Citi scoops up card rewards firm

Citigroup has acquired Kard, a fintech startup that specializes in connecting rewards programs directly to merchant offers. For retailers and operators, this signals a major shift in how big banks are trying to drive traffic to your stores. Instead of passive cash-back programs, Citi is building a more integrated ecosystem where cardholders receive highly targeted, real-time offers from specific merchants. This acquisition is a response to the growing dominance of BNPL providers and specialized fintechs that have mastered the art of merchant-funded rewards. By bringing Kard’s technology in-house, Citi aims to make its credit cards more competitive at the point of sale. If you currently accept Citi cards or participate in their merchant network, expect to see more sophisticated tools for targeting customers based on their spending habits. The goal is to move beyond simple financing and into a space where the bank acts as a marketing partner, helping you drive repeat business through integrated loyalty tech. This move suggests that traditional lenders are no longer content just providing the credit; they want to own the customer relationship and the data that drives the initial purchase decision.

Source: Payments Dive

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