MasterCard and Cardlytics have announced an agreement to deliver targeted card-linked services to US banks of all sizes. The new partnership will match Cardlytics card-linked marketing solutions and advertising expertise with MasterCard's bank partners and its offers and rewards platform to deliver a solution that is unsurpassed in the loyalty business. This article is copyright 2015 The Best Customer Guide.

Consumers continue to show a growing preference for card-linked loyalty offerings. According to Mercator Advisory Group, merchant-funded rewards drove approximately $4.7 billion in U.S. credit card purchases in 2014 and are expected to grow at an annual rate of 20% through 2020.

Consumers now have the ability to receive relevant, location-based offers and rewards seamlessly through their preferred digital channel - be it a mobile device, personal computer or other form factor. With card- linked programmes, the consumer simply makes a purchase with a U.S.-based debit or credit card, and the cash back reward is automatically deposited into their bank or card account or via statement credit.

MasterCard will tap into Cardlytics' advertiser network to help its bank partners deliver more compelling consumer offers both online and via mobile. Not only is this expected to drive use of these channels, but should also provide an opportunity for banks to increase card spend and usage while fostering its existing consumer relationships.

The two companies will go to market with a joint solution providing multiple implementation options to make it easier for banks to integrate with the programme quickly, regardless of their size.

"Card-linked marketing is a frictionless way for consumers to get more value from their shopping experience, and for merchants to drive more sales at a higher return on their advertising dollar," said Christopher Bond, SVP Loyalty Solutions at MasterCard. "By partnering with Cardlytics, we can provide a proven, loyalty-driving solution to our partners in the form of a compelling offers programme with high-quality advertisers, and reward consumers based on the kinds of purchases they're making already."