This Top 25 North American credit card issuer sought to reduce reward program costs while maintaining customer engagement and product usage.
The Business Challenge
Top 25 North American credit card issuer sought to reduce reward program costs while maintaining customer engagement and product usage. Initial scope was limited to Loyalty activities on one flagship product issued by the client.
How Profit Insight Helped
Profit Insight analyzed the client’s reward programs, qualifying elements for transactions, as well as marketing programs for new and existing product lines. Detailed analysis focused on constructing specific loyalty scenarios to optimize the earning and redemption of reward thresholds, qualifiers and costs across variety of products
Engagement Results
Identified $11M in expense savings which enabled client to effectively maintain competitive program offer while restructuring overall costs.
Insights
- Client requested a preliminary review of findings less than two weeks from our initial review of the data due to impending holidays.
- Client was impressed with the initial set of findings which quickly led to expansion of the engagement scope to include all loyalty portfolios. Additionally, the client further engaged Profit Insight to assist with the continued development and analysis of various initiatives already in process.
- Profit Insight provided both short and longer-term tactical recommendations and prioritized based on ease of implementation and consumer impact. Our analysts remained on point to provide additional analysis, validate results and ensure smooth strategy execution.
