SURVEY SAYS: Banks Need Better Rewards Programs to Attract Card Customers
What’s in your rewards program?
In a telling study from J.D. Power and Associates, 52 percent of consumers surveyed said they selected new credit cards for a better rewards program, while 24 percent did so for better benefits.*
That’s according to the J.D. Power 2015 U.S. Credit Card Satisfaction Study.
Moreover, the study found “When considering the attractiveness of rewards—the desirability of the reward type (i.e., cash, miles and points) and the value received when redeeming rewards—54 percent of customers perceive their rewards as attractive (ratings of 9 or 10 on a 10-point scale), up from 46 percent in 2014.”
And, customers who rated their rewards as attractive spent more per month—$1,132, on average—than those who consider their rewards unattractive (ratings of 1-5) who spend an average of $744.
What types of Loyalty and Rewards Solutions are you offering to your card customers to not only keep them coming back, but acquire new accounts?
Not One Size Fits All
When it comes the Loyalty & Rewards programs you offer, if you set-it-and-forget-it, your customers may forget you.
Leveraging analytics tools can help you customize end-to-end customer loyalty programs that truly delight and retain.
Find what works for your customer base, one that reflects your brand strategy. Engage your best customers, and look for flexible options that help keep down overall program costs.
Personalized offers based on customer behavior will help enhance your brand and attract new customers. Build stronger customer relationships and retention by providing them the option to combine reward accounts or gift points.
Highlight the value of your program to your cardholders with a robust suite of redemption options.
No one knows your market better than you, so you’ll know what will work and what won’t.
Just make sure you have the right focus on your Loyalty and Rewards program, or you may lose business to competitors.
Want to learn how you can add loyalty and rewards solutions to drive customer satisfaction and generate revenue? Request a free briefing with one of our Loyalty & Rewards Specialists.
* Source: 2015 U.S. Credit Card Satisfaction Study,” J.D. Power and Associates, 2015