Blackhawk Expands Partnership With Kroger for More B2B Gift Cards

Global payments provider Blackhawk Network is expanding its partnership with Kroger to offer prepaid Mastercard and Visa cards in bulk through its Software-as-a-Service (SaaS)-based Velocity B2B gift card service, the companies announced Monday (Feb. 7).

This offering will help boost Kroger’s growth in the B2B gift card space, giving businesses a new way to reward and incentivize employees. It will also give more options for organizations wanting to help those in need, per the release.

The Kroger cards are available within the U.S. and can be used anywhere Mastercard or Visa are accepted, either in-store or online.

“With the overall growth in demand for gift cards over the last year, the business-to-business gift card market represents a tremendous growth opportunity for our business, and we’re always looking for additional ways to enhance our offerings,” said Kate Ward, president, Kroger Personal Finance.

“By adding Mastercard and Visa prepaid cards to our corporate gift card program, we’ve been able to offer our existing B2B partners more choice while also extending our ability to sell to additional customers, including more charity partners that look to our bulk gift card offerings for an easy way to make a big impact,” Ward continued.

Meanwhile, Tom Boucher, head of Velocity B2B, said there’s still “a lot of room to grow” in the B2B gift card market.

“As more businesses make the switch from physical gifts to gift cards for promotions, rewards, incentives and even charitable distributions, an increasing number of organizations will look to sharpen their focus on capturing more of the rewards and incentives gift card space,” Boucher said.

PYMNTS wrote that Blackhawk also recently teamed with grocery retailer Carrefour Group to help manage its branded third-party gift card program in several countries.

See also: Carrefour Taps Blackhawk Network for Branded Gift Cards

Carrefour will offer the gift cards from both international and local brands, and it will include retail companies and gaming and entertainment platforms.

The collaboration aims to provide global efficiency and growth from a “unified approach,” and Carrefour will increase its cooperation with leading brands.