The Defence Privilege Card is due to launch next week in time for last few weeks of Christmas shopping.
It is an extension of the Defence Discount Service launched by the MOD and Prime Minister David Cameron in October to provide discounts at online retailers.
The card costs £4.99 and is valid for five years. The first cards were handed out to army personnel by David Cameron at Downing Street earlier this week.
Among those retailers to sign up are Iceland, which will launch its own discount card for the armed forces offering 10 per cent off all purchases.
Nick Canning, Iceland director for people and customers, says: “We are delighted to increase our long-standing support for the work of our armed forces by offering service families this practical help with their weekly food shopping.”