Bank of America is offering its customers discount deals on a trial basis. This program is basically designed on the consumer’s spending habits. The ‘BankAmeriDeals’ will be offered to its employees in North and South Carolina, and Nevada. All of the employees based in the US banks will have access to these deals by mid-February.
Bank of America is based in Charlotte, N.C., and has approximately around 275,000 employees. This program is based on a customer’s spending habits. For instance, in case the Bank of America customer makes use of their debit card or credit card at a store that sells sports goods - he/she will receive a discount deal at a store which is in the same niche, which could also be a rival or a competitor – the next time the person logs into the online banking system.
If the customer has to activate the deal, all that they need to do is to simply click on the ‘accept’ button. There is no requirement for coupon printing or up-front payments. The value of the discounts get recorded the next time the person uses the debit or credit card (it may be $30 in case the deal was for 15% off on the purchase price, where the consumer spent $200).
The consumer will also get a cashback reward every month. This would be equivalent to a lump-sum amount of all the discounts put together. There are no limits on the amount of cashback that a customer can receive.
David Godsman, Executive at the online & mobile banking division, Bank of America, states that there are ways to opt out of these offers. However, the program has been designed to make relevant offers to customers instead of daily emails or any other irrelevant offers. Customers are expected to get around 16 to 20 such offers every month, but those who use these deals on a frequent basis, may be able to see more of them.
An Atlanta-based company known as Cardlytics has provided the software for this program. The company’s website states that it handles such rewards programs for 4 of the major banks and three other prepaid card providers.
The merchants who make these discount offers, pay for the program. They are not paid for by the Bank of America. Regions Bank, Chase, and the rest are also offering such discount programs. Banks hope to build customer loyalty with the help of such programs.