Eliminating friction: 3 reasons why card-linked technology benefits customers and brands

Card-linking technology allows businesses to do more than just take payments.

The days of customers carrying a wallet full of loyalty cards are over. Now, your customer’s payment card can act as their loyalty card. Using this system, businesses can identify customers, track purchases, and deliver personalised rewards.

For businesses, it’s an easy way to track transactions and offer rewards. For customers, it creates a way to earn rewards with a great user experience

70% of consumers want brands to make their rewards programs easier - and card-linked loyalty is the solution. This article will give you the latest rundown of why brands are adopting card-linked loyalty and why we think you should, too.  

Read the basics of how card-linking technology works


Why choose card-linked technology 

Benefit 1: Insightful customer data

One of the biggest advantages of a card-linked loyalty program is that businesses get valuable data. By receiving real-time payment information, brands can quickly build a detailed view of how customers behave.

For example, a high number of transactions in a specific retail store tells you that your customer prefers in-store shopping in a specific location. This kind of information can be used to create tailored, accurate marketing campaigns. 


Benefit 2: Meet consumer needs and expectations

For customers, the benefits of card-linked technology go beyond just convenience. 


Did you know that 67% of UK customers wouldn’t return to a brand if they had a negative experience in-store or online? The problem is, many loyalty programs today still require customers to jump through hoops to redeem rewards. All it takes is one negative experience to lose a customer…

Changing customer needs: research by Adyen, 2022


One of the biggest consumer expectations in 2023 is a frictionless, digital journey.  Consumers' wallets are shrinking and the competition to get customers to spend is at high stakes. As a result, businesses must do whatever they can to remove friction from every stage of the customer journey. The payment experience can be a make-or-break in the buying journey. That’s why your customer's experience must be seamless, especially since ultramodern businesses like AmazonGo are setting the bar so high. 

Plus, with the rise of digital payments via Apple Pay and Google Pay, customers expect to be able to do everything from their phones. Customer engagement levels will remain low for businesses that expect their customers to carry physical loyalty cards.

Benefit 3: Create a more valuable customer experience

Amid a cost of living crisis, brands must consider how the experiences they offer provide real value in exchange for customers' limited cash. That’s why 1 in 3 businesses that don’t already have a loyalty program will launch one within the next 3 years. 


2022 research shows that 61% of consumers would download a retailer's app to receive loyalty rewards. Plus - 63% of customers want brands to connect their loyalty schemes to payment methods. Why? Because getting more value from your shopping right now is more important than ever - especially when you don’t have to jump through hoops.


Give your customers an easy way to redeem rewards and you’re already ahead of your competitors. If you can’t compete on price, you need to compete on experience. The brands that are offering a frictionless way to help customers get more bang for their buck are going to become the brand of choice this year.

How card-linked rewards build customer loyalty

Card-linked offers help brands create a 360 view of customer behaviour and incentivise specific transactions via rewards. When you have a clearer picture of who your customers are, what they do, and what they like, you can provide them with the services and products that will keep them your loyal customers.


Card linking technology can also help brands connect their online and in-store channels into one unified system. By creating a consistent experience both in-store and online, customers are more likely to be engaged. Businesses can also use in-store and online data to improve personalisation - giving the right people the right products and messaging at the right time. 


And whilst a card-linked loyalty program gives businesses everything they need to drive successful strategies, customers receive a host of benefits too.

When customers make purchases at participating merchants using their linked card, they earn rewards that give them more value - whether it’s money off like discounts, cash straight back into their accounts with cashback, or any other perk that a business wants to provide. 


Some businesses delight their customers by offering personalised rewards based on the user’s purchasing habits. This means that customers are more likely to receive rewards that they actually want or need, which makes the program more valuable to them. 

The best part? Customers don’t have to worry about manually tracking or collecting rewards. A card-linked loyalty program automatically applies points for transactions - so customers can redeem rewards in the easiest way.


Card-linked technology can revolutionise how businesses run loyalty programs. 

Customers get to use their payment cards as loyalty cards, allowing businesses to track behaviour and offer personalized rewards through loyalty apps. This streamlines the experience for both parties, making rewards programs easier to use. 


That’s why we say it's the future of loyalty programs, and businesses that embrace it will reap the rewards of increased customer satisfaction and loyalty. 


Join the movement, provide frictionless value and become the brand of choice.


Book a demo today.

Share this Article

Helen Walker

Helen Walker

Senior Content Marketing Executive

Helen is our Senior Content Marketing Executive. She shares valuable information about the Future of Loyalty and will keep you up to date on the latest industry insights...

Post Tags

Loyalty Programs
Digital Loyalty
Personalised Rewards
Consumer Trends
Customer Satisfaction
Data Capture