Barclaycard is targeting mainstream everyday spend at supermarkets and petrol forecourts by offering double points and the ability to earn reward points on any and all purchases no matter where you shop is certainly an incentive to use Barclaycard for more purchases.
It may, however, struggle to differentiate against loyalty credit card initiatives offered by retailers. Asda recently launched a cashback credit card in line with its value positioning while Sainsbury’s launched two cards in partnership with Nectar offering loyalty points and cashback on purchases.
The benefits that the supermarkets have is that they are in a position to offer additional tactical rewards and promotions – which Barclaycard can’t offer unless it makes strategic use of its retail partners to create unique value for both its customers and its partners.
Freedom may also struggle against rival Mastercard’s Priceless programme which offers customers VIP experiences and added value offers above and beyond their spending.