MasterCard Worldwide and Barclaycard US on April 27 announced a retooling of their Best Western International cobranded rewards card. The companies originally launched the product in 2002.
“We worked with Best Western and MasterCard to understand what the new, value-conscious consumer seeks,” Scott Young, Barclaycard US general manager of partnerships, tells PaymentsSource. “Best Western customers told us they want more value as a reward for usage. We think this really addresses the need of the target consumer in this economic climate.”
Cardholders earn five rewards points, up from 3.3 points previously, per dollar they spend at Best Western hotels, and they earn one point for every dollar they spend on other purchases. Other terms include receiving up to 5,000 bonus points for balance transfers for new cardholders, 0% interest on balance transfers for the first six months for new cardholders, and point-redemption discounts and offers tied to purchases of gasoline, car rentals, dining and gift cards.
Travel rewards are still popular even though the economy has muted consumer spending, one analyst says.
“People are still spending money on travel, and the general trend is that they’re looking for deals,” says Megan Bramlette, managing associate at Auriemma Consulting Group of Westbury, N.Y. Best Western, one of the largest hotel chains with 4,000 locations, offers broad appeal to many consumers, she says.
It also is an appropriate time to retool card initiatives to reinforce the value proposition they offer consumers, Bramlette says. “It’s a good time in general for refreshing loyalty schemes and brand messages because issuers can reconvey the value of the product to customers,” she says. “It’s not been the best year for the card industry from a public-relations perspective. So giving consumers more is a good message.”
Barclaycard says it is supporting the retooled Best Western card with direct-mail marketing and advertising on the Best Western website.
