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As per bank view point, points redeemable for flights and gifts or miles is the appropriate one as there is a chances of expiry of reward point if the customer fails to redeem it.
But in the customer view point, Cash back is the best one as this helps him earn while spending.
Emirates Skyward Loyalty Program
plastic money and if we do purchase we get discount and points
You’ve no doubt come across credit card offers promising “5% cash back”, “3 points on all dining and restaurant purchases”, and so on. Points, percentages, and miles are everywhere when it comes to credit card rewards. It may be difficult sifting through various offers without a firm grasp on what these things are or how much they are ultimately worth. Here in this guide, we help you make heads and tails of the credit card points, miles, and cash back offers. You will better understand which type of credit card rewards performs best for your spending, and be able to shop for the credit card that is best for you.
it depends what are the customer requirement some people who travel most of the time will like points redeemable for flights but the people who don't travel often will like to have a facility of cashback
I feel Cash Back is the best loyalty program for Credit Card customers as it gives Instant Gratification on the amount spent by the customer. Also, cash back tempts the customer much more to go for a relatively higher valued product as the perceived value of the product is Actual price minus the cash back that he gets.
You can check all the different options on https://www.souqalmal.com/ae-en that will give you all the insights you need to know.
From the Bank perspective points redeemable for flights and gifts is best as there is a posibility of expiry of reward point if the customer is not redeeming it
From the customer perspective , Cash back is the best option but it again depends on the purpose of card usage if he is a regular traveller he would prefer air miles
Having worked with all of them, there is not just 1 answer. The important thing to evaluate is what is the CTC to the company to maintain this reward scheme. As long as the cost is less than th e revenue earned, that loyalty scheme is good. Cash back schemes although perceived as good, cost the company more and also offer lesser value to customers; for example a company can offer 5% cash back but 10% off on a purchase of the same value. Hence a customer can get double the value and also earn points. My answer would be to evaluate the company financials based on segment served, to identify the best reward scheme for the credit card.
I feel Cash Back is the best loyalty program for Credit Card customers,and because of cash back and loyalti program now customer is showing more interest,as it gives Instant Gratification on the amount spent by the customer.
All reward programs have their respective advantages. Customer while opting for a product must survery about the points earned per $ spend. Customer should also consider how many points shall be used to redeem either cashback or miles transfer.
