B2C Card Propositions in European Forecourt Retailing
21 October 2008
by companiesandmarkets
-- last modified 21 October 2008
Fuel retailers continue to offer a range of cards for their private customers
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| Price |
£1495 |
| Publisher |
companiesandmarkets.com |
| Publication date |
07 February 2008 |
| Available from |
Dispatched and sold by companiesandmarkets. |
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Fuel retailers continue to offer a range of cards for their private customers. As they have had to respond to card markets at different stages of maturity, propositions are very fragmented ranging from schemes that provide rebates, to multi-retailer loyalty programmes and co-branded credit cards. This brief examines the different types of customer cards available.
Scope
*Profiles of fuel retailer customer cards across 9 European markets, including data on fuel discounts and third party relationships.
*An overview of the levels of fuel discount offered and a discussion of how the necessity to offer fuel discounts varies between markets.
*Insight into how fuel retailer-affiliated card propositions with a large number of partners can increase the usefulness of the cards to customers.
*Examples of how fuel retailers have used cards to encourage customers to make higher value purchases.
Highlights
Most fuel retailer card propositions do not offer rebates on fuel; fuel retailers are more likely to allow points to be redeemed against shop products. However, some supermarkets and fuel retailers with smaller networks have been motivated to offer discounts on fuel. These range from less than 1% to 5%.
Fuel retailers should use their cards to encourage existing customers to make purchases that they otherwise would not have. Shell in the UK has been particularly innovative in this respect. It offers selected card holders double points on purchases of its premium fuel.
In markets that have a high usage of credit, it is advisable for fuel retailers to launch a co-branded credit card. One of the main benefits of a co-branded credit card is that the fuel retailer retains a proportion of the card revenues generated which in turn can be used to fund higher discounts on fuel.
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