ASDA: Poor returns on credit card reward schemes

Nigel Costello, Head of Card and Loans, ASDA Financial Services suggests ‘try something new' with a card that delivers real value at the point of sale (or instantly) .

Nigel Costello: It's not often that ASDA agree with Sainsbury but we do share the opinion that the 'credit card industry has a lot of work to do if customers are really going to feel that their reward schemes are worth having'

Where our view differs is that I'm not sure why the Nectar card should be excluded from this criticism. To me it sits right alongside point collecting cards that still relies on customers to redeem.

At a time of rising costs and belt tightening, customers demand something that gives them direct relief from the credit crunch. The ASDA credit card currently offers 2p off a litre of fuel, free delivery on home shopping over £99 and gives 5% discount at our ASDA Living stores.

For example, if a customer applied for an ASDA Credit card, in 12 months they would see a saving of £187 and that's not including what could be saved at ASDA Living. These are benefits that directly impact on what people have in their wallet."