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Cards retail: advantages and disadvantages to a shop and the consumer

tarjeta de retail

A good way to reward the loyalty of your customers and also generate more revenue in the shop is through the cards retail Discover how to leverage this tool!

The store managers in the retail sector are always in search of new strategies to improve the profitability of the business and, to this end, all agree on the need to be able to provide the best customer experience.

The customer satisfaction comes hand-in-hand to provide them with a good service, with the most competitive prices in the market, but, in addition, you have to take into account the reward their loyaltyto achieve this, there is a very effective strategy, it is the cards retail.

Cards retail: how do they work?

A retail credit card is one that rewards your customers for the expenses made in the store. In the current market there are a variety of cards retail to choose from, depending on your pattern of expenditures and the type of stores that usually you make your purchases.

The benefits vary depending on each store. Some cards retail offer the money back. Other, allow you to accumulate reward points, as well as airline miles, among many other awards for his clients.

These points can be redeemed for various products, air tickets, special discounts, among other benefits. It really is very different to its use, as, in some cases, the cards retail reward the customer in their fuel costs, restaurants, leisure activities, or cards airplane.

Other advantages of its use

There are other benefits of the use of  credit card retail. You can Reward your customers based on how well you use your credit card.

The statements of account of the credit card are tools to help you track your expenses. To help you build a credit history, in addition to the rewards you for making purchases at retail every day.

For example, a good strategy customer loyalty  you can include a coupon for free welcome that also gives you reward points higher buy in the store and its affiliates (in the case of cards co-branded).

But it doesn't end there, as soon as your client more you spend, the more you will save on their purchases, and the reward points accumulated can be redeemed for discounts and other rewards.

Disadvantages of the cards retail

Although they are large of the benefits offered by the cards retail to clients, do not mean that everything is positive. Below we review some of their disadvantages in comparison to credit cards and conventional.

1. Credit limits

The credit cards in the shops, usually, you have credit limits low, the anger rising in function of their use. The advantage is that to be low limits it is easy for the consumer to reach it, giving rise to shop approve an increase in the consumption capacity much more quickly than the cards credit conventional.

gift card

2. Limited use

Unless they are co-branded cards, retail can only be used in a specific shop or on a network of shops of the same family.

Most of the retailers offer at least one credit card co-branding in addition to his exclusive card. However, the card is co-branded usually has qualification criteria more stringent.

3. Higher interest rates

In general, the credit cards shops have interest rates higher than normal credit cards.

The higher interest rate results in one of the main disadvantages, as it increases the debt of the consumer to the store.


The cards retail they are a valuable strategy of customer loyalty and, depending on the policies of each store, have advantages and disadvantages for financial consumers in Latin america.

From a perspective more positive, the cards retail allow, especially to the younger buyers with little experience credit, create a credit history.

In addition, credit cards, retailers often offer significant benefits, such as, store discounts and rewards for their use.

From the negative side, the cards retail, usually, they come with some of the higher interest rates in the industry and credit cards also tend to have credit limits low.

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