How Can Issuers & Brands Design The Ideal Card Rewards Program?
SVP, FlexPerks Rewards & Loyalty Management, U.S. Bank
Senior Vice President of Cash Management, Fidelity Investments
Well-designed rewards programs are a win/win; providing benefits for the cardholder and providing an opportunity for the issuer to increase their “share of wallet.”
Card issuers need to take three factors into consideration in order to determine the optimal rewards program: the speed at which cardholders earn rewards points, the value of rewards points and how easy rewards points can be redeemed.
- Providing an overview of popular rewards programs and their strengths vs. weaknesses
- Determining key factors on whether you should charge an annual fee
- Examining the evolution of consumer opinion about travel rewards
- Strategies related to assigning an appropriate point value to specific transactions
- Prioritizing redemption experience and reward value