Albertsons links grocery discounts to healthy habits
Source: Albertsons

Albertsons links grocery discounts to healthy habits

Albertsons has introduced a digital health and wellness platform that enables customers to track their health and wellness goals and receive rewards, including grocery discounts, for surpassing them.

Albertsons says the platform, called Sincerely Health, was informed by insights from over 10,000 customers and associates and collaborations with healthcare providers, insurance firms and technology organizations.

Customers join the platform online by taking a brief questionnaire to determine their Health Score based on seven dimensions of well-being: Activity, Mindfulness, Sleep, Mental Wellbeing, Physical Health, Nutrition and Self Control.

The scores are calculated using actuarial science, considering lifestyle factors such as age, gender, nutrition, lifestyle choices and mental health. Users can link activity trackers such as Apple Health and Fitbit to the platform to monitor their progress in real-time and can also log their vitals and medication regimen.

The grocer said it only collects “the data that you choose to share with us, including active energy, exercise minutes, steps, walking + running distance, and workouts.”

Albertsons Health app

Customers can then set goals to improve their Health Score and receive actionable insights and rewards, including grocery discounts, for achieving those goals. The goals are tied to activity, nutrition, lifestyle and sleep.

Joining the platform also earns up to $25 off upcoming grocery purchases.

The platform also offers online pharmacy tools for managing prescriptions, scheduling vaccine appointments and connecting with general practitioners via convenient telehealth services.

“We are empowering customers to have a connected and personalized view of their health across food, nutrition, activity, mental well-being and pharmacy services, enabling them to make more informed choices,” said Omer Gajial, chief digital officer and EVP health at Albertsons.

Sincerely Health’s arrival comes as retailers are increasingly offering in-person and virtual healthcare services. CVS, Walgreens, Walmart and Amazon.com all offer primary healthcare services.

Several apps reward consumers for being active or eating healthy, but Nike is among the few rewarding loyalty members for being physically active. Walgreens’ Balance Rewards program, which rewarded points for metrics such as miles logged, pounds lost and monthly active rate, was discontinued in 2020.

Discussion Questions

DISCUSSION QUESTIONS: How much consumer appeal do you see in Albertsons’ Sincerely Health platform linking loyalty rewards to fitness, nutrition and mental health goals? Are rewards a good way to connect retailers’ healthcare ambitions with their traditional business?

Poll

11 Comments
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Cathy Hotka
Trusted Member
1 year ago

Sounds like a data breach waiting to happen. What a terrible idea.

Dr. Stephen Needel
Active Member
1 year ago

Rewards for shoppers are always good for the shoppers. I wonder if Albertsons tested this to see if app users increase their Albertsons spending by more than the reward they get.

Is it a good business decision for Albertsons? That is really the question.

Dave Bruno
Active Member
1 year ago

In theory, it seems like a good idea to reward shoppers for healthy behaviors, but the concept also seems fraught with risks to data privacy. I am not sure how many people will feel all that very personal data is secure enough to trade it for a few promos.

John Lietsch
Active Member
1 year ago

Risk of diabetes, heart attacks and strokes — nope, that didn’t get anyone to live healthier but $25 discounts and sharing private data with grocers will do the trick. I understand the motivation to latch on to trends and applaud the creativity and courage to try new initiatives. However I don’t think this will achieve its intended consequence. I stand (and run and bike and hike) to be corrected.

Brandon Rael
Active Member
1 year ago

Consumers are willing to share their private data with retailers, grocers, and brands. In exchange, they receive personalized offers, experiences, and value-added services. Data breach potential aside, as long as there are secure ways to share our personal data, Albertsons may be onto something here with their health and wellness platform. A significant portion of our society is freely sharing their fitness data with Apple, Fitbit, Peloton, and other platforms.

With the emergence of health and wellness trends, people are increasingly aware that their fitness goals are closely interconnected with their food choices. Gut health is a significant part of the wellness journey. By offering personalized offers, rewards, and recommended nutritional products, Albertsons is well-positioned to capitalize on this emerging trend. It will be exciting to see how this plays out.

Brandon Rael
Active Member
Reply to  Brandon Rael
1 year ago

This sounds like an interesting value proposition, and I wish there were an Albertsons in my area where I could try this platform out.

Ricardo Belmar
Active Member
Reply to  Brandon Rael
1 year ago

I agree, Brandon! There are a significant number of consumers already sharing this data with the brands you listed, The real issue here is whether or not the promise being delivered by Albertsons to consumers is seen as trustworthy by consumers as those other brands. Brands like Apple have already earned that consumer trust when it comes to privacy so consumers have no issue sharing their data with them. Do consumers feel the same about Albertsons? That is the question!

Mohamed Amer, PhD
Mohamed Amer, PhD
Active Member
1 year ago

Albertsons’ Sincerely Health platform is a strategic trojan horse to create stronger loyalty bonds between the company and its customers. A desire for better health and wellness is the key to gaining a treasure chest of data allowing refined personalized ad targeting while creating outcome dependencies that are more difficult to break. Grocers know that their customers love to get deals and understand discounts. What better way to collect personal data in exchange for discounts? That’s the nature of loyalty programs in the 2020s and the inherent dilemma of protecting that data.

David Spear
Active Member
1 year ago

I really like the goals of the program. I can see true benefits with consumers who opt in, but even with this there are data protection issues that can crater a program. In just the last few years thousands of data breaches have occurred around the world, which is why Albertsons must have strong security protocols embedded in the program or it will find itself on the front page of the news and face stiff fines.

Dave Wendland
Active Member
1 year ago

On the surface, nobody should argue that encouraging healthier lifestyles and eating habits is not a good thing. That said, I’m a bit nervous about the data aspect and a statement I expect consumers to eventually shout from mountaintops, “I’m not for sale!”

storewanderer
storewanderer
Member
1 year ago

Walgreens came out with a program like this 10 years ago. It was called Balanced Rewards. Nothing new here.

BrainTrust

"Data breach potential aside, as long as there are secure ways to share our personal data, Albertsons may be onto something here with their health and wellness platform."

Brandon Rael

Strategy & Operations Transformation Leader