Poundland has scrapped excusive discounts for loyalty members, reducing the programme to a points scheme.
The Poundland Perks app previously rewarded users with discounts on a selection of up to 100 products.
The rewards are now reduced to points, which can be redeemed against later purchases. Members presenting the app at checkout earn 100 points for every £1 spent. Once they accumulate 5,000 points, they can redeem a £1 voucher. It means they must spend £50 to get a £1 discount on their next shop.
Notifying members of the change today, Poundland said: “We’ve listened to your feedback and from 21 May 2025, the app will now be changing to points and prizes.
“That means we’ll be offering all customers our very best pricing on the shelf and online – without having to add Poundland Perks prices found in the app.
“Of course, you can continue to earn points as you shop at Poundland in store and online when you scan your Poundland Perks app at checkout – and you’ll still be able to play our weekly Win it Wednesday competition to win points and prizes.
“Once you’ve accumulated 5,000 points you’ll be able to convert those points to a £1 voucher to redeem in-store and online, by turning the toggle on before the 15th of every month.”
Poundland Perks was rolled out UK-wide for the first time in October last year, having been trialled in Scotland, Northern Ireland and the Isle of Wight.
Poundland was put up for sale by owner Pepco Group in March, after weak performance at the UK discount chain led to a £650m writedown on the group’s balance sheet for the year to 30 September 2024.
Read more: Who are the private equity firms in the race to snap up Poundland?
A clutch of private equity firms including Hilco, Endless, Modella Capital and Gordon Brothers have been vying to be the new owner, with bids expected to have been made by earlier this week.
Pepco Group’s first-half results yesterday revealed Poundland revenue fell 6.5% to £985m in the six months to 31 March, while EBITDA dropped to €22m from €87m the year before. The poor performance led to a further €234m writedown for the group.
The writedowns reflect a hit to the value of the group’s investment when it acquired Poundland in 2016.
Poundland profit guidance for the full current financial year was cut to between €0m and €20m, down from €50m to €70m.
The trading update said a turnaround plan was underway to rebuild Poundland’s “core heritage category strengths, particularly in GM, while focusing on a simpler in-store offer and price points”.
Pepco Group CEO Stephan Borchert said: “At Poundland, trading remains challenging, which is reflected in a profit outturn below expectations for half one and a weaker outlook for the full year.
“Barry Williams, who was reappointed as Poundland MD in March 2025, and his team are actively driving a recovery plan to help turn around the business by refocusing on its traditional core strengths.
“We continue to undertake a process to separate Poundland from the group, as part of a wider strategy shift away from fmcg, with a divesture expected before the end of full year 2025.”
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