The cost of living crisis is driving a decline in customer loyalty, with more shoppers switching between supermarkets in order to manage spend, according to a new study from shopper insight platform Reward.
Reward tracked spending trends from 1.4 billion UK card transactions over the past six years up to June 2025.
It showed that consumers were switching from a “primary” grocer more often, with two in five (41%) choosing to spread their spend over the past six years – the highest since 2023. Some 80% of shoppers used two or more supermarkets in June.
Overall, the total proportion of shoppers switching had increased 6% since 2019.
The discounters have been the biggest beneficiaries of this “fluidity”, with market share growing from 15.6% to 20% since 2019.
Not only are they switching more, shoppers are also spending less when they are in stores, despite visiting more frequently. The proportion of transactions classed as top-ups grew to 67% in 2025, up from 61.5% in 2019.
It confirmed a “long-term” shift from the weekly trolley shop towards “mission-based” shopping, that reflects household needs, the report said.
The report warned supermarkets that “loyalty is no longer guaranteed”, with choice no longer based solely on supermarket location to home or previous habits. It “must be earned”, it said.
To stay competitive, grocers must offer more personalised and targeted pricing, seamless “omnichannel experiences” and ensure their rewards programmes keep customers engaged, it added.
Personalised offers are the way to win shoppers
“Our insights confirm a key trend that’s been building: loyalty isn’t dead – it’s evolving, and it must be earned,” said Paul Jones, Reward SVP for data and insights.
“Grocers can no longer depend on routine habits; today’s shoppers are selective, value-driven, and quick to switch.”
While the discounters Aldi and Lidl have been able to thrive in this new market, there remains hope for the traditional full-range supermarkets, with many shoppers “actively weighing price against quality” and convenience.
Supermarkets can still win market share by offering greater personalisation through loyalty programmes. Earlier this month, Sainsbury’s for example rolled out personalised Your Nectar Prices across its tills. The offers were previously only available online or through its Smart Shop tool.
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“In this environment, deeply understanding customer behaviour and market dynamics is more critical than ever,” Jones said.
“Retailers that harness data-driven personalisation and activate contextual spend insights through commerce media strategies will be best placed to drive meaningful engagement, long-term loyalty, and sustained growth in an increasingly complex landscape.”
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