Ahead of the weekend, BIA/Kelsey released a new Insight Paper that highlights “industry confidence in the growth of card-linked offers (CLOs).”
CLOs represent a marketing tool that is a possible alternative to advertising, the report explains.
“CLOs are marketing offers that are intelligently targeted to consumers based on credit card, debit card or loyalty card transactions,” the report summary reads.
Among the key findings outlined in “Status and Review of Card-Linked Offers, 2015,” CLOs are demonstrating momentum and staying power. First, however, CLOs – like any new technology – need to get past a number of startup hurdles.
In BIA/Kelsey’s assessment, “the technology must be made seamless; sales channels need to adjust to accommodate them; and merchants and consumers must be incented and motivated to use them.”
“Since their introduction in 2008, some of the original scenarios for CLOs have changed and business models have shifted,” said report author Peter Krasilovsky. “The jury is still out on their long-term success. But the industry seems poised to make an impact.”
More information about the Insight Paper can be found here.