Marqeta Teams With Upside to Offer Cash-Back Rewards
Card issuing platform Marqeta has launched a collaboration with retail technology firm Upside.
The partnership, announced Tuesday (March 25), lets Marqeta customers integrate Upside’s cash-back offers into their consumer debit and prepaid card programs.
“At Marqeta, we’re always looking for ways to help our customers create stronger connections with their users,” Todd Pollak, Marqeta’s chief revenue officer, said in a news release. “Integrating Upside’s personalized cash-back offers makes it easier for customers to deliver meaningful rewards and keep their cardholders engaged where they spend most — grocery stores, restaurants and fuel stations.”
The release argues that many consumers decide which card they want to use based on the rewards they’ll get back. By adding Upside’s cash-back offers, businesses can direct a shift in spending giving users more reasons to consider them first at checkout.
“This not only increases transactions and retention but also drives sustained engagement, reinforcing their top-of-wallet positioning,” the release added.
Research by PYMNTS Intelligence has found that on average, 90% of consumers are interested in earning rewards in exchange for card activity. This is particularly true for younger consumers, with 94% of millennials and Generation Z consumers saying they are especially interested in racking up reward points in exchange for card usage. Baby boomers and seniors are not far behind, with a respective 90% and 88% expressing interest in earning rewards.
But what type of rewards do consumers hope to earn? It depends on who you ask. Fifty-four percent of baby boomers and seniors said they’d prefer cash-back rewards on their purchases, while 37% would be happy with cash rebates on qualifying purchases.
“Younger consumers, particularly those in the ranks of Generation Z, think a little more out of the box when it comes to identifying their wish list of rewards,” PYMNTS wrote. “For instance, 24% of Gen Z consumers would welcome subscriptions or memberships in exchange for card purchases. Flash sales also appeal to 16% of Gen Z consumers, which is notably higher than the mere 5.4% of older generations who are interested in flash sales.”
In addition, around 12% of Gen Z consumers said they’d appreciate ticket access and referral programs, while baby boomers and seniors show little interest in those rewards.
Upside launched a similar partnership earlier this month with Chime, letting that company’s members take advantage of cash-back opportunities on spending on things like gas, groceries and dining at more than 30,000 locations around the country.
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