Canadian Tire Corp. Ltd. and Tim Hortons have announced a partnership to combine their loyalty programs in an effort to attract more customers. Customers who link their Triangle and Tims Rewards accounts will now earn between two and five per cent in Canadian Tire money along with Tims points on specific Tims purchases. The collaboration aims to bring Tims customers to Canadian Tire and vice versa.
Currently, 53 per cent of Triangle Rewards customers are enrolled in both loyalty programs. Canadian Tire has 12 million Triangle Rewards members and operates 1,600 locations, while Tims has eight million loyalty program users and 4,000 restaurants in Canada.
The new partnership is expected to benefit both companies, as stated by Darryl Jenkins, Canadian Tire’s executive vice-president and chief development officer. The amount of Canadian Tire money earned will vary based on the payment method and the items purchased. Canadian Tire money can be used for discounts at various retailer banners, including SportChek, Mark’s, and Party City, while Tims points can be redeemed for food and beverages at Tim Hortons.
The collaboration between Canadian Tire and Tim Hortons arose naturally, according to Jenkins and Hope Bagozzi, Tims’ chief marketing officer. Both companies have common executives sitting on boards and often network together, leading them to explore ways to enhance their loyalty programs collectively.
However, Liza Amlani, principal and co-founder of the Retail Strategy Group, views the partnership as a move by two established brands to gain more market share in a competitive loyalty market. Amlani emphasized the importance of a clear and rewarding value proposition for customers to avoid the risk of the partnership solely benefiting the companies.
After being announced a year ago, the partnership was officially launched on Wednesday, following a period of technical preparations. The timing coincided with recent trade tensions between the U.S. and Canada, although Jenkins noted that the launch was not strategically planned in response to these events.