Rebate payments to Nisa stores climbed by 12% last year and further rebate changes are coming soon, according to a newly released annual report and messages to stores, seen by Better Retailing.
Results for the year ending 1 January 2023 show there was £42m spent on rebates to Nisa stores, compared with £37.3m the year before. Despite sales remaining flat, Nisa’s operating profit ballooned from £8.7m to £20.4m.
This was attributed to a large HMRC duty refund, a £1m settlement in a supplier dispute, and the sales mix sliding away from low-margin tobacco to grocery and Co-op own label.
Nisa ‘simplified’ its ‘Fresh Rewards’ rebate scheme in April, which offers up to 5.5% back on goods purchased. Changes were also promised to allow Nisa retailers to track their progress against rebate targets online.
Currently, updates can only be requested and provided by a Nisa account manager.
However, messages from Nisa to a partnered store, seen by Better Retailing, revealed the rollout of a Fresh Rewards tracking tool has now been delayed until at least 2024.
Nisa blamed the delay on diverting resources to “fix our pricing strategy”.
The message also revealed upcoming changes to Nisa’s rebate scheme include new rebate thresholds and the removal of the Co-op Credible range as a criteria.
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