US banks have begun distributing targeted offers to their customers in partnership with major retailers.
The institutions, among them Wells Fargo, Citi, Sovereign Bank and Discover, are using the huge quantities of data they hold on customers’ purchasing habits to help brands target the most potentially receptive consumers.
In return, the banks take a commission every time one of the offers is taken up.
The system is in its infancy but could spread as relevance becomes key in the maturing daily deals and flash sale market. Banks hold extremely rich data and can automatically enrol customers to receive deals.
UK customers can expect to see this type of targeting soon, with Visa talking to more than 14 large card issuers such as U.S. Bank, Barclay, PNC and TD bank to start similar programs.