Retail shoppers who download a Shopkick Inc. mobile application on their smartphones to earn rewards points, or “kicks,” by walking into a store now may earn extra points by paying for purchases with a Visa-branded credit or debit card, Visa announced Nov. 21.
Visa Inc. becomes the first major card brand to link rewards points through Shopkick’s Buy & Collect program, which allows Shopkick application users to link their Visa cards to the program to qualify for additional rewards when making purchases, Leigh Amaro, Visa senior business leader, information products, tells PaymentsSource.
In August last year, Palo Alto, Calif.-based Shopkick introduced its free application for Apple Inc. iPhones and Google Inc. Android mobile phones to provide rewards to shoppers when walking into participating stores (
Registered shoppers now qualify for Buy & Collect offers, such as “spend $40 and receive 250 kicks,” through Visa text messaging while they are in a store, according to a Visa press release.
Shopkick merchants offering the Buy & Collect program include American Eagle Outfitters Inc., Old Navy (owned by Gap Inc.), Toys ‘R Us Inc. and Arden B., a subsidiary of Wet Seal Inc., the release stated.
Shoppers entering a Shopkick merchant location must have the Shopkick application open on their phone so it can pick up the audible signal from a device the merchant places in the store doorway, a Shopkick spokesperson tells PaymentsSource.
When the doorway device detects a Shopkick-registered shopper, Shopkick automatically adds the “kicks” to the shopper’s Shopkick account for use at any of the participating merchants. Generally, a shopper earns 60 to 100 kicks for walking into a store, depending on how many kicks the merchant has agreed with Shopkick to offer. During the holidays, merchants may upgrade the kicks to 300 for walking into a store, the spokesperson says.
Depending on the merchant, a shopper would require about 1,250 kicks to redeem a $5 gift card, which makes the extra kicks offered for Visa card purchases beneficial to Shopkick accountholders, the spokesperson adds.
About 4,000 U.S. stores offer the Shopkick rewards and support the Buy & Collect program, the spokesperson notes.
Shopkick will alert existing application users about the optional Buy & Collect program through a text message and direct them to join the program by linking their Visa account to Shopkick on an enrollment page hosted by Visa. By enrolling, the shopper agrees to allow Visa to provide Shopkick with details regarding their transactions so Shopkick can provide the rewards to their account, the press release explains.
After swiping their Visa card, Shopkick application users will receive an immediate notification that Shopkick added their kicks rewards to their account.
Shopkick application users who link to Buy & Collect may tap on a green payment card icon on the telephone message display to learn about additional offers at participating merchants, the release states.
The alliance with Shopkick helps Visa card issuers by adding value to card programs, Visa’s Amaro says.
“When you think about it, our program with Shopkick also allows consumers to do some double-dipping because they may get travel rewards or other points from issuers in addition to the kicks from Shopkick,” Amaro adds.
Richard Oglesby, a senior analyst with Boston-based Aite Group, says the Buy & Collect program goes beyond regular card-loyalty programs because “it drives consumer behavior” by giving rewards for visiting a store, scanning product bar codes for information or purchasing an item.
“A lot of digital marketing providers are going this route with a consumer behavior- or performance-based program,” Oglesby adds. “The next level would be to tie it all in with a mobile payment so that the program and the payment method are all linked together.”
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