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Tag: Loyalty Programs

  • How to find cheap flights anywhere – MoneySense

    Thankfully, I’ve picked up a few tips for hunting down cheap (or at least cheaper) flights from Toronto and beyond. Here’s how I keep my flight costs down while keeping my sense of adventure up.

    Featured travel credit cards

    featured

    Scotiabank Gold American Express Card

    Earn up to 6 Scene+ points per $1 spent and save on foreign transaction fees.

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    Interest Rates:
    20.99% purchase, 22.99% cash advance, 22.99% balance transfer


    Welcome offer:
    $500 value



    Earn up to $1,050 in welcome offers, first year rewards and savings value, including no annual fee in your first year, and up to 50,000 bonus Scene+ points.

    featured

    American Express Cobalt Card

    Earn up to 5 MR points per $1 spent and transfer them to partner loyalty programs.

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    Interest Rates:
    21.99% purchase, 21.99% cash advance, N/A balance transfer


    Welcome offer:
    $150 value



    Earn 1,250 points for each month you spend $750, up to a maximum of 15,000 points.

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    MBNA Rewards World Elite Mastercard

    Get 5 MBNA Rewards points per $1 across five categories, plus an annual bonus of 10% in points.

    GO TO SITE


    Interest Rates:
    21.99% purchase, 22.99% cash advance, 22.99% balance transfer


    Welcome offer:
    $200 value



    Earn 20,000 bonus points (approximately $165 in cash back value) after you make $2,000 or more in eligible purchases within the first 90 days.

    8 ways to save on flights 

    From travel apps to credit card rewards, here’s how Canadian frequent flyers stay on budget.

    1. Search the smart way

    The first site I always check when booking a trip is Google Flights, which has a ton of tools many people don’t know about. In addition to listing flights, it can help you find lower prices. For example, you can set alerts for price changes for your preferred dates or for any date for a given destination. It also shows you a price grid for alternative dates, and a graph that predicts when fares will peak.

    Last year, Google Flights added an AI feature that lets you describe your ideal trip—for example, “family weekend ski vacation in Canada” or “one-week trip to a city with great museums and architecture.” Google will then search for the best destinations and flights that match that query. 

    The feature is still in beta mode, so you need to be signed into your Google account to access it. There are also limits on what you can search. For example, it won’t find you multi-city trips or layover requests.

    I’m also a fan of Hopper, which is Canadian-owned. The app tells you whether now is a good time to book or you should wait. If Hopper recommends waiting, you can “watch this trip” and receive an alert when it’s a better time to buy.

    If you find a good price but need more time to decide, you can pay for Hopper’s “Price Freeze” option to hold the fare for one, three, seven, or 21 days. If the price of the flight rises, Hopper will cover the difference up to $406. If the price falls, you pay the lower price, and if the seat is sold out, you get a refund.

    The Price Freeze fee varies by the time window and ticket price. For example, for a $192 Toronto–Montreal flight in mid-June, the quoted fee was $24 for three days and $50 for 21 days. For a $1,016 Vancouver–Hanoi flight in April, the fee was $57 for three days and $122 for 21 days.

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    2. Book at the right time

    There’s a sweet spot for when to book your flight. For domestic flights, one to three months in advance tends to yield the best prices.

    For international trips, Hopper recommends you start flight shopping sooner—about three to six months before departure. You might find great deals just a month prior, but you risk not getting your preferred airline, flight route, or seat.

    The day you book can also help save money. According to Expedia’s 2025 Air Hacks Report, booking on Sunday gets you the biggest savings.

    3. Fly at the right time

    If you can, avoid flying during peak periods (March Break, Christmas, etc.), when flights can jump by hundreds of dollars.

    Of course, not everyone has the flexibility to choose when they vacation, but you could still save by changing your travel dates by a day or two. For example, flying midweek is almost always cheaper than flying on weekends and can reduce the cost by $50 to $100 or more.

    This is especially true during those peak times. As of writing, a direct Air Canada Rouge flight (Standard Economy) from Toronto to Cancún during March Break is $2,052 if you fly Sunday to Sunday. But if you’re able to do Monday to Monday, that same flight drops to $1,373. 

    When you’re searching for flights or setting alerts, tick the “flexible dates” option so you’ll be notified about cheaper fares on alternate dates.

    4. Opt for the layover

    Direct flights are typically more expensive than those with a stop along the way. While a layover can be a pain—especially if you’re on a tight schedule—spending a few extra hours in an airport may be worth it if the savings are significant.

    Tammy Burns

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  • BMO replaces Air Miles with new Blue Rewards program – MoneySense

    Air Miles program members can continue to use their collector cards, and their miles will automatically convert to “Blue Points” at an equivalent value upon this summer’s launch, with no action required. BMO Air Miles credit and debit card holders can also continue using their cards uninterrupted and will receive more program details in the coming months.

    BMO revamps Blue Rewards with simpler, personalized perks

    The bank said Blue Rewards will feature a simplified booking experience for flights, hotels, and car rentals powered by Expedia Group. It will also build on recent changes, including the ability to earn points on grocery and food deliveries when in-store receipts are scanned using the Blue Rewards app, as well as bonus points at most grocery retailers and wholesale clubs across Canada.

    “Blue Rewards completely reimagines the loyalty experience with the client at the centre,” said Mathew Mehrotra, group head of Canadian personal and business banking at BMO, in a news release. “With a digitally enabled platform, we’re making one of Canada’s most celebrated loyalty programs even better by delivering simpler, flexible, more personalized rewards for collectors and helping them make real financial progress every day.”

    Featured travel credit cards

    featured

    Scotiabank Gold American Express Card

    Earn up to 6 Scene+ points per $1 spent and save on foreign transaction fees.

    GO TO SITE


    Interest Rates:
    20.99% purchase, 22.99% cash advance, 22.99% balance transfer


    Welcome offer:
    $500 value



    Earn up to $1,050 in welcome offers, first year rewards and savings value, including no annual fee in your first year, and up to 50,000 bonus Scene+ points.

    featured

    American Express Cobalt Card

    Earn up to 5 MR points per $1 spent and transfer them to partner loyalty programs.

    GO TO SITE


    Interest Rates:
    21.99% purchase, 21.99% cash advance, N/A balance transfer


    Welcome offer:
    $150 value



    Earn 1,250 points for each month you spend $750, up to a maximum of 15,000 points.

    featured

    MBNA Rewards World Elite Mastercard

    Get 5 MBNA Rewards points per $1 across five categories, plus an annual bonus of 10% in points.

    GO TO SITE


    Interest Rates:
    21.99% purchase, 22.99% cash advance, 22.99% balance transfer


    Welcome offer:
    $200 value



    Earn 20,000 bonus points (approximately $165 in cash back value) after you make $2,000 or more in eligible purchases within the first 90 days.

    Shell leaves Air Miles for Scene+ loyalty program

    BMO acquired the Air Miles program in 2023 for US$160 million after its U.S. parent company LoyaltyOne Co. filed for bankruptcy. It is one of the oldest and largest loyalty programs in Canada, with around 10 million active users at the time of the acquisition. Collectors earn Air Miles through participating stores, services, and payment cards, which can be redeemed for “aspirational rewards” like merchandise, travel, events, and attractions.

    Meanwhile, Shell Canada announced Monday its long-standing partnership with Air Miles is set to conclude, as the fuel company is instead joining up with the Scene+ loyalty program. Scene+ has more than 15 million members and is owned by Scotiabank, Empire Co. Ltd., and Cineplex Inc.

    By bringing Shell on board, members will be able to earn points when they visit one of the fuel company’s 1,400 gas station and convenience store locations across Canada. The new offering is set to roll out in Alberta on March 3 and expand across Canada on May 26. That partnership will also see Scotiabank and Tangerine clients with eligible payment cards save at participating Shell locations. Shell customers can continue to earn and redeem Air Miles through March 2 in Alberta and May 25 in the rest of Canada. 

    “We listened to our members when they told us they wanted a fuel loyalty partner,” said Tracey Pearce, president of Scene+. “As a leader in the fuel industry, Shell is an ideal partner for our ecosystem.”

    Blue Rewards adds new partners, keeps 400+ brands

    Air Miles had lost a string of other big retailers in Canada during the years leading up to its sale to BMO.

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    BMO said Blue Rewards collectors will continue to earn points at more than 400 brands. It said new Blue Rewards program partners include Porter Airlines and Accor Group hotel brands such as Fairmont Hotels and Resorts. Other new partners include Instacart and MTY Group restaurants, such as Thai Express, Baton Rouge, Pizza Delight, Allo Mon Coco, Sushi Shop, Mr. Sub, Manchu Wok, Mucho Burrito, and Jugo Juice.

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    About The Canadian Press


    About The Canadian Press

    The Canadian Press is Canada’s trusted news source and leader in providing real-time stories. We give Canadians an authentic, unbiased source, driven by truth, accuracy and timeliness.

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  • Real money hacks to use when prices feel out of control – MoneySense

    In November 2025, Statistics Canada reported that the Consumer Price Index (CPI) was up about 2.2% year‑over‑year, driven by higher grocery and other household prices. Grocery prices alone rose almost 4.7% over the same period—one of the highest increases since late 2023. 

    Meanwhile, surveys show that Canadians are still feeling the squeeze. In late 2025, more than four in five Canadians cited inflation as a top concern, and more than half said their income is not keeping up with rising prices. 

    All of this makes saving money and finding creative ways to stretch the dollar not just desirable, but necessary. Personal finance gurus often offer the same basic advice—drop your daily coffee order, pack your lunch, cancel that subscription—and, yes, those things help. But there are other, more practical ways to put money back in your pocket that you might not be doing yet.

    Below are some everyday hacks based on real tools and experiences Canadians have shared with me—and none of these is sponsored.

    1. Get compensated for flight delays with Airfairness

    Whether you’re heading home for the holidays or trying to grab a last‑minute getaway, flight disruptions are stressful, and expensive. What many travellers don’t realize is that if your flight is delayed more than three hours or cancelled, or you’re denied boarding due to overbooking, you may be entitled to compensation from the airline—and not just with gratuitous food vouchers.

    Airfairness is a Canadian‑based online service that helps passengers claim this compensation—often up to several hundred dollars, without your having to navigate complicated airline rules yourself. It works by checking your flight details against eligibility and then helping submit a claim on your behalf. Companies like Airfairness have helped thousands of travellers recover money they didn’t even know they could claim. 

    If you’ve been out of pocket after a trip went sideways, this is one of those hacks that’s truly money you didn’t know you could have back.

    2. Save on produce with OddBunch.ca

    Grocery prices were one of the bigger pain points for Canadian households in 2025. While the headline inflation rate may look moderate, food prices, especially fresh produce and meat have grown faster than the overall Consumer Price Index. 

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    OddBunch.ca is a great way to cut that cost without sacrificing nutrition. It’s a grocery delivery service available in most provinces (not in Atlantic Canada—yet) that sources “odd” or imperfect fruits and vegetables that don’t meet visual retail standards but are otherwise perfectly good. Because these items would otherwise go to waste, they’re delivered at a significant discount—and it doesn’t matter if the produce isn’t picture‑perfect.

    Many Canadians I’ve spoken to say their weekly grocery costs dropped noticeably once they started using this and similar services for basics like carrots, potatoes, apples and leafy greens.

    3. Cut prescription costs with InnoviCares

    Prescription drugs are a huge part of many household budgets, and brand‑name medications can be shockingly expensive if you’re paying out of pocket. InnoviCares is a free prescription savings card used across Canada that helps you lower the cost of brand‑name medications by applying eligible savings at the pharmacy. 

    You present the card when your pharmacist fills a prescription, and the discount is applied automatically if your medication is covered. The best part? It works in addition to your existing insurance plan, not instead of it, so you don’t have to choose between the two. It’s not available for every drug, but for those where it is, this can mean tens or even hundreds of dollars saved annually, at no cost to you. Millions of Canadians have already used this card to cut their drug costs without switching brands.

    4. Buy used books (even on Amazon) instead of paying full price

    Let’s be honest, books are expensive. Fiction, non‑fiction, textbooks, manuals—they add up. One simple way to save when you want a book but your budget says “maybe later” is to buy it used.

    Platforms like Amazon’s used books marketplace often list the same title at a fraction of the new‑price cost. The books are typically in good condition, may ship at low cost or for free if you have a Prime membership, and you still get the same content for much less. It’s a small habit, but over time it can save a surprising amount while still letting you read what you want, when you want.

    Earning, saving and spending in Canada: A guide for new immigrants

    5. Time rewards offers on credit and loyalty programs

    Most Canadians carry at least one rewards credit card, and many don’t use them strategically. One easy hack is to pay attention to bonus offers, spot promotions and point multipliers, and to time your purchases accordingly.

    Drug stores, gas stations and large retailers, for example, frequently run 4x or 5x points promotions for certain categories. If you’re planning a pharmacy run or a fill‑up anyhow, doing it during a promotion can dramatically increase your points earnings, which you can redeem for travel, statement credits or gift/grocery cards later. This doesn’t mean spending money you wouldn’t otherwise spend, but it does mean you squeeze more value out of everyday expenses.

    Vickram Agarwal

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  • The Best Loyalty Programs Grow Customer Businesses, Not Just Retain Them | Entrepreneur

    Opinions expressed by Entrepreneur contributors are their own.

    Too many loyalty programs operate like rusty hand-cranked machines that require immense effort for a single turn. They rest on the premise of short-term retention, a model that stalls the moment a competitor offers a slightly better deal. The future of loyalty is a frictionless flywheel that gains momentum with every joint success. Stop incentivizing purchases and start enabling program members’ success.

    When each new project a member secures is fueled by unique data, and each product innovation immediately translates into a new capability, a powerful cycle comes to life. This symbiotic relationship between a brand’s growth and the member’s pipeline transforms loyalty from a defensive cost center into an unstoppable offensive strategy.

    Related: How to Turn Your ‘Marketable Passion’ Into Income After Retirement

    Diagnosing the pain points in a loyalty program

    The first missed opportunity appears when a loyalty program begins with a rebate table rather than a team member conversation. A recent survey found that engagement among US loyalty members has dropped 10% since 2022, and loyalty has fallen twice as much, indicating that short-term incentives lose charm quickly when competitors match the offer.

    Complex rules then create administrative overhead: layers of thresholds, expiry dates and blackout periods turn what should be encouraging into burdensome work. Champions who sign up to gain momentum often discover that the rewards demand more time than they deliver value.

    Another gap emerges when programs focus solely on tracking spending. Hours invested in training, referrals or brand advocacy stay invisible, so contractors receive no acknowledgment for actions that raise their value.

    Uniform benefit packs widen the gap further because a regional remodeler aiming for local credibility and a national distributor expanding into new states need different kinds of help. Each shortcoming stems from the same underlying issue: the program safeguards current revenue instead of expanding future opportunity.

    Building an engine for mutual growth

    Progress starts with a shift in perspective: replace “How do we keep customers from leaving?” with “How do we help participants secure their next win faster and at a better margin?”. Conversations with contractors, retailers and distributors consistently reveal three accelerators: early access to product improvements, dependable lead flow and credentials that earn trust. Benefits aligned with these goals transform a points account into a business toolbox.

    For example, when a contractor can show a homeowner an exclusive product that saves labor, purchase decisions speed up and profitability rises on both sides. Data transparency must flow both ways. Dashboards give members real-time insight into tier progress and upcoming rewards while giving brands immediate feedback about which features drive incremental revenue.

    Second, benefits are personalized: a rural roofer sees different opportunities than an urban remodeling firm, so the program adjusts instead of broadcasting one generic coupon. Third, purpose sits alongside price. When a program offers community service grants or sustainability certification, members receive a story they can pass to clients, adding reputation equity that compounds over time.

    Related: How Transparency In Business Leads to Customer Growth and Loyalty

    Revealing the impact of collaboration

    The impact of a growth-focused program shows up first in financial data. Share of wallet rises among enrolled members, new product launches gain faster traction and churn recedes because leaving would erase visible support. Pipelines expand when a loyalty badge elevates credibility and leads arrive warmed by national marketing.

    Over 37% of consumers spend more money with brands they subscribe to or belong to membership programs. For example, my company’s TAMKO Edge® loyalty program not only offers cash back rewards but also digital business tools, exclusive events and training. When points fund advanced workshops, regional ad credits or software that streamlines estimates, members invest in their personal growth, rather than merely offset costs.

    Referral momentum reinforces the outcome. Team members who experience measurable gains invite peers, confident that additional network strength raises the tide for everyone. Listening sessions shift from rule confusion to conversations about shared innovation, indicating the relationship has moved from transactional to strategic.

    Resilience during market swings provides final confirmation: members who rely on shared dashboards adapt quickly to supply fluctuations because joint planning aligns inventory with forecast demand. The brand benefits from steadier demand curves and reduced emergency discounting, an advantage no one-off rebate can match.

    Tailoring programs to consumer pain points

    Before investing in a redesign, teams can run a quick audit: match every perk to a real obstacle members face. Perks without that link waste focus and budget. Contractors, for example, often need support beyond their craft, like sales training, business guidance or lead generation.

    Loyalty programs that offer these resources directly address pain points while tiered structures keep members engaged and motivated to grow. Prioritizing rewards that expand capacity, like marketing credits or extended warranties, over one-off treats builds long-term, mutually beneficial relationships. Early checks reveal gaps while costs to adjust are still low.

    Sustaining momentum once it starts

    Partnership thrives on scheduled dialogue. Setting aside time each quarter allows members to outline new hurdles while program teams share upcoming capabilities. During review sessions, owners confirm whether members choose rewards that extend reach, like advertising placements, skill certifications and longer service windows, rather than vouchers that offset routine expenses. Ongoing dialogue turns intention into concrete action by aligning future perks with real-time feedback.

    Programs that cling to rebates compete in a shrinking arena defined by price, while initiatives that equip customers to secure bigger, faster wins compete in a wider field where every success multiplies. Align every reward, insight and meeting with that reality.

    When mutual growth drives each decision, both ledgers rise together, turning loyalty into a long-term partnership that endures shifts in market, technology and customer expectations.

    Too many loyalty programs operate like rusty hand-cranked machines that require immense effort for a single turn. They rest on the premise of short-term retention, a model that stalls the moment a competitor offers a slightly better deal. The future of loyalty is a frictionless flywheel that gains momentum with every joint success. Stop incentivizing purchases and start enabling program members’ success.

    When each new project a member secures is fueled by unique data, and each product innovation immediately translates into a new capability, a powerful cycle comes to life. This symbiotic relationship between a brand’s growth and the member’s pipeline transforms loyalty from a defensive cost center into an unstoppable offensive strategy.

    Related: How to Turn Your ‘Marketable Passion’ Into Income After Retirement

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    Fallon Anawalt

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  • Canadian Tire, Tim Hortons form loyalty program partnership – MoneySense

    Neither brand would specify what kind of offers shoppers will see. They said those details and information about what constitutes an eligible purchase and how much Canadian Tire money will be earned per dollar spent will be available closer to launch.

    Partnership paves the way for more perks and partners

    Canadian Tire CEO Greg Hicks and Tims’ chief marketing officer Hope Bagozzi each said in a statement that the partnership will deliver even more value to their customers.

    The partnership continues the growth of the Triangle Rewards program beyond the Canadian Tire family of brands—SportChek, Party City, Mark’s, Pro Hockey Life, and Atmosphere. The loyalty program already has incentives for customers who patronize Petro-Canada gas stations and Royal Bank of Canada. A partnership with WestJet is set to launch next year.

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    Legacy brands fight for share in crowded rewards space

    Canadian Tire’s Triangle Rewards program has nearly 12 million members and is a cornerstone of its True North initiative, which is meant to deliver growth and operational efficiency through restructuring and an investment of more than $2 billion over four years. Tim Hortons has also been growing its rewards program through its Roll Up To Win contest and by offering app users the ability to skip the line when ordering ahead. 

    Lauren Burrows, a senior manager of retail strategy at consulting firm Accenture, said the Tim Hortons and Canadian Tire partnership is  “so powerful” because it gives both brands more ways to engage their customers across “high-frequency” spending categories—coffee, gas, household products and auto goods. “This is a great example of loyalty programs evolving from transactional to truly strategic,” she said in a LinkedIn post.

    However, Liza Amlani, principal and co-founder of the Retail Strategy Group, pointed out “this is less about customer delight and more about two legacy brands scrambling for incremental share in an oversaturated loyalty market.”

    “Canadians are already juggling too many programs, and unless the value proposition is simple, transparent, and genuinely rewarding, this risks becoming just another corporate tie-up that benefits the brands more than the shoppers,” she said in an email. 

    Partnerships unlock even deeper consumer insights

    The Canadian Tire and Tim Hortons partnership comes as companies are increasingly launching, retooling, and growing their loyalty programs. In the last few years, the Scene loyalty program run by Cineplex and Scotiabank got an overhaul, when grocery chain owner Empire Co. Ltd. joined. Major changes are also on the way to Air Canada’s Aeroplan program. 

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    While such programs deliver discounts for customers, the benefits are even bigger for businesses. Companies get access to a vast trove of information about shopping habits and consumer demographics every time someone enrols in or uses their program. Retailers then use the data to tailor their merchandise and stores to their customer base’s wants and needs, thus maximizing profits.

    Partnerships between loyalty programs give businesses even more data and allows them to piece together a more detailed picture of who their customers are and what will make them buy more.

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    About The Canadian Press


    About The Canadian Press

    The Canadian Press is Canada’s trusted news source and leader in providing real-time stories. We give Canadians an authentic, unbiased source, driven by truth, accuracy and timeliness.

    The Canadian Press

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  • Moi rewards review – MoneySense

    Moi rewards review – MoneySense

    According to a recent survey by Léger, Moi is currently the “most widely used loyalty program in Quebec.” In Ontario, however, it will face heavier competition from the PC Optimum and Scene+ rewards programs, which dominate the market. So, how does Moi stack up? Let’s dive into the program and find out. 

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    How do Moi points work? 

    Right now, Canadians can earn and redeem Moi points at Metro, Super C, Jean Coutu, Brunet and Première Moisson stores in Quebec only. In Ontario and New Brunswick, Moi is currently offered in Jean Coutu pharmacies, but it will soon become available at Metro and Food Basics stores in Ontario. 

    Unlike with PC Optimum and Scene+, Moi rewards you on all purchases made at participating stores. Specifically, you get one point for every dollar spent. You’ll also get a welcome bonus of 250 points when you enroll in the program. You can earn bonus points through in-store and targeted offers. For example, you could earn three times the points when you spend $50, or earn 10 bonus points when buying a particular brand of barbecue sauce.

    You can redeem Moi points at any participating retailer once you’ve reached a minimum of 500 points (for a value of $4). That means one Moi point is worth $0.008 (or 0.8 cents), which is a decent value considering you earn points on all your purchases.

    Moi RBC Visa

    Currently, the Moi RBC Visa has a welcome bonus of up to 10,000 Moi points, which is equivalent to $80. When using the Moi RBC Visa in combination with the Moi program card, the earn rate is 2 Moi points per dollar spent at participating Metro, Jean Coutu, Brunet and Première Moisson stores. Restaurant, gas and EV charging purchases also earn you 2 points per dollar. All other purchases earn you 1 point per dollar. 

    As for the benefits, the card includes mobile device insurance, and purchase security and extended warranty insurance. You’re getting a respectable earn rate and perks for a no-annual-fee card, but there are still some drawbacks.

    featured

    Moi RBC Visa

    go to site

    Annual fee: $0

    Welcome offer: Earn up to 10,000 Moi points ($80 value)

    go to site

    Card details

    Interest rates 20.99% on purchases, 22.99% on cash advances, 22.99% on balance transfers
    Income required None
    Credit score None specified

    What’s the best credit card to use at Metro stores? 

    Even though the Moi RBC Visa is the official co-branded card of Metro-affiliated stores, there are other credit cards to consider using instead.

    The Scotiabank Momentum Visa Infinite card comes with 4% cash back per dollar spent on groceries, recurring bills and subscription purchases. You also get 2% cash back on gas and daily transit. All other purchases earn 1% cash back. While the earn rate is higher than the Moi RBC Visa’s at Metro stores, the Scotiabank Momentum Visa Infinite has an annual fee of $120 (waived for the first year), and the cash back is only paid out as a statement credit once a year, in November.

    Barry Choi

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  • “I’m interested in visiting Europe”: How this student can build a credit score while earning valuable travel rewards – MoneySense

    “I’m interested in visiting Europe”: How this student can build a credit score while earning valuable travel rewards – MoneySense

    Before heading to school, Kinsey acquired her first credit card, an Alterna Savings Cash Back Visa. Although she also banks with EQ Bank, her primary bank card was with Alterna Savings and Credit Union. “So it was kind of natural and the easiest way for me to get a credit card,” she explains.

    Still new to credit cards, Kinsey doesn’t have a credit score—a number between 300 and 900 that shows lenders how creditworthy you are (the higher the score, the better). She’s looking to build one while also earning rewards—be it cash back (to “make the most of my spending”) or travel points (she’s an Aeroplan member). 

    Kinsey is an avid traveller—she recently visited Greece and Japan, where she has family. “I’ve been down south to Cuba and Florida. I went to Halifax, because I have some friends out there. I’ll travel within Canada, but I’m definitely more interested in visiting places in Europe,” she says. 

    Photo courtesy of Aya Kinsey

    What credit card features does she need? 

    Like many university students, Kinsey’s ambitious, eager to travel and just wants to find her financial footing. Given her existing ties to Alterna, it’s no surprise she ended up with an Alterna Savings Cash Back Visa—most Canadians stick with the same financial institutions for a good part of their lives. But, Kinsey can find a credit card better suited to her needs by expanding her horizons. 

    With Alterna, she gets 1 Collabria reward point per $1 spent on groceries, gas, public transit, select recurring bills and digital streaming purchases, and 0.5 points on all other purchases. The value of those points maybe an issue. The value of a Collabria point fluctuates based on what you’re redeeming for: cash back offers the best value, at $0.01 per point, but you must redeem in increments of 3,000 points (for $30), 5,000 points ($50) and 10,000 points (for $100), depending on the Collabria card you have. And when redeeming for travel, merchandise or gift cards, a point can be worth anywhere from $0.002 and $0.008. This means cardholders earn a maximum return of 1% in rewards ($0.01) for every dollar they spend. Often, the return is less than that. 

    For Kinsdey, it’s clear travelling is a priority. She needs a credit card that can cheapen the costs of flying to visit family and friends. At the same time, she’s just getting familiar with paying for life on her own, tuition being her biggest expense, and her income this year will be modest at best—she hopes to freelance as a content marketer. 

    So, right now, Kinsey’s primary goals should be building a credit score and increasing her income potential by completing her studies. Later in life, she will likely have access to plenty of premium travel credit cards to match her desired lifestyle—for example, she’ll need a personal annual income of $60,000 for Visa Infinite cards and $80,000 for World Elite Mastercards. 

    Which credit card should she get?

    Credit card pick #1: CIBC Aeroplan Visa Card for Students

    For her current situation, the CIBC Aeroplan Visa Card for Students would tick a lot of boxes. It’s a no-fee, no-income-required card. Kinsey’s already an Aeroplan points collector, and the CIBC Aeroplan Visa would add 1 Aeroplan point to her account per $1 spent on Air Canada purchases (such as future flights) and on groceries—she has a campus meal plan but expects it won’t cover all her food expenses. That’s in addition to points already earned as an Aeroplan member, through the “earn points twice” feature of Aeroplan credit cards. 

    Justin Dallaire

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  • “I’m interested in visiting Europe”: How this student can build a credit score while earning valuable travel rewards – MoneySense

    “I’m interested in visiting Europe”: How this student can build a credit score while earning valuable travel rewards – MoneySense

    Before heading to school, Kinsey acquired her first credit card, an Alterna Savings Cash Back Visa. Although she also banks with EQ Bank, her primary bank card was with Alterna Savings and Credit Union. “So it was kind of natural and the easiest way for me to get a credit card,” she explains.

    Still new to credit cards, Kinsey doesn’t have a credit score—a number between 300 and 900 that shows lenders how creditworthy you are (the higher the score, the better). She’s looking to build one while also earning rewards—be it cash back (“to make the most of my spending”) or travel points (she’s an Aeroplan member). 

    Kinsey is an avid traveller—she recently visited Greece and Japan, where she has family. “I’ve been down south to Cuba and Florida. I went to Halifax, because I have some friends out there. I’ll travel within Canada, but I’m definitely more interested in visiting places in Europe,” she says. 

    Photo courtesy of Aya Kinsey

    What credit card features does she need? 

    Like many university students, Kinsey’s ambitious, eager to travel and just wants to find her financial footing. Given her existing ties to Alterna, it’s no surprise she ended up with an Alterna Savings Cash Back Visa—most Canadians stick with the same financial institutions for a good part of their lives. But, Kinsey can find a credit card better suited to her needs by expanding her horizons. 

    Her Alterna card is associated with Collabria rewards, a loyalty program that works with some Canadian credit unions. She gets 1 Collabria reward point per $1 spent on groceries, gas, public transit, select recurring bills and digital streaming purchases, and 0.5 points on all other purchases. The value of a Collabria point fluctuates based on what you’re redeeming for: cash back offers the best value, at $0.01 per point, but you must redeem in increments of 3,000 points (for $30), 5,000 points ($50) and 10,000 points (for $100), depending on the Collabria card you have. And when redeeming for travel, merchandise or gift cards, a point can be worth anywhere from $0.002 and $0.008. This means cardholders earn a maximum return of 1% in rewards ($0.01) for every dollar they spend. Often, the return is less than that. 

    For Kinsdey, it’s clear travelling is a priority. She needs a credit card that can cheapen the costs of flying to visit family and friends. At the same time, she’s just getting familiar with paying for life on her own, tuition being her biggest expense, and her income this year will be modest at best—she hopes to freelance as a content marketer. 

    So, right now, Kinsey’s primary goals should be building a credit score and increasing her income potential by completing her studies. Later in life, she will likely have access to plenty of premium travel credit cards to match her desired lifestyle—for example, she’ll need a personal annual income of $60,000 for Visa Infinite cards and $80,000 for World Elite Mastercards. 

    Which credit card should she get?

    Credit card pick #1: CIBC Aeroplan Visa Card for Students

    For her current situation, the CIBC Aeroplan Visa Card for Students would tick a lot of boxes. It’s a no-fee, no-income-required card. Kinsey’s already an Aeroplan points collector, and the CIBC Aeroplan Visa would add 1 Aeroplan point to her account per $1 spent on Air Canada purchases (such as future flights) and on groceries—she has a campus meal plan but expects it won’t cover all her food expenses. That’s in addition to points already earned as an Aeroplan member, through the “earn points twice” feature of Aeroplan credit cards. 

    Justin Dallaire

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  • These credit cards can help you save big on travel to Orlando – MoneySense

    These credit cards can help you save big on travel to Orlando – MoneySense

    How to use credit cards to save on your stay

    With the right loyalty points, you can stay in Orlando for free (resort and parking charges still apply). I always look at Marriott properties first, since I have a Marriott Bonvoy American Express Card. The card has an annual fee of $120, but it gives me an annual free night’s stay at Marriott properties, worth up to 35,000 Marriott Bonvoy points. (One Marriott Bonvoy point is worth $0.0117 on average when redeemed hotel stays.) Additionally, I can transfer any of my American Express MR Points, which I collect with the American Express Cobalt Card, to Marriott Bonvoy at a 1:1 ratio. This ability to transfer makes it incredibly easy to earn and redeem Marriott Bonvoy points.

    featured

    Marriott Bonvoy American Express

    go to site

    Annual fee: $120

    Welcome offer: earn 50,000 Marriott Bonvoy points

    go to site

    Card details

    Interest rates 21.99% on purchases, 21.99% on cash advances
    Income required None specified
    Credit score 725 or higher
    Point value 1 Marriott Bonvoy point = $0.0117 on average when redeemed for eligible flights or hotel stays..

    One of my favourite places to stay in Orlando is the Walt Disney World Swan Reserve. It’s part of the Disney Swan and Dolphin complex, so regardless of which property you stay at (the Dolphin Resort, Swan Resort or Swan Reserve), you get access to all the amenities, including multiple pools, kids’ activities, swan paddle boats and more. Best of all, these hotels are considered on-site Disney properties, so you get early access to all the Disney World Parks. That extra half-hour to an hour makes a considerable difference since you get to beat the crowds.

    Admittedly, the Dolphin, Swan and Reserve hotels are some of the more expensive Marriott properties, but I’ve also stayed at Residence Inn and Courtyard hotels (both part of the Marriott family) for as little as 15,000 Marriott Bonvoy points per night. As a bonus, when you book five consecutive nights at the same hotel using Marriott Bonvoy points, you get one night free. 

    Besides Marriott Bonvoy, I’ve also used HotelSavers via Aeroplan. With HotelSavers, you save up to 30% in points on bookings with select partner hotels. Plus, Aeroplan credit card holders get their fourth night free when booking three nights on points. 

    More ways to save in Orlando

    If you can subsidize your flights and hotels with points, theme park tickets will be your biggest expense. Fortunately, there are occasional deals. 

    Universal Orlando Resort has an offers page that lists all the current promotions. For example, at the time of writing, you can get two days free when you purchase a ticket valid for two parks over three days. Alternatively, you can save 20% on four-night stays at a Universal Orlando Hotel. The hotel offer can be lucrative, as Premier Universal Hotels give your entire party a free Universal Express Unlimited pass, allowing you to skip the regular lines at some of the most popular attractions. The passes are worth as much as USD$124.99 per person, per day. You also get early access to the parks.

    Disney World has similar offers throughout the year for both park tickets and accommodations. It also typically has Canadian-exclusive deals about once or twice a year, and these can be a great way to save.

    For non-theme-park savings, check out the offers page on Visit Orlando. Here you’ll find discounts on dining, shopping, attractions and accommodations.

    Barry Choi

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  • Air Miles expands offerings, including ways to earn and redeem – MoneySense

    Air Miles expands offerings, including ways to earn and redeem – MoneySense

    As you might recall, BMO Financial Group bought Air Miles in March 2023, after the program’s owner, Loyalty Ventures Inc., filed for bankruptcy. At that time, BMO said the acquisition “would be a made-in-Canada opportunity to enable a reinvigoration for one of Canada’s largest loyalty programs.” 

    Air Miles collectors, that day has come. Let’s look at how the program has changed.

    What’s new about Air Miles?

    In addition to its emphasis on moments (collecting them, winning them, getting to them faster), the new Air Miles brand platform reflects several program enhancements rolled out since April:

    More ways to earn

    Collectors can take advantage of two ways to rack up more Miles: 

    • Air Miles Receipts, introduced in 2023, gives members Miles for buying certain products and scanning the receipts with the Air Miles app within 14 days. Air Miles Receipts initially included grocery stores. It recently expanded to liquor stores, and more categories are coming in September.
    • Card-linked offers give collectors bonus Miles at partner retailers. To access offers, link a Canadian-issued Mastercard to your Air Miles Account. (BMO Air Miles Mastercards are automatically linked.) Two recent examples: 250 bonus Miles for spending $500 at LG Electronics, and 125 bonus Miles for spending $300 at Porter Airlines. 

    More ways to redeem 

    Collectors can redeem Air Miles for eVouchers at several more well-known retailers, including Amazon, Sporting Life, TJX brands (Winners, HomeSense, Marshalls) and more. Redeeming 95 Cash Miles gets you $10 in value (the same as before the relaunch). 

    Gas discounts at Shell 

    If you have a BMO Air Miles–linked credit card or debit card, you’ll save $0.07 per litre on Shell V-Power premium fuel and $0.02 per litre on other Shell fuel—a nice perk given the high cost of gas.

    Other credit card benefits

    BMO Air Miles credit cardholders can now earn double the Miles on purchases at wholesale clubs and liquor retailers in Canada, the same boosted earn rate they get at eligible grocery stores.

    Conversions between Cash Miles and Dream Miles 

    Air Miles requires cardholders to allocate their reward Miles into two buckets: Cash Miles (redeemable for retailer eVouchers and in-store discounts) and Dream Miles (redeemable for merchandise and travel rewards). The ratio is up to you, but you couldn’t convert one to the other—until now. Onyx and Gold collectors (the upper two of Air Miles’ three tiers) now have more flexibility: Onyx collectors get unlimited transfers, and Gold collectors can transfer up to 1,000 Miles each year. (Sorry, Blue collectors, no transfers for you.)

    Jaclyn Law

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  • How to stay on budget this summer, wherever your vacation plans take you – MoneySense

    How to stay on budget this summer, wherever your vacation plans take you – MoneySense

    Summer is peak travel season for Canadians, with July the most popular time for a getaway, according to a recent Deloitte poll.

    But if budget worries are casting a cloud over your vacation fantasies, experts say it’s possible to ease that anxiety. Whether you’re adventuring close to home or taking a once-in-a-lifetime trip, here are some tips to ensure summer fun doesn’t break the bank.

    How to save on a staycation

    Staycations allow you to eliminate some of the biggest expenses associated with travel, such as airfare and hotel stays. But unless you plan to spend the entire time reading on the deck, you’ll want a budget that allows for fun outings.

    Paul Seipp, BMO’s regional president for the prairies central region, encourages exploring local attractions and experiences, keeping a special lookout for ones that don’t cost anything. Festivals, fireworks, outdoor events and parades can be a great way to make a staycation feel special.

    When you do hit up a pricier local attraction, be conscious of discount days and special offers. Many museums, for example, offer cheap entry on a certain day of the week or after a certain time of day.

    “One of the worst things that can happen is that September hangover when the summer bills come in, so (even for a staycation), stay on track by setting up a separate vacation account or having some savings put aside,” said Seipp.

    While picnics or packing your own lunch are always budget-friendly options, Seipp said staycationers who want to dine at restaurants should consider happy hours, “kids eat free” days, and other strategic ways to save money.

    How to save on a camping trip

    Camping can be significantly cheaper than staying in a hotel if you already own the gear, but if you don’t, sleeping outdoors can be pricey. Experts recommend checking second-hand shops, Facebook Marketplace, and even garage sales for lightly used camping equipment. 

    The Canadian Press

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  • Why you won’t get Air Miles at Metro anymore – MoneySense

    Why you won’t get Air Miles at Metro anymore – MoneySense

    In the mid-2000s, Air Miles devalued its points, making it harder for customers to reach their rewards goals. Then, in 2016, the company announced it would add an expiration date to Miles. Though the decision was reversed after an outcry, the move damaged customer relations. Next, the company split Air Miles into Cash Miles (for in-store redemption and e-vouchers) and Dream Miles (for merchandise, travel, events and attractions), further confusing collectors. 

    By 2022, some of Air Miles’ biggest draws had left the program, including Staples, Rexall, the LCBO, Lowe’s and others. Metro stores are the latest mega-partners to sever ties with Air Miles. 

    Earning rewards for groceries

    All of this might be bad news for Air Miles, but consumers can still find ways to earn rewards on their grocery shopping bills. 

    One way is to join the loyalty programs of your grocery chain. Like Metro with its new Moi Rewards program, Loblaws stores give out PC Optimum points, Save-on-Foods and others use More Rewards, and Thrifty Foods uses Scene+ points. 

    Unfortunately, Moi Rewards alone won’t get you the value you’re used to with Air Miles. If it takes 500 Moi Rewards points to redeem for $4, the value per point is $0.008. How does that stack up against Air Miles? While the value of an Air Mile will fluctuate depending on what you redeem it for, the average value is $0.121. Luckily, you can use a different strategy to make your food shopping pay dividends.

    The best grocery credit cards in Canada

    You can earn rewards on your groceries by purchasing them with a rewards credit card. For example, you could use a PC Mastercard to pay for food at Metro, and you’d still earn PC Optimum points—not as many as you’d get shopping at Loblaw banner stores, but you’d still get the base rate. Many other rewards cards are good for groceries, too. The best one for you will depend on where you shop and your shopping habits. 

    Here’s a quick look at some of our top picks.


    What’s replacing Air Miles at Metro?

    So, Air Miles is out and Moi Rewards is in. While it’s true that the advertised Moi Rewards earn rate is underwhelming, the details of the program remain to be seen. In the meantime, Metro shoppers can get their rewards by using a solid rewards credit card at the till.

    Keph Senett

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  • 9 Ways to Combat Common Vendor and Supplier Fraud Schemes | Entrepreneur

    9 Ways to Combat Common Vendor and Supplier Fraud Schemes | Entrepreneur

    Opinions expressed by Entrepreneur contributors are their own.

    Every café and restaurant entrepreneur recognizes that the thrill of the culinary scene is rivaled only by its inherent challenges. They grapple with fluctuating food trends, finicky foodies, fierce competitors, evolving regulations and the unpredictable turns of the economy. The current climate demands constant reinvention, and even the most promising cafes can be shuttered in a surprisingly short time.

    Instinct might guide you to attribute pitfalls to the outside world, but ever so often, the longevity of a hospitality business is sealed by what happens inside. A deep dive into the operations and dynamics may reveal a myriad of unseen obstacles and prospects. Employee dynamics, training regimes, supplier agreements and inventory choices significantly influence a café’s success trajectory.

    For those aspiring to cement a lasting presence in this demanding industry, continual introspection isn’t a mere suggestion — it’s a necessity. A café’s lasting prominence is intricately linked with its internal mechanics. A particular concern that might often be overlooked but eats into both the profits and reputation of cafes — prominently observed in the vibrant UAE cafe ecosystem — is the shadowy arena of supplier kickbacks.

    Related: I Was Ripped Off by Someone I Thought Was a Friend. Here’s What I Learned.

    Understanding supplier kickbacks

    Supplier kickbacks constitute covert incentives or commissions that suppliers offer to café staff or management with the intent to influence favorable business transactions. These hidden incentives can lead to questionable choices in ingredient suppliers, acceptance of subpar goods and unnecessary orders, thereby increasing waste.

    Recognizing these kickbacks as a form of veiled corruption lurking within business processes is critical. Cloaked as mundane transactions, they imperceptibly skew standard business activities, often remaining undetected until they manifest in compromised quality, inflated costs or eroded profits.

    Though occasionally masquerading as ‘business courtesies,’ the core aim of these kickbacks remains consistent: to acquire an undue advantage in commercial engagements, thereby undermining the foundational integrity essential for a successful and ethical business venture.

    When and how does it start?

    Delegating purchasing roles to seasoned staff is common for cafe proprietors. However, if inadequately compensated or insufficiently supervised, these individuals might be lured by kickback schemes. In economies where hospitality wages are low, the allure of an added income is especially tempting.

    The introduction to kickbacks can be nuanced, starting with a seemingly harmless gesture of gratitude for significant orders or steadfast business relationships. Yet, it can escalate, forming a regular pattern of monetary exchanges — fostering a dependency loop.

    Related: 4 Kinds of Fraud That Could Destroy Your Business

    Why does it happen?

    1. Personal gain: The most obvious reason is personal financial gain. Employees or managers might be lured by the prospect of extra income, especially if they believe it won’t impact the business significantly.
    2. Business relationships: Sometimes, it’s not just about money. It could be about camaraderie or maintaining a long-standing relationship, even if it’s not in the best interest of the café or restaurant.
    3. Lack of oversight: In businesses where there’s little to no oversight on procurement processes, supplier kickbacks can thrive.

    The impact on revenue and business

    1. Financial loss: Kickbacks can lead to the business overpaying for goods or services, directly affecting profitability.
    2. Compromised quality: Loyalty might shift from the cafe business to the supplier, leading to acceptance of subpar or inconsistent products, which can damage the brand’s reputation.
    3. Operational inefficiencies: With kickbacks in play, decisions are no longer made for the business’s efficiency or benefit but for personal gain. This can lead to stock discrepancies, wastage, inefficient recipe proportions and other operational inefficiencies.

    9 Ways to avoid the kickback trap

    1. Active participation: Owners should be involved, even if indirectly, in purchasing decisions, ensuring transparency and accountability.
    2. Fair wages: Paying staff a decent wage reduces their vulnerability to such schemes. It’s essential to acknowledge and commend advancements in accountability, as well as to recognize initiatives that contribute to enhancing operational efficiency and the overall profitability of the business.
    3. Supplier testimonials: Owners should seek feedback and testimonials from current and potential suppliers by consulting with fellow business owners. This provides a genuine insight into the supplier’s credibility and ethos, ensuring a more informed decision-making process.
    4. Transparent procurement processes: Implement clear and transparent procurement processes. Regularly review and audit these processes to ensure compliance.
    5. Employee training: Ensure that employees, especially those involved in procurement, understand the implications of kickbacks. Regular training sessions can help with this.
    6. Whistleblower policies: Encourage a culture where employees can report unethical practices without fear of retaliation.
    7. Regular audits: Conduct surprise checks, recipe & inventory audits, and regular financial audits. Anomalies in procurement can often be a red flag for kickbacks.
    8. Vendor agreements: Have clear agreements with suppliers that strictly prohibit such practices. Regularly review and renew these agreements.
    9. Treat staff well: Beyond just fair compensation, creating a positive and respectful work environment is essential. Recognizing and rewarding employee contributions, providing growth opportunities, and fostering a sense of belonging can deter staff from seeking external illicit incentives and bolster their loyalty to the business.

    The coffee kickback epidemic in the UAE

    The topic remains shrouded in mystery but is not entirely concealed: the trend of coffee vendors offering commissions to lesser-earning baristas. While the UAE’s plush café industry might be a pronounced casualty, it’s vital to recognize that this isn’t an incident isolated to a particular country.

    Overambitious suppliers fueled the inception of this. By wooing under-compensated baristas, they could cement their market dominance. Over time, this malpractice has not only continued but has thrived, perpetuated by the greed and financial desperation cycle.

    This practice has a secondary and perhaps more insidious effect: it stifles the professional growth and earning potential of the ‘front-of-house chefs,’ the baristas. With kickbacks in play, baristas aren’t incentivized to perform in the best interest of the cafe’s revenue nor enhance their craft or knowledge since their earnings are supplemented through under-the-table dealings.

    The onus of this issue partly lies with non-committing café owners who distance themselves from pivotal operational and purchasing decisions, allowing room for such illicit practices to thrive.

    By understanding and employing these strategies, owners can shield their businesses from internal sabotage and foster an environment of trust and sustainable growth. Understanding and addressing issues like supplier kickbacks can make the difference between a thriving business and merely surviving.

    Customers see only the final product without understanding the internal challenges and decisions that shaped it. For entrepreneurs in the café and restaurant business, it’s vital to be proactive, planning not just for today but for the future.

    All restaurant owners must consider: Are we embodying vision, resilience, dedication and innovation with each cup and dish served for years to come? And what unspoken decisions and actions willcharacterizee the legacy of our business?

    Ryan Godinho

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  • 5 Types of Customer Loyalty Programs that Pay Off

    5 Types of Customer Loyalty Programs that Pay Off

    Opinions expressed by Entrepreneur contributors are their own.

    According to ProfitWell, 80% of future profits come from just 20% of existing customers. So clearly, any effort to keep yours engaged is a worthy investment, and loyalty programs are one of the oldest and most popular ways to do that.

    Put simply, such programs retain existing customers by rewarding them for interacting with your brand — typically via points, discounts, perks or free products. Research from Yotpo in 2019 found that 67.8% of buyers equate brand loyalty with repeat purchasing. It’s not surprising, then, that brands have created associated programs to encourage repeat purchases.

    Here are some proven program categories:

    1. Points

    If you have a credit card, you’re likely familiar with points programs, in which you spend a certain amount to get a number of points. These are usually convertible to cash, or store credit in the case of retail brands. Starbucks has one of the most popular in the world: You use an app or card to pay for orders and earn points. In the U.S., customers can start redeeming rewards once they hit 25 points (or “Stars,” as the company terms them). The brand also runs yearly sticker-based points programs during the holidays in select countries, which encourage customers to collect a number of stickers to get a limited-edition Starbucks planner.

    Related: How Brands Can Turn Short-Term Rewards Into Long-Term Loyalty

    2. Premium

    Paid or premium programs encourage customers to pay a membership or subscription fee in exchange for benefits. Perhaps the most recognizable example in this category is the Amazon Prime subscription, which rewards members with a free membership in its streaming app, free shipping within the U.S. and other added value.

    Some retail brands like Barnes & Noble have membership programs that grant members discounts on items and early access during sales. To get customers to sign up for a paid loyalty program, the key is to offer something that’s perceived as valuable and useful, and among the highest-performing examples of associated apps were recently listed by AVADA.

    3. Tiered

    Tiered loyalty programs follow the same concept as points-based examples — the difference being members are given different rewards as they reach each tier, rather than everyone getting the same. Such programs present members with a specific status name each time they climb up a level.

    For example, most airlines have tiered loyalty programs measured by miles. Qatar Airways, the flag carrier of Qatar, has a Privilege Club for its frequent fliers. New members start on the lowest tier, called “Burgundy,” followed by “Silver,” “Gold” and “Platinum.” As members progress, they earn more privileges and perks. For example, once members hit the Silver level, they get lounge access, while one benefit of the Platinum tier is a no-charge allowance of 55 pounds of baggage every time they fly.

    Member programs in other industries might offer good student, safe driver or good credit discounts, along with referral rewards, VIP status and other perks.

    Related: 7 Ways Leading Companies Boost Repeat Sales

    4. Action-driven

    Action-driven loyalty programs encourage customers to interact with your brand beyond purchasing. For example, they might receive specific points on a first purchase, but to progress as a member they need to like and share your social media pages. To drive members to action, it’s best to also include tiers in these examples.

    A winning example in this category is Adidas’s action-based loyalty program called the adiClub, wherein members are encouraged to shop and post reviews, complete a profile on the website and sign up for a run. Members climb tiers and unlock more privileges and rewards as they earn points. In time, they become brand ambassadors — supporting the company on a more holistic scale.

    5. Cash-back

    Cash-back programs are similar to points programs but with more instant gratification. Many credit card companies offer them and typically reward members between .25% and 5% per eligible transaction. Most companies have partner merchants and a minimum-spend amount before cash-back is granted.

    Related: 3 Ways to Build the Rewards Program Customers Want

    The key takeaway is that instead of competing for attention in a crowded marketplace, it might be better to focus efforts on the audience you already have. For hundreds of brands spanning dozens of industries, customer loyalty programs have proven to be an effective strategy for retaining customers, boosting relations with them and increasing brand affinity.

    Nick Brogden

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  • Customer Loyalty Is Your Holy Grail for Success. Here’s Why.

    Customer Loyalty Is Your Holy Grail for Success. Here’s Why.

    Opinions expressed by Entrepreneur contributors are their own.

    Customer loyalty is the holy grail of a high return on your investment. However, many people tend to think and invest more in customer acquisition and marketing than they do in cultivating loyalty. The evidence is clear; customer loyalty translates to steady revenue, lower marketing costs and more effective word-of-mouth advertising.

    Implementing many customer loyalty programs offers a marketing advantage that can improve customer acquisition. Customer loyalty and engagement can be the tiny edge that propels you over the competition, even in the face of an inferior product or service.

    To successfully implement an efficient customer loyalty program, I’ve outlined four important considerations.

    Related: A Checklist to Get Your Customer-Loyalty Program Off the Ground

    Understand what motivates your customers

    Incentives are a powerful force that motivates individual economic decision-making. Tapping into the personal motivations of customers and why they purchase your products is essential in understanding how to reward them and encourage them to take that action again.

    Depending on the nature of your business, there may be several underlying incentivizes driving customers to your brand, including:

    • Financial incentives: Your brand offers the best financial advantage.
    • Psychological incentivizes: Your products offer joy important to your customers’ happiness.
    • Exclusivity incentives: Your products offer a level of exclusivity that makes customers feel unique, special or elite.

    In some ways, understanding what motivates people to your brand is knowing what your brand offers that your competitors don’t.

    However, to understand more about customers and their thinking, consider the following strategies:

    • Invest in a CRM program to collect more granular data
    • Use social listening tools to understand how your brand is perceived by customers online
    • Dig into keyword research to see which terms people use to look for products, such as discounted or best
    • Use market research for low-level demographic data
    • Undergo competitor research to see how competitors in your field cultivate customer loyalty
    • Solicit customer feedback for direct insights

    Make rewards truly unique

    Once you understand what motivates your customers, you can create a loyalty program that rewards them. For example, customers motivated by financial incentives will benefit from BOGO deals and discounts, while customers motivated by exclusivity will be motivated by exclusive branded gifts and merchandise.

    One tip to really keep in mind is to make rewards unique and exceptional. Don’t just settle on branded stickers and pens; go the extra mile with branded tote bags, t-shirts, hats and anything else that people will see in public. I particularly love branded merchandise because it provides ancillary marketing benefits that can be more impactful than traditional advertising.

    I would also suggest going above and beyond regarding financial rewards, whether it’s giving away free monthly trials or purchases. You can even work with other companies like Amazon or retailers to help transfer rewards points or incentives for a discount on purchases they already make.

    Once you have a set of rewards, you can even tier your program to encourage additional engagement. Ideally, the greater the engagement by the customer, the higher the reward. Those customers that reach the top tier will feel special as you give them the best financial rewards.

    Related: How Brands Can Turn Rewards Programs Into Long-Term Loyalty

    Create consistent customer experiences

    Customer satisfaction is when expectations meet reality. A core component of your customer loyalty program must focus on creating positive and consistent customer interaction via your products, marketing and customer service. Ensure all brick-and-mortar locations and online assets follow a consistent branding pattern and a set of branding guidelines.

    To create a consistent digital experience, you need to invest in multi-channel customer service. This strategy could include utilizing chatbots on your website, responding to users over social media and email or even implementing a digital HR help desk for people to communicate with customer representatives directly.

    I also recommend creating a consistent experience across your sales funnel to build a positive first impression of your brand through the following strategies:

    • Offering promotions or discounts for first-time purchases
    • Delivering thank you emails and/or texts at purchase
    • Emailing follow-up for surveys and additional thanks
    • Offering online and telephone support for any questions
    • Providing additional online resources for tutorials, guidance or sending feedback directly

    Finally, create above-and-beyond customer service by offering omnichannel support and investing in AI that allows for personalized and automated responses.

    Great customer service also starts with hiring the right staff and implementing the right procedures. Train staff to practice active listening and empathy to achieve better customer interactions and offer solutions that resolve customer problems meaningfully.

    In fact, bad customer experiences offer brands the opportunity to fix their mistakes, which often leads to higher positivity than if the customer just had a fairly normal experience.

    Related: 15 Tips for Improving Customer Loyalty

    Go above traditional interactions to create a community

    Today’s younger generations are often motivated to shop with brands that conform to their social values.

    A survey from Sprout Social found that 70% of customers felt it was necessary for brands to take a stand on social and political issues. The key here is to use your community values and inclusivity as an asset to cultivate greater loyalty.

    For example, there are several strategies for cultivating greater community loyalty among your customers, including:

    • Incorporating political/social messaging in your advertising
    • Donating to a charity
    • Hosting fundraisers for important causes
    • Hosting brand-exclusive events and parties that reward loyalty
    • Encouraging users to submit UGC for promotions

    Sometimes your products and actions can also speak for themselves. For example, my digital marketing company became the first to purchase NFL tickets with Bitcoin, helping to build strong relationships with sports fans and tech enthusiasts among our customer base.

    In many ways, inspiring brand loyalty involves following many of the best practices I recommend for any new business.

    Once you understand what motivates your customers and put the proper infrastructure in place, cultivating brand loyalty is all about executing your promises and being there when they need you most.

    Matt Bertram

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  • How Brands Can Turn Rewards Programs Into Long-Term Loyalty

    How Brands Can Turn Rewards Programs Into Long-Term Loyalty

    Opinions expressed by Entrepreneur contributors are their own.

    There are about 4 billion loyalty program memberships in the U.S., and they’re all fueled by some type of reward. Yes, even Starbucks‘ recently-announced metaverse loyalty program is expected to deal in NFTs (a fancy way of saying a digital asset as a reward).

    Entrepreneurs, take note: There will be significant changes over the next decade in the expectations consumers have for brands and banks. Between stocks, NFTs and advancements in blockchain and crypto, “loyalty” is a category that will undergo significant advancement to keep an enticed consumer. What’s driving this change, and what will move the needle for the consumer while bringing a solid return on investment to the brand?

    A reward alone doesn’t necessarily create loyalty. In fact, a reward often brings a customer in for just one more transaction at a time. Brands are learning that there is a difference between loyalty and rewards: one creates lasting, long-term company success rooted in a relationship with aligned incentives, and the other merely extends a brand’s lifeline to the next quarter’s earnings.

    Loyalty means an attachment to the institution one spends with. It means awareness of the decision being made to shop at one brand or another. It’s going out of the way to arrive at the store, gas station or restaurant the customer cares most about. When a customer is merely incentivized to return one more time via a disposable reward, this generally doesn’t speak to loyalty as much as it does to the “deal” they will get by doing so at that moment.

    My team talks with brands every day about rewards currencies and the merits or drawbacks associated with the most common incentives. There are so many different kinds of programs; these include points, cash back, rebates and miles. Brands have spent the last two decades building different combinations of the same rewards currency — many of them to great success by tying their rewards to brand values and their most popular and beloved products. So how does a brand ensure rewards turn into loyalty, rather than just a second transaction?

    Related: 3 Secret Reasons Why Your Brand Needs a Rewards Program

    Keep it simple, keep it connected

    Consumers have been burnt by complexity — frustration in managing multiple loyalty platforms with various web-based logins has led to a wave of brands building and launching their own self-contained loyalty programs. Recent additions to this “self-contained loyalty” approach include the McDonald’s MyMcDonald’s Rewards or Taco Bell‘s mobile app. These brands realized that asking customers to do the work of tracking, managing, and redeeming their rewards could be more of a burden than a relationship-building experience. So, they threaded ordering, rewards and other user engagement all into the same space.

    The beauty of this approach? Rewards don’t disappear. They are reimagined in ways that spark creativity, engagement and camaraderie with the customer. They become personalized and presented with choices that the customer can make along the way.

    The quickest way for a loyalty program to feel out of touch or antiquated is if it’s a disjointed experience — a program that assigns arbitrary points that deliver inconsistent rewards or a program that only rewards on a transaction, but doesn’t open the opportunity for additional customer behaviors and engagement. Instead of focusing on that reward, a bond must be built between the customer and the brand.

    Related: Why Small Businesses Should Be Utilizing Customer-Loyalty Programs

    How we can evolve rewards programs

    Classic rewards currencies incentivize transactions. They create fleeting, one-off moments that don’t serve the connection to the customer. In some cases, they can even tarnish the brand. Those are the rewards we want to move modern loyalty away from.

    Let’s use coupons as an example: The customer may come into the store to use a coupon they earned for a recent purchase. That coupon (while serving the transactional purpose) sets the expectation that what is being sold has a lower value than it’s listed for, and it tells the customer to make their choice based on the price tag alone. The traditional rewards equation prioritizes low cost over quality, convenience and value alignment — the transaction over the relationship.

    That’s not to say that coupons (or miles, points or a free frozen yogurt at the end of a 10-visit punch card) don’t have their place in a loyalty program. They simply need to be connected to more than a transaction. What other ways can customers earn those rewards? Is there an option to redeem vs build for a larger reward? Does the reward currency provide tangible value? Maybe that coupon is offered because a customer has exhibited loyalty and earned the coupon through loyalty, rather than as a way to achieve such loyalty.

    Related: How Loyalty Programs Are Emerging as Effective Marketing Tools

    Matching rewards currencies to loyalty programs

    Brands don’t need to build and launch full-scale interactive apps to connect with their customers (it doesn’t hurt, of course, but it all comes down to intention). In many cases, they can reassess or add reward currency options that can grow with their customer relationship. There are so many more ways that brands can reward their customers than when the loyalty and incentives space was created. They can give ownership of digital assets via NFTs, unlock access to exclusive events or offerings and can even give shares of stock as a reward.

    Using the example I know best, let’s look at how some of these new reward mechanisms change the customer experience. When a brand rewards its customers in stock rewards, also known as ownership, they can:

    • Deliver immediate validation for the consumer, which can power more immediate behavior change
    • Reinforce long-term brand/consumer relationships instead of cherry-picking, couponing or continuously discounting
    • Create meaningful access points to financial markets that half of Americans don’t currently have

    Related: Customer Loyalty Brings Long-Term Sales

    With standard points programs, customers usually need to rack up a significant number of points, miles or whatever the chosen type of currency is to start seeing any benefits. But the opportunity to reward in stock or ETFs, even in small amounts can create immediate gratification — which then can serve as an entry point to other aspects of a loyalty program. Stock-related rewards can potentially grow over time, along with the consumer’s confidence, loyalty and brand love.

    Most importantly, this is a program that speaks to long-term vitality for a brand and consumer. According to user surveys through our company, Bumped, 65% of users have told friends about a company they own after becoming a shareholder. The customer now has a new thread of relationships that coupons can’t create. A total of 31% of users who become shareholders are willing to pay more for a product from a brand they own, versus expecting to pay less the next time they’re in the store. Most importantly, the consumer may even feel awkward shopping with a competitor once becoming an owner — now that’s loyalty.

    Let’s work to build a world of incentivized, aligned and motivated consumers, one where everybody wins and is a part of what they care most about. That is the future of alignment that extends beyond a single transaction, whether in the form of crypto, NFT, points or stock.

    David Nelsen

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