Inside Woolworths’ Strategy to Turn Data into Customer Value

Since its launch last year, Woolworths’ MyDifference loyalty programme has signalled a decisive shift in how the retailer approaches customer engagement. Moving beyond the mechanics of traditional points-based systems, the programme introduces a more personalised, transparent and insight-led model designed to deepen relationships while delivering measurable value.

MyDifference replaces the long-standing WRewards programme, which served customers for more than two decades. The evolution reflects a strategic rethink of loyalty at Woolworths, bringing together digital innovation, data-driven personalisation and purpose-led giving within a single platform. The result is a more unified ecosystem that aims to enhance customer experience while supporting sustainable business growth.

Central to the programme is the creation of a consolidated and more accurate customer profile. By integrating data across WRewards, MySchool My Village My Planet, Woolworths Online and, where relevant, Woolworths Financial Services, the retailer has addressed long-standing challenges associated with fragmented legacy profiles. Customers are given greater visibility and control over their information through the Woolworths app, laying the groundwork for stronger, more trusted relationships over time.

Charlene van Zyl

“MyDifference allows us to tap into the depth of insight within our customer base and turn that understanding into real value,” says Charlene van Zyl, Customer and Loyalty Director at Woolworths. “By listening more closely to our customers, we’re able to build stronger relationships and deliver rewards and experiences that are genuinely aligned to their needs and preferences.”

One of the defining features of MyDifference is its ability to merge the strongest elements of WRewards and MySchool My Village My Planet into a single loyalty ecosystem. Customers can continue supporting schools and charitable organisations, while benefiting from enhanced rewards and greater visibility into their impact.

Through the enhanced Give Back feature, customers are able to see more clearly how their everyday shopping contributes to the causes they support. The increased transparency addresses a long-standing gap in traditional giving models, where contributions were meaningful but not always visible.

“While MySchool enables substantial annual giving, customers haven’t always been able to see the results of their support,” says van Zyl. “MyDifference addresses this by providing ongoing visibility into contributions, helping to build trust and reinforce the value created through everyday shopping.”

Designed around simplicity and relevance, the programme introduces several features aimed at increasing engagement and accessibility.

Customers have access to more games and guaranteed rewards through the enhanced Play and Win feature, available via the Woolworths app. Cashback rewards earned through these games are loaded directly onto the app for use in-store or online. The programme also includes personalised goals and rewards tailored to individual shopping behaviours, alongside exclusive vouchers that can be applied at checkout.

A simplified loyalty dashboard provides instant visibility of rewards, benefits and spend, while monthly donation tracking highlights the collective impact generated through customer swipes or scans.

Together, these features create a loyalty experience that is structured to be more engaging, measurable and distinctly personal.

Digital engagement underpins the MyDifference model, with the Woolworths app serving as the primary channel for customer interaction. The digital-first approach allows for easier access to rewards, clearer benefit tracking and greater convenience across shopping journeys.

The move towards a predominantly app-based system also supports Woolworths’ sustainability objectives. While customers without smartphones may request a physical card, digital participation is positioned as the most efficient and environmentally responsible option.

Beyond customer-facing benefits, MyDifference plays a central role in Woolworths’ broader growth strategy. The programme enables more agile, data-led decision-making, powered by a personalisation engine introduced over the past year.

“MyDifference allows us to understand our customers at a much deeper level and respond faster to their needs,” says van Zyl. “Over the past year, we’ve implemented a personalisation engine that has already significantly increased engagement by making offers more relevant and better timed.”

With a loyalty base of more than 3.4 million active members, Woolworths has established a substantial foundation from which to scale the programme further. The retailer’s focus now is on accelerating the delivery of increasingly relevant, individualised customer experiences.

“MyDifference has been built around our customers and how they want to engage with us. By combining scale, insight and purpose, the programme allows us to create more relevant value today while creating a more resilient business for the long term,” van Zyl concludes.