The Rewards Law of Diminishing Returns

Rules and limitations: loyalty programs are always loaded with them. Rules are fair enough — guidelines help structure how consumers earn and redeem points. But does 'structure' translate to 'restrictions' for consumers? Often yes, to the point that customer push back has led many loyalty programs to remove some unfriendly rules such as expiration dates for points and blackout dates. read more…

Unsatisfying Loyalty

The numbers are terrible: a recent industry survey* revealed that 54% of customers are not satisfied with their credit card loyalty program. It could be worse! Airline loyalty programs clock in at 58% dissatisfied, with hotels scoring even more poorly at 63%. Overall loyalty program satisfaction is 44%, down from 47%. This dissatisfaction may explain the $100 billion in unredeemed points across loyalty programs (“The Loyalty Report” Bond Loyalty, May 2017). read more…

Card Linked Offers — Past, Present and Future

For savvy consumers, this is a golden time of offers. Long gone are the days of clipping coupons (although that’s still possible). Many apps and services now allow consumers to amp up their savings without expending much effort.
Take Card Linked Offer (‘CLOs’). When CLOs first appeared is a point of debate, but they have been around for at least ten years. How do they work? Simple — a banking app shows an offer to a consumer, typically via a digital interface, and they activate it through a simple click. The Card Linked Offer requires a user to spend money with a merchant by a specific date.
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Rewards v2.0: Building on the Credit Card Legacy

It all started in 1958. The modern credit card, as we know it, emerged as a key element of post-war middle-class expansion. Forms of credit had been around for thousands of years, but American Express and BankAmericard helped fuel a dramatic surge in spending power and financial flexibility. There’s been no looking back since.
The initial value of credit cards was convenience and, well, credit. Before digital payments, you either had to have the cash on hand or have credit. Lacking both? You’d have to go to your bank in person and acquire real cash.
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