Retail

IKEA Rolls Out Rewards Credit Card

Ikea

Following moves by Amazon and Uber, IKEA is rolling out its own branded credit card. The new Visa card will offer 5 percent in rewards for IKEA purchases, including in-home assembly services and kitchen installation, MarketWatch reported.

The rewards, however, can’t be spent just anywhere: Cardholders must redeem the rewards at IKEA. The card also comes with some additional perks for IKEA purchases. For example, customers will be able to get free standard shipping for purchases made within IKEA stores until the end of August if they use the card. The card, which was in the works for about two years, is issued through Comenity Bank. IKEA also partnered with Alliance Data to create the card.

IKEA is hardly the only retail-focused company to roll out its own branded credit card. In October, for instance, Uber announced news of the launch of its Uber Visa Card, which is a credit card with no annual fee. In a blog post, the company said it created the card with its riders in mind, after speaking with them about how and where they spend their money and what they want from a credit card.

The result was the Uber Visa Card, which enables users to earn rewards on all of their purchases. The reward points increase when the credit card is used on meals, booking a trip, shopping online or hailing an Uber ride. Users can redeem the rewards for Uber credit, cash back or choose from a variety of gift cards. The card also comes with an annual $50 subscription credit that can be used for other services, including Spotify, Netflix and Amazon Prime memberships.

Cardholders also get coverage if their smartphone is stolen or damaged, and they will receive invites to events, secret shows and dining experiences, Uber said in the blog post. Uber tapped Barclays to offer the new credit card.

——————————

PYMNTS LIVE ROUNDTABLE: TUESDAY, JULY 14, 2020 AT 12:00 PM (ET)

Digital transformation has been forcefully accelerated, but how does that agility translate into the fight against COVID-era attacks and sophisticated identity threats? As millions embrace online everything, preserving digital trust now falls mostly on banks and FIs. Now, advances in identity data and using different weights on the payment mix afford new opportunities to arm organizations and their customers against cyberthreats. From the latest in machine learning for fraud and risk, to corporate treasury teams working in new ways with new datasets, learn from experts how digital identity, together with advances like real-time payments, combine to engender trust and enrich relationships.

TRENDING RIGHT NOW