Financial institutions play a crucial role in helping cardholders achieve their financial goals, which is one of the main reasons they choose to bank with you. They want to gain financial benefits and work toward achieving them through a variety of competitive products and services that you offer. At the same time, your organization is looking to drive revenue and overall product usage from products and services. Your loyalty program is the bridge that can create a mutually beneficial relationship to help both cardholders and your financial institution meet those ultimate cardholder goals.
As experts in loyalty, we’re sharing a few tips to help you engage with your cardholders and help them reach their financial goals, resulting in greater retention and revenue growth for your financial institution.
Educate Cardholders On Their Reward Options
Not all rewards are created equal! As a cardholder, different reward options can deliver different results, and ultimately deliver a different cost to your bottom line as a financial institution. Give your cardholders the power to understand their options and how each redemption and earning option can help them reach their financial goals. For example, encouraging cardholders to redeem points towards fuel discounts or a real-time credit to cover their purchases can help cardholders reduce their overall spending on everyday purchases. The more your cardholders know their options to earn and redeem as part of their program, the more likely they are to find value and engage in a way that helps them to achieve their goals.
Reward Them For Engaging With Your Products
From checking to savings and mortgage accounts, give back to your cardholders for their engagement with your financial institution. Reward them for the behaviors you want to see. Many cardholder financial goals are related to spending habits, savings or large life changes, such as buying a house, so help drive portfolio revenue by offering bonus points or promotions. For example, reward cardholders with 5,000 bonus points for opening a new savings account with a $5,000 starting balance, or 10,000 points for opening a new mortgage account with your financial institution. These are simple, efficient ways that add value to cardholders to help them achieve their goals, while also delivering value to your financial institution through continued engagement and retention.
Offer Promotions and Quality Earning Opportunities
Boost engagement by allowing cardholders to earn more points outside of their standard earn rate. Promotions are an easy way to engage cardholders with increased spending and transactions, while also helping them to achieve their goals. For example, when you set up a spending threshold bonus points promotion, you require cardholders to spend a certain amount on their rewards-linked card during the promotional period to earn a set amount of bonus points. They gain the benefit of bonus points and your financial institution gains the benefit of increased engagement and revenue. Additionally, ampliFI’s card-linked offers give cardholders the opportunity to earn additional bonus points at local and national merchants, helping them to reach their financial goals without impacting your financial institution’s bottom line because they are funded by the merchants who participate in the program. Educate your cardholders about these two options to earn additional points and you can see a greater lift in your program value.
Overall, don’t forget that cardholder engagement is more than just a benefit to your financial institution. You can help your cardholders achieve their financial goals through a multitude of program features, including promotional opportunities, encouraging specific products and behaviors, offering unique redemption categories, and additional products to support their needs and wants. As their financial services provider, you can support cardholders toward a brighter future of financial success.
Want to learn more about how ampliFI can help you drive loyalty success for your financial institution? Contact our experts today for a free virtual consultation or learn more about our loyalty solutions at amplifiloyalty.com.