Canadian Tire Corp. Ltd. and Tim Hortons have joined forces to enhance their customer loyalty programs. Through a new partnership announced on Wednesday, customers who connect their Triangle and Tims Rewards accounts can now earn between two and five percent in Canadian Tire money on select Tims purchases, in addition to Tims points.
The collaboration aims to attract Tims customers to Canadian Tire and vice versa. Currently, 53 percent of Triangle Rewards customers are enrolled in both loyalty programs. Canadian Tire has approximately 12 million Triangle Rewards members and operates 1,600 locations under various banners. On the other hand, Tims boasts eight million loyalty program users and 4,000 restaurants across Canada.
Darryl Jenkins, Canadian Tire’s executive vice-president and chief development officer, mentioned that the unification of both loyalty programs will foster growth for Triangle Rewards and Tim Hortons reward members. The amount of Canadian Tire money earned by shoppers will vary based on the use of a Triangle credit card for payment and the specific items purchased.
Canadian Tire money can be redeemed for discounts on purchases at the retailer and its affiliated brands like SportChek, Mark’s, and Party City, while Tims points can be utilized for buying food and beverages at Tim Hortons outlets.
The partnership was a natural progression, as explained by Jenkins and Hope Bagozzi, Tims’ chief marketing officer. Both Canadian Tire and Tim Hortons executives share board memberships, network frequently, and sponsor similar events, prompting them to explore enhancing their loyalty programs collaboratively.
However, Liza Amlani, principal and co-founder of the Retail Strategy Group, raised concerns that this partnership might be more about gaining market share in a saturated loyalty market rather than enhancing customer satisfaction. She emphasized the need for a straightforward and rewarding value proposition to ensure that the collaboration benefits shoppers as much as the brands involved.
Canadian Tire initially announced the partnership nearly a year ago but officially launched it this Wednesday, following a year of technical preparations to ensure its smooth operation. Jenkins noted the coincidental timing of the launch amidst trade tensions, emphasizing that it was not strategically planned in response to external events.