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One important arena for the study of the impact of larger retailers is, in the UK, the market town. This paper shows how locational policies of larger retailers – akin to WalMart openings in the US Midwest – are affecting these traditional towns in rural areas. The paper takes a case study approach by examining the pioneering fightback using the local loyalty card first adopted by Leominster in Herefordshire. Through time it emerges that the community has not been able to sustain its trading opposition to a large format intruder. However, its successes are noted – and study is made of copycat schemes in the UK. A paradox emerges: the most cohesive smaller communities with many independent retailers lack the resources to maintain the fight. Larger settlements can and do support more viable card schemes: but these towns (and cities) having greater populations are themselves already dominated by larger retailers.

Store incentivisation and reward schemes are an increasingly common aspect of UK grocery retailing with most large‐scale operators investing in such schemes. Despite their popularity many researchers have questioned whether or not store loyalty schemes do, indeed, deliver in terms of encouraging loyalty behaviour from their customers. In this paper the authors take the consumers’ perspective and investigate whether one such scheme (Safeway’s ABC card) “delivers” in terms of equitably rewarding the loyalty of those customers that participate in the scheme. From the analysis it is concluded that the scheme does not appear to be operating in a fair and equitable manner, as consumer fidelity to the scheme is not rewarded above non‐fidelity. Areas of research are identified that may help to discover whether retailers are rewarding the loyalty behaviour of their customers in a fair and ethical way.

In RDM November/December 1984 (p 15), Steve Worthington examined the use that major retailers make of concessionaires. This article reverses the process and asks — what do the concessionaires get out of it? Why do they seek to become concessionaires and what are the pros and cons of operating under the roof of a host retailer?

Concessionaires (shops within shops) have long been a feature of the department store; more recently they have emerged as having a role to play within the superstore retailing concept. In this article Steve Worthington examines the use by two major retailers, Tesco and Debenhams, of concessionaires as a strategic option, to create breathing space for themselves whilst they either restructure or reposition their retail interests.

In a recent issue Steve Worthington discussed the relationship between the use of credit cards and direct marketing. He follows up the theme in this article with a description of the Style card, operated by the Scottish retailer, Goldbergs of Glasgow. It is a “shopping” card — that is, it can be used in a variety of outlets other than Goldbergs, including the South of Scotland Electricity Board and Scottish Gas. It has 360,000 card holders and is the largest credit card operation in Scotland.

Describes the importance of plastic payment cards at the point of sale (POS) and the evolution of the credit card in general and affinity cards in particular. Suggests reasons for both the growth of plastic card payments (the cashless society) and the threats to affinity cards (the interchange fee). Places the affinity credit card within the paradigm of relationship marketing and emphasises the triadic nature of these relationships. Discusses the development of the research into affinity credit cards and the issues of branding and trust that impact upon the triadic relationships. Explores the potential for affinity marketing and reports on research into trust and ethics which is relevant to this concept. Places affinity marketing within the retail arena and finally draws conclusions on the future for payments at the POS, relationships operationalised via plastic cards and triadic affinities.

Despite some outward signs of strength, all may not be as well with Australian retailing as appears on the surface. Our contributor, Steve Worthington, has just returned from a six month stay in Australia. He suggests that the dominance of the sector by Coles Myer, an over reliance on price as a competitive weapon, and the lack of segmentation of the Australian consumer all mean that Australian retailing has somewhat atrophied.

Examines the relationship between the financial institution that issues the affinity credit card and one of the recognized affinity groups on whose behalf the card is issued, the alumni of higher education institutions. Builds on previous research and publications (Worthington and Horne, 1995, 1996) but involves taking into account a new perspective on the relationship, that of the affinity credit card issuer. Bases research on the same five‐phase model of relationship formation and development used in the previous studies. Before discussing the results of the research, considers the context of the study, followed by a section on methodology. Then presents the research results followed by a summary and conclusion.

To enable research to be conducted into the validity of the relationship marketing paradigm, a model has been developed which allows researchers to test the characteristics of the relationship at any point in time. This model is rooted in the biological sciences and is based around the concept of symbiosis. It has been adapted to offer a five part classification of relationships and used during an on‐going research programme into affinity credit card relationships. The results of the research indicate that the majority of the “relationship managers” employed by a sample of charities with affinity credit cards, perceive their relationship with their credit card issuer to be of equal benefit to both organisations, and thus fit the classification of the model. From the comments of the relationship managers in the research interviews there is, however, also evidence of some degrees of some of the other classifications in the proposed model of relationships.

Following a discussion of the total United Kingdom market for plastic cards, detailed information is given about the number and nature of retailer credit cards (store cards) currently issued in the United Kingdom. Retailers in the USA and Italy are already competing with the traditional financial institutions in the market for financial services, and comment is made on their strategies and their results so far. Retailers in the United Kingdom are also moving into the provision of financial services and they are using their well developed in‐house credit card databases to help launch these new products. They are also examining ways to enhance the attractiveness of their credit card offerings, to differentiate them further from the MasterCard/Visa credit cards and hence compete more effectively with the banks in the provision of credit.