“The Elite Rewards credit card offers a compelling mix of rewards to recognize cardholders for using their card. Our goal is to motivate cardholders to use their card for every purchase they make instead of using cash or another payment vehicle. Connexions Loyalty designed a promotional campaign to educate and motivate cardholders about the benefits of their card, along with an enticing bonus offer to generate card usage. This campaign not only paid for itself due to the results but also generated a sustainable lift in credit card usage among promotion participants.” - Andy Hodges, GVP, Elite Rewards Program Management
Elite Rewards: The Freedom of Choice. The Power of Points.
The Elite Rewards credit card rewards program enables cardholders to earn points for their everyday purchases. Elite Rewards points may be redeemed for gift cards to top merchants, merchandise such as iPods and tablets, and travel rewards including airline tickets, hotel and car rentals, cruises and activities. When cardholders use their Elite Rewards credit card for everyday purchases, both online and in-store, they accumulate more points to redeem for quality rewards.
Challenge: Make Elite Rewards card top of wallet
Motivating cardholders to make their Elite Rewards card top of wallet promotes card usage. Increased credit card usage drives profitability for the Elite Rewards program administrator.
Solution: Relevant, straight-forward promotional campaigns
Elite Rewards sent direct mail to select cardholders to encourage them to spend a certain amount using their Elite Rewards credit card during a promotional month in order to receive 1,000 bonus points or a $10 Amazon gift card. Each cardholder’s spend goal was greater than their average monthly spend in the 12 months prior to the campaign.
The direct mail communication encouraged cardholders to connect their Elite Rewards credit card as the default method of payment to their online accounts with Amazon, iTunes, eBay and more so they could increase the points they earn. The campaign targeted cardholders whose average monthly spend in the 12 months prior to the campaign was below the average active Elite Rewards member’s monthly spend.
Results: Increased program profitability
Offering bonus points or a gift card as an incentive to increase credit card usage during a promotional month is a profitable way to generate additional card spend. For all responders there was a 251 percent lift in credit card spend in the promotional month versus their average monthly spend over the past 12 months. For all responders there was a 91 percent lift in spend post-campaign versus their average monthly spend in the 12 months prior to the campaign. In the promotional month, responders spent an average of 102 percent over the amount required to earn the bonus points.