TMG Releases White Paper on the Future of Card Rewards
(Des Moines, Iowa – April 12, 2011) – In a new white paper authored by TMG’s Ivy Sprague, the card rewards expert cautions community-based financial institutions against making rewards “a sacrifice to the interchange gods.” Instead, Sprague suggests in the paper, consider rewards to be among the few card program components untouched by legislation.
“The Credit CARD Act and proposed debit interchange regulations may be making the job [of card portfolio management] more difficult, but methods for program optimization still exist,” writes Sprague. “Among these methods, rewards programs can have one of the most dramatic impacts on performance.”
Sprague shares the benefits realized by TMG’s rewards-issuing clients, including the conversion of inactive cardholders into fully engaged customers. She also discusses new types of reward programs like mobile and merchant-funded rewards.
“An effective rewards program can’t be created in a vacuum,” warns Sprague, emphasizing the importance of first understanding what cardholders want from a rewards program.
The white paper, “Still in Control – Look Past Regulations to See the Optimizing Power of Rewards,” can be downloaded at themembersgroup.com/PRrewards.
For More Information:
