Did you know that the credit card companies are on top of their game when it comes to attracting a new kind of customer? What this means is that they have changed the way that they do business to offer more in the way of rewards that people have stated that they really want.
Travel Rewards Are Down, Streaming Services Are Up
The credit card industry just like every other industry out there is seeking to attract a younger kind of consumer for their products. They want to do this because they know that younger people are going to fuel the economy going forward. Not seeking this kind of customer means that they are simply falling behind, and no one wants to do that.
Millennials and those who are even younger have spoken loudly and clearly to the credit card companies to say that they are not particularly interested in rewards points that earn them free travel. Instead, what they want to receive are rewards that help them pay for things that they use such as streaming services like Netflix and Hulu.
People Are Traveling Less But Viewing More
The term “staycation” may not be familiar to you, but you probably have had one. This is when a person decides to take some days off of work but not to travel. They instead decide to stay at home in order to relax and perhaps get some things done that they have been putting off. Another reason why some decide that they will stay at home is simply because they don’t have the funds to travel.
While you might think that rewards points for travel would help people in that situation out it really doesn’t. There is more to travel than just the cost of the flight itself. Therefore, those rewards points often go unused and unappreciated. However, rewards for streaming service payments are very much appreciated.
Staying at home more and enjoying in-home entertainment is quite common. People like to kick back and enjoy some of their favorite shows on their favorite streaming service. They appreciate it even more if that service is being paid for by their credit card rewards points. This may only save them ten or twenty dollars per month, but that adds up throughout the year.
Getting Paid Back By The Cards
At the end of the day the rewards work as a payback scheme that allows the cardholder to receive their funds as cash back from the credit card companies. It is pretty amazing to see this in action. They sign up for the streaming service that they want and then get their cash back at the end of each month.
Different cards earn different reward amounts and it is important to check out all of the terms and conditions that are tied into this, but overall it is a winning proposition for those who know how to balance their checkbook and stay on top of their card payments each month.