Consumer Payment Card News

Loyalty Offers

Given the challenges of new credit in the current marketplace, credit card issuers are focusing more on existing customers. Direct mailings now offer all sorts of bells and whistles . . . . perks and rewards to current cardholders. A new report found that the number of credit card direct mailings sent to non-customers dropped 11% while credit card offers sent only to current customers increased 16% last year. Mintel Comperemedia says that in 2005, 56% of credit card offers sent to current cardholders advertised balance transfers or convenience checks. By 2007, however, these types of offers lost out to direct mail pieces promoting non-card products, such as bonus points or rewards. In 2007, 57% of direct mail sent to current customers advertised such non-card products..

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