How Do You Make Debit Reward Programs Better?

by: Luke Kreitner December 6, 2016

Why Branded Debit and Prepaid Card Rewards Work Better

  • The Color, Value & Evolution of Logos

    • 3-5 is the age when we start to recognize a logo stands for a product
    • 7-8 is the age when we can consistently recall the logo
    • 100% of 8-year-olds can already match logos and products correctly
  • Logo Can Make You 'Think Different'

    • In work to be published in the April issue of the Journal of Consumer Research, Professors Gavan Fitzsimons and Tanya Chartrand of Duke, and Gráinne Fitzsimons of Waterloo, found that even the briefest exposure to well-known brands can cause people to behave in ways that mirror those brands’ traits.
    • “We assume that incidental brand exposures do not affect us, but our work demonstrates that even fleeting glimpses of logos can affect us quite dramatically.”
    • “These experiments demonstrate that most any brand that has strong associations with particular traits could have the capacity to influence how we act,” Chartrand said.

Debit-Card-Rewards---Worth-Your-Time(v2)

Why Debit Rewards Are Best Used in Short-Term Promos

  • Prepaid Debit Cards vs Merchandise Rewards

    • The fundamental advantage of debit cards is for short-term promotions.
    • If your reward program is a SPIF or rebate, debit cards work better.
    • With debit rewards, people easily understand and achieve instead of bankrolling points.

Why Debit Reward Program Goals Should Be Specific

  • Goal-Setting Theory of Motivation

    • Research indicates that specific goals help bring about other desirable organizational goals, such as reducing absenteeism, tardiness, and turnover (Locke & Latham, 2002).
    • A goal that is too easily attained will not bring about the desired increments in performance. The key point is that a goal must be difficult as well as specific for it to raise performance. However, there is a limit to this effect. Although organization members will work hard to reach challenging goals, they will only do so when the goals are within their capability.
    • For most employees, goals are more effective when they include a deadline for completion. Deadlines serve as a time-control mechanism and increase the motivational impact of goals.