With little protection from rising prices during the 2023 holiday season, U.S. consumers looked for ways to manage their spending. This has made card-linked offers particularly attractive to budget-conscious shoppers. In fact, discounts and offers were the main factors driving consumers' interest in and use of these offers.
More than half of cardholders are interested in switching to merchants that offer product-specific, card-linked offers, and merchants are looking to create customized relevance as a tool to attract today's shoppers. It suggests that you can use a higher offer.
These are important findings investigated in “.Leveraging product-level receipt data: How merchants engaged holiday shoppers with card-linked offers,” PYMNTS Intelligence and Banyan collaboration. From October 25, 2023 to October 30, 2023, we surveyed 2,031 U.S. consumers about their usage of card-linked offers, personalized offers, and more during the 2023 holiday season. preferences and interest in switching to merchants that offer them. .
Other findings from the report include:
Many consumers planning their holiday shopping were interested in offers linked to cards.
Top spenders were most interested in taking advantage of these offers, with 65% of consumers with children saying they were likely to take advantage of them at least to some extent during the holiday season. 40% said they would be more likely to take advantage of these offers for their holiday shopping.
Among Millennials, 39% said they would be more likely to take advantage of an offer linked to a card. This suggests that these consumers tend to have higher household spending and may be more budget-conscious when shopping for the holidays.
The availability of discounts and the ease of applying for benefits encouraged usage.
More than half of cardholders who have used a card-linked offer cite great cashback benefits and automatically applied discounts as a key factor in choosing a participating merchant. Among cardholders who have never taken advantage of these offers, 48% have considered taking advantage of these offers to receive cashback rewards. Additionally, 34% consider using them to take advantage of discounts. Knowing how these offers appeal to consumers can help merchants and card issuers tailor their offers to drive consumer spending.
Cardholders switch merchants to receive offers linked to specific cards for holiday shopping.
Many consumers are looking for bargains when shopping for the holidays, so merchants can attract card users with discounts and offers linked to product-specific cards. More than half of cardholders surveyed reported that they would be interested in switching to a merchant that offers such benefits. 27% said they were very or very likely to switch, and 31% said they were somewhat likely to switch. Additionally, his 41% of shoppers new to a franchisee were very interested in switching, and nearly a third were loyal to their current franchisee.
If the offers linked to your cards are attractive and relevant, you can attract existing customers, attract new ones, and even bring back former loyal customers.Download the report to see how sellers provide tailored and relevant services Card-linked benefits had a competitive advantage this holiday season.
