Among other rules, the act restricts issuers' ability to change interest rates, which has put a damper on the low-interest promotional offers that have long been a marketing mainstay. Direct mail "is still just one channel for us, instead of the main channel as it was for the card industry for many years."Ĭobranding is a good way to cope with the card industry's new limitations under the Credit Card Accountability, Responsibility and Disclosure Act, most of which went into effect earlier this year, Young said. "We will still market credit cards at tables at events and through direct mail," Young said.
#BAYCARD NFL CARD PLUS#
B of A also offers the Major League Baseball Extra Bases MasterCard credit card and the NASCAR Race Points Platinum Plus Visa credit card.įor Barclaycard, the NFL credit card deal provides an opportunity to reach new customers through different channels, Young said, including online promotions, at stadiums, direct mail, e-mail and telemarketing. "The industry learned the hard way that just slapping brands and credit cards together doesn't always work," Riley said.ī of A declined to discuss why it parted ways with the NFL, and it continues to offer other sports-themed cards, including debit cards featuring the logos of four NFL teams - the Washington Redskins, the New England Patriots, the Carolina Panthers and the Dallas Cowboys. recently announced it will no longer issue its cobranded Target Visa card to new customers. earlier this year ended its cobranded Starbucks Duetto Visa card after seven years. Under the credit card industry's new pressures, keeping both parties happy in a cobranded credit card relationship is increasingly difficult, Riley said. "When things aren't working, issuers can get burned."
… The mix of benefits has to be just right so both sides are happy," Riley said.
"Cobranded relationships can be tricky because the card's fate is tied to another retail concept or a brand. The five-month gap between the shuttering of B of A's program and the launch of Barclaycard's new NFL program could alienate some football fans, underscoring one of the risks of cobranded card programs, said Brian Riley, a research director at TowerGroup. It is planning to introduce in September a new cobranded NFL card program that will offer affinity cards for the NFL's 32 teams and will let cardholders earn rewards such as NFL products and tickets to games.īank of America is planning to convert its existing NFL cardholders to other B of A cards. discontinued in April after a 15-year run.īarclaycard in June announced plans to take over the NFL credit card licensing contract for an undisclosed sum. One of the most immediate challenges for Barclaycard is resurrecting the National Football League's cobranded credit card program, which Bank of America Corp.
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