Top 5 Reasons Your Incentive Should Swap Checks for Prepaid Cards

If you are using checks as a payment solution for your incentive or reward program, it might be time to make the switch to Prepaid Cards. Here are five reasons Prepaid Cards make a better incentive and reward program solution than checks:

A smart alternative to paper checks, Prepaid Cards are an ideal solution for organizations interested in a cost-effective, quick, and memorable way to reward their employees, customers, dealers and channels members. With a wide array of solutions, Prepaid Cards are a perfect fit for:

  • Rebates/Refund Programs
  • Consumer Promotions
  • Loyalty Rewards
  • Employee Rewards
  • Channel Incentives
  • Sales Incentives
  • Safety Rewards

 

Looking for more on Prepaid Cards? Keep reading:

Is the “Veruca Salt Complex” Influencing Gift Card Trends?

A Look at Prepaid Cards in Incentive, Rewards and Recognition Programs

 

For more information on Prepaid MasterCard® Solutions and how they can be customized to your goals, give us a call at 800.343.4546, or email us at jnrinfo@jnrcorp.com.

 

By JNR Incorporated

Written by Kelly Woolsey

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JNR Incorporated is a results-based, globally recognized leader that specializes in creating custom travel, meeting, event, prepaid card and merchandise programs that motivate, engage and inspire the employees, customers and channel members of our clients. We have over 30 years of experience working with Fortune 500 companies of many diverse industries. Our programs are tailored to fit the specific needs of marketing, sales, management and human resource professionals. The unique solutions we apply are measurable and proven to increase performance, loyalty and revenues.

 

Prepaid Debit Cards Are Effective Incentive and Reward Options

Prepaid debit cards are a specific type of gift card pre-loaded with a fixed monetary amount. In 2012 alone, $77 billion worth of transactions took place using these rectangular pieces of plastic. It is not surprising that businesses of all types are reaching out to reward both consumers and employees with prepaid cards and their popularity continues to soar. Curtis Arnold of Forbes cites 9 creative ways to use prepaid debit cards in a recent article including: door prizes, employee incentives, event attendance, blog giveaways, and tax refund payments. We want to focus on the effectiveness of these cards in the recognition of not only employees, but also customers, dealers and channel sales personnel.

Over half of the companies that give out non-cash rewards utilize some type of gift card. There are three basic categories. The first type is a debit card offered by credit card companies or banks that can be spent virtually anywhere credit cards are accepted. It is usually pre-loaded with a fixed amount, but sometimes able to be recharged. The second is a retail or manufacturer gift card offered by household name retailers, hotels, airlines, and restaurants. These are typically valid for face value and customizable with company logos or specific product imagery. The third type is a debit credit card. These cards appear to be a standard credit card issued in the user’s name. There is a fixed amount deposited toward the card balance initially and can be spent anywhere credit cards are accepted.

There is an ease of use and flexibility that comes with prepaid cards that benefit the recipient as well as the issuer. Aside from the more obvious sense of appreciation that comes with receiving a gift of material worth, a less obvious response is now being recognized as well. Confidence is an underlying form of appreciation when someone is given a card in his or her name that, due to the economy’s impact over the last seven years, may not have the opportunity to use a credit card otherwise. This provides a level of self-assurance that cannot be replicated with cash rewards and in return, loyalty.

On the issuer’s side, a prepaid card comes with straightforward shipping, customizability, the simplicity of recharging a card without incurring the cost of a new card each time, and an inimitable display of gratification for one’s patronage. Prepaid cards can be used in a multitude of programs at all levels producing a sense of fulfillment and motivation across the spectrum from sales incentives to non-profit event attendance motivators.

The pros of gift cards include:

  • A Plethora of Options – Nearly every retailer and many consumer product manufacturers and travel-related companies offer gift cards.
  • Wallet Power – Unlike cash, these cards will often stay in the wallet of the recipient for an extended period of time, serving as a constant reminder of the generosity from the issuer on the branded card.
  • Ease of Distribution – Shipping a card in the mail is extremely quick, easy and inexpensive.
  • Ease of Use – A majority of cards can be used online or at retail outlets.
  • Popularity – Prepaid cards are the most common gift for recipients. An impressive 44% of IRF survey respondents said that prepaid cards were their favorite type of award. When given the choice between a prepaid card or cash equivalent, five times as many respondents chose the prepaid card. Further, over 71% of respondents said that gift cards are either the “best of all gifts/rewards” or “a good gift/reward” while only 8.47% said they would rather have cash.

When you break it down, the pros of prepaid cards make it a worthy investment for any company or organization.

The prepaid debit card industry is booming for good reason and you need an expert in the field to walk you through the process of effectively using cards and effectively growing your ROI. If you are interested in learning more about a JNR Incorporated prepaid debit card program, please send us an email at jnrinfo@jnrcorp.com. We will fill you in on how we have been leveraging our relationship with MasterCard® rewarding the employees, customers, and channel personnel of our Fortune 500 clients to consistently exceed their expectations.

To read more on prepaid debit cards, check out our research here.

By JNR Incorporated

Written by Kristopher Hewkin

Solve The Holiday Gift Giving Dilemma With Prepaid Reward Cards

Reviewing the successes and accomplishments of the year often brings to mind key people who made it all happen. Let employees, suppliers, vendors and friends know you appreciated all the hard work and effort they put into the past year by giving branded Prepaid MasterCard® Reward Cards to create a lasting impression.

If you hand an employee a $20 bill as a gesture of appreciation, the emotional gratification lasts anywhere from 12-15 seconds. The cash goes into a wallet and disappears among identical $20 bills, most likely to be spent on a routine or ho-hum purchase. Prepaid Reward Cards create a longer-lasting impression while providing flexibility and convenience. When your gift recipient pulls out their branded Reward Card to pay for a purchase, your appreciation is reinforced, and a sense of ‘trophy value’ is achieved.

This year, give a gift of thanks that your recipients will remember as well as enjoy. Contact JNR Incorporated at jnrinfo@jnrcorp.com to order custom branded cards just in time for the upcoming holidays.