Eftpos and ING Direct join debit rewards push
Eftpos Australia has launched an incentive program offering a free glass of wine in participating restaurants and cafes when customers pay with eftpos.The program will run for six months, from the beginning of April, and is a follow-up to a similar program Eftpos Australia ran for a month last December.Eftpos Australia's chief executive, Bruce Mansfield, said the program, called eftpos+, may be expanded into other areas.The program is part of a trend towards offering incentives, rebates and rewards for debit card spending. Reward programs were once exclusive to the credit card market, but in the past year Bankwest, Citibank and ING Direct have all launched programs designed for their transaction account customers. And Qantas has announced a reward program for its new prepaid travel card.Debit rewards are modest in comparison with credit card reward programs. They tend to focus on small, everyday benefits.Last year, Bankwest launched a rewards transaction account that offers points on purchases. Account holders who deposit A$2000 a month and use their account for regular transactions pay no monthly fees and earn a voucher worth about $25 over a year. Customers can link their transaction account points with points they earn on a Bankwest credit card. They can operate the account using the bank's platinum debit card, which offers a 12-month extended warranty on purchases, and worldwide purchase security protection.Last month, ING Direct started promoting its Wave and Save program. The bank will pay a five per cent rebate on purchases to customers who use the contactless function on their transaction cards (the maximum purchase amount using this is A$100). The offer, which is open to both existing customers and the first 30,000 new customers who sign up, runs until the end of June.Citibank has a dining program that offers customers a free bottle of wine at participating restaurants. To qualify, customers must pay for their meal with either a Citibank credit or debit card.In a related move, Qantas joined forces with MasterCard and Heritage Bank earlier this year to launch what it claims is the first prepaid travel card with a reward program.The new card, Qantas Cash, has the usual functions of a prepaid travel card and holds up to nine currencies. The card will be launched later this year. Details of the program are yet to be announced.