Increasing Productivity in Your Store: Credit Card Applications

Part I

Credit cards are an important part of the retail industry. From American Express to Visa, customers prefer to keep their cash in their wallets and use their charge cards to pay for almost any purchase. Many people use their credit cards for convenience. Others may use it because they earn rewards. Some may even use it to build their credit. Whatever the case may be, credit cards assist and encourage people to spend money on a wide variety of purchases.

Store credit cards are no different. Virtually every retail chain store in existence offers their own store credit card. At Starbucks this morning, I saw an advertisement to get a Starbucks Visa and earn free coffee. Store credit cards give customers a way to spend money on one card in just one store. You wouldn't be able to use your JC Penney credit card at another department store. This encourages customers to spend money in a specific retail store, especially when the store offers special privileges and discounts to cardholders.

Store credit cards aren't just beneficial to the customer; they are also beneficial to the store. When holding a credit card for a specific retail store, customers are much more likely to shop at that store for what they are looking for what they want before going into any other store. This increases the potential for sales in said store. When given coupons, discounts, and other promotions and privileges, consumers are even more likely to go to the store where they are a cardholder. More customers mean more volume. More volume means more profit.

So, we have glossed over the benefits for the customers and the stores involved. What about the most important people involved? That is the sales associate, of course. The sales associate is the liaison between the credit card company and the customer. The sales associate offers the customer membership and provides details on all of the privileges that cardholders receive. It is the sales associate's job to entice the customer to open a credit card account, as well as to use it.