H&M increases the minimum purchase amount for receiving vouchers: what will change.

According to The Sun: The fashion brand H&M is making significant changes to its free coupon program, complicating life for customers. Now, to receive the desired £3 coupon, loyalty program members must spend more, The Sun reports.

In March, the retailer canceled the popular holiday offer for loyalty program members

New terms of the loyalty program

Starting October 1, customers will need to accumulate 150 points to receive a £3 coupon that can be used in stores or online. Points are awarded at the rate of one point for every £1 spent. Therefore, you need to spend £150 to receive this reward.

This change significantly strengthens the terms compared to the previous ones, when only 100 points, equivalent to £100, were sufficient to obtain a similar coupon, complicating the accumulation of rewards.

“We are constantly improving our membership program to better match how our customers interact with us today, and to make it even more rewarding and relevant to our community,”

– said an H&M representative.

“The latest update to the bonus reward calculation formula is part of this improvement process.”

Members will still be able to take advantage of certain benefits, such as earning points for every pound spent, additional rewards for completing their profiles, recycling unwanted clothing through the collection program, and using their own bags during shopping.

All previously accumulated points remain valid, and members can continue to receive attractive offers both in stores and online.

Changes to the loyalty program

These are not the first changes to H&M's loyalty program in 2023. In March, the retailer canceled the popular holiday offer, as well as a 10% discount for new program members upon registration. These benefits were replaced with 'exclusive' prices and event invitations.

However, program members still receive early access to sales, free shipping on orders over £40, and the ability to earn 1 point for every £1 spent.

In February, H&M also raised the return fee for online orders from £1.99 to £2.95 per package. Members who previously had free returns are now also required to pay this fee. The introduction of the return fee was implemented in September 2023 as a response to similar actions by other brands such as Zara, Boohoo, and Next.

How does the H&M program work?

The H&M membership program rewards loyal shoppers with exclusive benefits.

The program is divided into two tiers: Core and Plus. Members receive benefits based on points earned during purchases.

Core membership is the starting level that offers a range of rewards to begin with. When you earn 300 points within the qualification period, you elevate to Plus level, unlocking even more advantages.

Benefits for Core members:

• Free shipping on orders over £40
• Exclusive offers for members
• £3 coupon for every 100 points earned
• Digital receipts
• Promotions from partners
• Invitations to exclusive events
• Early access to special collections
• Klarna options for paying now or later

Benefits for Plus members:

• All Core benefits
• Early access to selected offers
• Exclusive experiences

All H&M members also earn points and can redeem them for rewards.

For every 100 points earned, members receive a £3 coupon for spending in stores or online.

Points are awarded in several ways:

• Members earn 1 point for every £1 spent on purchases.
• Completing a profile earns an additional 20 points.
• Recycling clothing in-store also earns 20 points.
• Bringing a bag during purchases earns 3 points.

Changes to H&M's loyalty program indicate a shift towards stricter terms for customers. On the one hand, improving the program may reflect the company's desire to adapt to modern consumer needs, but on the other hand, restrictions on obtaining rewards may affect customer loyalty. The implemented innovations, along with the trends of increasing return costs, pose new challenges for consumers compared to previous conditions.