Branding and relationships issues in affinity and co-branded credit cards

Abstract

The use of the plastic card as an icon of the relationship between the card user and the cardholder continues to gain in popularity in what is increasingly a card centric society. In the credit card market, the growth in cards issued and value of transactions made is being fuelled by the growth of the affinity and co-branded credit cards. These cards involve a triadic relationship between the card issuer, the cardholder and the affinity partner group and this creates challenges concerning which brands appear on the limited ‘real estate’ offered by the face and reverse of the plastic card. The prospects for affinity and co-branded credit cards are excellent in all markets where the credit card is an established product and a better understanding of the branding and relationship issues that they create can only assist their development.