A cash discount scheme to boost the popularity of Tauranga's downtown as a shopping destination was launched by the city's Mayor Stuart Crosby on Saturday at The Hub cafe in Devonport Rd.
The Hub was the first business to come on board the loyalty card scheme and so it was chosen
by Steve Rayne, the director of Swipecard BOP, for Saturday's inaugural swipe - a $4 cup of coffee which gave Mr Crosby a cash reward of $1 on his new card.
The cafe is running a special promotion for the first week of the loyalty cards by offering a $1 reward for the first cup of coffee. Most cafes that have come on board so far are offering a $1 reward for every $10 spent.
Mr Rayne said 25 per cent of the city centre's 200 or so shops, hairdressing and beauty salons, health clubs, and cafes and restaurants had agreed to accept the cards, called Ultimate Support.
He expects more will join as the scheme reaches a critical mass and retailers notice a busier CBD as people take advantage of the card which offers cash rather than points.
Participating retailers can choose the deals on different items and cashback rewards or discounts vary between 10 per cent and 50 per cent - the cash reward can never been less than $1.
"As a consumer, you can receive income on the card and that money can be used anywhere within the supporter network."
The scheme works after the customer has paid for an item in the normal way. If the item was worth $80 and the retailer was offering a 10 per cent discount, $8 would be credited on to the card. A transaction fee of 50c was deducted out of the $8, some of which goes to Swipecard, leaving the customer with a bonus $7.50 to spend.
"The card will build loyalty within the city centre," Mr Rayne said.
Confidence was still building among retailers for the scheme, with the downtown the first shopping centre in the North Island to unroll the loyalty card. Some bars and restaurants on The Strand were offering up to a 20 per cent reward on food and meals.
Mr Crosby said the scheme went hand in hand with the introduction of free Saturday parking in the city centre starting next Saturday, and other promotions.
He said it offered the advantage of cash rather than points where people had to spend thousands to earn enough to buy a toaster.
Although the swipe cards could normally only be used for purchases of $10 or more, they were being set up for smaller amounts by people using the council's two carparking buildings.
The initial target was to distribute 40,000 cards to city centre customers. "This is about getting the city centre vibrant again," Mr Rayne said.
Participating stores
- Advantage Tyres
- Amphora
- Bodyzone
- Bombay Brasserie
- Bouquet Flowers
- Bravo
- Bronco's Sports
- Café 100
- Café Versailles
- Café Vesta
- Cartridge World
- Childsplay
- Cobb & Co
- Collar & Thai Restaurant
- Cornerstone
- Curiosity
- David Peet Jewellers
- De Bier Haus
- Designer Direct
- Dymocks
- Geon
- Hot on the Rocks
- Lisa Z
- Miranda Mayson
- Nautilus
- Pacific Toyota
- Pack & Send
- Piccadilly Greeting Cards
- Robert Harris
- Rossco's Café & Bar
- Sabotage
- Smith Sports Shoes
- Spuntino
- Stirling Sports
- Sunrise Café
- The Hub
- Ultimate Indulgence
- U Name It
- Unique Leather & Luggage
- Update
- Vagabond
- Volare
- Wilson Carparks
- Za Bar
- Zeytin
