The race to snare credit card customers is on! In a highly competitive credit card market where every bank offers a plethora of cards in a variety of categories, attracting more customers is becoming increasingly difficult. The answer: Promotions. Lets do a dive into this subject and take a look at some of the important things you need to know about promotions:
1. Types of credit card promotions – Credit card promotions are primarily of two types:
Sign-up bonuses – These apply for new credit card customers. Sign-up bonuses can come in various forms – bulk credit of rewards points or air miles, cashback rewards, gift vouchers, discounts etc.
Promotions for existing card holders – These promotions are open to all existing cardmembers. Such promotions could be seasonal or they could happen at a time when a merchant or product is going through a slack season.
2. Card-affiliate promotions – Promotional offerings are not limited to card issuing banks. Card brands like Visa and MasterCard also tie up with service providers to come up with great promotions for their cardholders.
MasterCard, for instance, has “Priceless Singapore”, a bouquet of travel, dining, entertainment, shopping and about town offers that enable both locals and visitors to make the most of what Singapore has to offer simply by using their MasterCard.
Visa, also is not behind MasterCard when it comes to matching them for offers. Visa has tied up with a number of r-etailers and e-tailers to extend an array of local, online, travel, entertainment and other offers to Visa cardmembers. This includes the Visa EZlink Promotion that runs from 30th September 2014 to 25th February 2015 and allows you to easily reload your ez-link card; whats more, if you are amongst 15 lucky winners, you also get to win a year’s worth of commute worth $1,000!
3. Getting the most out of credit card promotions
Use the card To avail of the offer or discount on offer make sure that you pay for your purchase with the credit card associated with the promotion. Usually this would be any card from a particular bank(s), or a particular card or cards from any bank(s) participating in the promotion or any card carrying the Visa or Master brand. It could also be a card used at a particular bank’s terminal.
Caps and Conditions Make sure you go through all the details of the promotions. They may be restricted by caps; offers may be conditional on a certain amount of spend happening on the card; they may be restricted to the “Early Birds”, those who first take advantage of the offer; promotional offers may also not be clubbed with other existing offers either on the card or at the merchant’s.
4. Staying updated – Many credit card issuers send regular newsletters and/or emails alerting their customers to new promotional offers and deals. The card issuer’s website is also likely to feature the latest credit card promotions. Going through these regularly. Your banking app may also keep you posted on happening deals and promotions. The card brand, Visa also has an app, Visa Explore that lets you stay up-to-date with the latest Visa offers and promotions, both overseas and nearby.