27 September 2005
As many as 20 per cent of credit card holders believe that loyalty schemes are the most important add-on for their card, new research says.
According to Credit Card Awards, market research company ICM, and trade journal Brand Republic, Air Miles, Nectar points and other such rewards systems came second only to insurance as the prime benefit of taking out a credit card.
However, the news comes at a time when many retailers are withdrawing their loyalty schemes, believing that uptake is too low.
Of those questioned, 16 per cent believed that insurance when using a credit card abroad was the main add-on to look out for.
For some 12 per cent, identity theft insurance was the main attraction.
Martin Fielding, chief executive officer (CEO) of Card Partnerships, said: "With the recent removal of insurance benefits by some credit card companies driven by FSA regulatory changes, the relevance of loyalty schemes can only increase."
The Credit Card Awards, backed by AXA and TSYS, will be held on February 7th in London, and aim to recognise good practice in the industry.
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