Pertinent Data Can Drive Improved Card-Linked Offers

Receipt- and SKU-level data can help make card-linked offers more relevant to consumers, but increased merchant participation is needed, Jehan Luth, CEO at data platform Banyan, told PYMNTS’ Karen Webster.

Read more: The Revival of Card-Linked Offers Rides on Receipts and Better Data

While banks and FinTechs have data from transactions, receipt- and SKU-level data can help merchants and financial institutions (FIs) develop offers that target consumers’ current interests and buying patterns.

See also: Merchants Benefit From Tailored Online Shopping

Bringing card-linked offers into the new era requires data that goes deeper than the current transaction-level information that banks and FinTechs have today, Luth told PYMNTS.

“They know you and I spent $50 at store X,” he said. “But none of them at scale have the items you and I purchased at that store, also known as SKU-level data or item-level data.”

Gleaning insights from deeper-level data can lead to the creation of offers that truly resonate with recipients. It’s SKU-level data at scale with the merchant’s participation, Luth told PYMNTS.

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Webster noted, however, that the expectations of issuers and merchants regarding card-linked offers aren’t always aligned. Issuers want top-of-wallet status regardless of where the consumer shops or what they buy there. Conversely, merchants are more concerned with the where and the what.

The space for card-linked offers made from granular SKU-level data is being overhauled with platform technology from companies like Banyan that address the needs of both merchants and issuers while delivering relevant deals to consumers.

“Think about your local grocery store,” Luth said. “It’s summertime. A lot of them want to drive traffic towards the grill section. What if a grocer could run a campaign that says, ‘Buy grilling equipment at grocer X and get 20% cash back.’”

“It’s not a specific item or charcoal made by this manufacturer,” he added. “It could be a category. It could be however the grocer wants.”