Kaufland expands loyalty programme and online delivery

Amin Alkhatib
Senior Retail Analyst
@RetailAnalysis

Date : 20 February 2020

The retailer has launched the Kaufland Card in the Czech Republic and expanded the coverage for its Glovo home delivery service in Romania. These steps illustrate the retailer’s interest in investing in several initiatives to attract shoppers by improving its value proposition or by adding convenient services and solutions.

Kaufland Card introduced to second market

The Kaufland Card was launched in the Czech Republic in February 2020, one year after its launch in Romania. Shoppers will have the option to register a plastic card or download it as a mobile app. They will earn one point for every CZK100 (US$4.30) spent in Kaufland. Every week the retailer will send discounts on selected products to registered users, who will also have access to several exclusively discounted goods on the app or in-store.

Source: Kaufland Czech Republic

Kaufland Card gets personal

Kaufland in both Romania and the Czech Republic offers shoppers weekly personalised promotions. It will tailor them to each customer, based on their past purchases and the frequency of purchase only when using the Kaufland Card. The retailer will use several promotional mechanics, which include price discounts and gifting. Once registered, shoppers will have to opt into this programme, for example, in Romania they can activate the ‘Pentru mine - Promo?ii personalizate’ (For me - Personalized promotions) option in the app.

Glovo Kaufland partnership expanding coverage

Kaufland has partnered with app-based delivery service, Glovo, in Romania to offer one-hour delivery of shopping across several cities in the country. The service was first available in Bucharest in Q3 2019 but has since been expanded to eight more of the country’s largest cities since.

Source: Kaufland Romania

How does the delivery service work?

Shoppers have a choice of between 1,300 and 1,400 products, which includes a mix of fresh, packaged, and non-food. They are picked by Kaufland staff in-store and Glovo couriers pick-up and then deliver the shopping to a home or office address. A delivery fee is included in the final price, and it varies for each order as it depends on the distance between the pick-up point and the delivery address. Kaufland plans to expand the service to more locations in the country in the medium term.

Subscribers can read more about Kaufland’s strategic priorities in our insight presentation.