LONDON 9 February 2006: Loyalty Management Group (LMG) the company behind Nectar, the UK's largest loyalty programme, has implemented flexible benefits for its employees in conjunction with thomsons online benefits.

The scheme entitled "Sweeter Rewards" was launched to give employees a clear understanding of their existing benefits, and the opportunity to amend their package to suit their own individual needs.

Gabrielle de Wardener, LMG's Human Resources Director (see attached), explains: "As a business we pioneer consumer loyalty and reward programmes and therefore it is important that our employees have an equally cutting-edge employee benefit package.

"Although we already provided good benefits, most employees did not know their full value. We were not offering the flexibility and tax efficiencies that would turn a good package into a great one."

LMG reviewed a number of providers in the market before selecting thomsons online benefits. Gabrielle de Wardener continues: "We wanted to find a provider who excelled in both consultancy and technology to ensure that our flex implementation was a painless process. Importantly they also needed to understand and fit with our business. For us, thomsons online benefits ticked all these boxes."

To develop the benefit brand and communication material, LMG wanted to draw on the strength of the Nectar brand. The Nectar logo was adapted to incorporate "Sweeter Rewards" and the launch communication material issued to employees was designed to replicate the Nectar point update statements sent to members.

Employees are offered the ability to spend up to 20% of their salary on flexible benefits, salary sacrifice options on their pension and childcare vouchers, along side a range of employee offers including discounted car rental, eye care, video/DVD rental and wine.

Gabrielle de Wardener comments: "Engagement with Sweeter Rewards has been high and a post-implementation survey of staff showed that more than 80% understood their benefits package better as a result of the launch. At the same time, this as an evolving project, not just a one-off or once-a-year event. We'll be adding new features, benefits and offers throughout the year, such as tax free bicycles and home computer options which come on stream in April 2006."

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