Loblaws taps into Air Miles

Grocery chain Loblaws has begun testing the Air Miles Reward Program in London, Ont.

If the test is successful, it will roll out the program across the province.

The supermarket is offering one Air Mile for every $20 spent plus bonus miles on purchases of its President’s Choice products.

The trial is being supported by a television, outdoor and transit campaign in the London area.

The Air Miles Reward Program is operated by Toronto-based Loyalty Management Group.

Loblaws has never participated in a loyalty scheme before, although Zehrs Markets, a division of Loblaw Companies, has its own loyalty card program called Advantage Plus Card.

Air Miles has been without a supermarket sponsor in Ontario since The Oshawa Group, franchiser of iga, pulled out in 1994, after two years with the program.

Oshawa Group said the decision to leave the program was a difficult one but that it was eliminating the cost of participating in Air Miles in order to help the company deliver on price.