badged as loyalty programmes,” Hurley said
“Selected products are offered at a member price, while those without the right card or app pay more. Those shelf labels tell shoppers how much they are saving against a price set by the retailer itself. They don’t tell them whether they could buy the same shop for less elsewhere.”
Aldi, the only major supermarket without a loyalty scheme, has not clarified how it would like Burnham to address its concerns.
Read more: Poundland accounts reveal £60m in overstated sales in 2024
Poundland has also been using its new campaign to make price comparisons with loyalty discounts at Tesco and Sainsbury’s. “Supermarket loyalty prices smell off to us,” Poundland said in a post. “So The Pounder pounds ‘em! Lynx Body Wash is £1.50 at Tesco and Sainsbury’s. It’s just £1 with us.”
Poundland’s loyalty scheme, called Perks, rewarded members with exclusive discounts on a selection of up to 100 products. Users could also collect points to redeem as discounts on purchases. The scheme was rolled out UK-wide in autumn 2024 and scrapped as loss-making a year later after Poundland was sold by Pepco Group to Gordon Brothers.
A Poundland spokesman said: “We closed the Perks scheme as part of resetting the offer and returning to what Poundland has always been famous for – no gimmicks, no tricks, just everyday low prices without the need for loyalty cards, vouchers or any other kind of retail rigmarole.
“A simple low, always-available price is what Poundland is all about. As the reset of the whole store right across grocery, clothing and general merchandise completes, expect to hear us talk more about that.
“It’s what makes Poundland Poundland.”
Last week it emerged Gordon Brothers was considering selling Poundland just 14 months after buying it, having appointed Alvarez & Marsal to advise on an auction.
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