Bilt Partners with FIS for Enhanced Real-Time Rewards Redemption

Table of Contents

1. Key Highlights
2. Introduction
3. The Mechanics of the Bilt-FIS Collaboration
4. Implications of the Partnership
5. The Role of Data in Loyalty Programs
6. The Competitive Landscape of Loyalty Program Technologies
7. Future Developments in Loyalty Rewards
8. Conclusion
9. FAQ

Key Highlights

• Bilt has selected FIS to facilitate real-time rewards redemption, enhancing customer experience at checkout.
• The FIS Premium Payback solution enables consumers to redeem loyalty points instantly, offering immediate savings.
• With increased consumer expectations for convenience and technology-driven solutions, this partnership aims to meet the demand for more effective loyalty programs.

Introduction

In an economic climate marked by rising costs and cautious spending, loyalty programs are emerging as essential tools for consumer retention and business growth. An intriguing fact underscores this trend: according to a recent study by Visa, over 70% of consumers view rewards programs as a significant factor in their purchasing decisions. Against this backdrop, Bilt has made a strategic move that could redefine customer loyalty by partnering with FIS to power real-time rewards redemption. The announcement, made on April 3, 2023, signifies a crucial step in evolving the intersection between fintech and consumer rewards, promising enhanced value and a frictionless experience at checkout.

The Mechanics of the Bilt-FIS Collaboration

Bilt, a digital platform that enables users to earn and redeem loyalty points through everyday transactions, has teamed up with FIS to utilize its Premium Payback solution. This partnership is designed to connect issuers with merchants, allowing consumers to redeem loyalty points instantly at the point of sale. By eliminating the delays and confusions that often accompany traditional reward program structures, Bilt aims to offer a streamlined experience that aligns with modern consumer expectations.

What is the FIS Premium Payback Solution?

The FIS Premium Payback solution is designed to integrate seamlessly into payment systems, providing a real-time connection between loyalty programs and merchant offerings. This allows:

• Consumers to view available rewards instantly at checkout.
• A smoother transaction process by precluding the need for app downloads or lengthy sign-ups.
• Immediate savings, thereby increasing the effectiveness of rewards in driving purchase decisions.

Mladen Vladic, FIS's head of products and services for loyalty, emphasized the importance of effective technology in simplifying loyalty redemption. “An inadequacy in technology can complicate the experience cardholders have when redeeming points,” he noted, reflecting the need for efficient money movement in a complex payment landscape.

Implications of the Partnership

This collaboration holds several implications for both Bilt and the broader loyalty program landscape.

Enhancing Customer Experience

As consumers increasingly favor fast, mobile-friendly purchasing experiences, Bilt's initiative underscores the importance of technology in maximizing the efficiency of financial transactions. Research shows that a staggering 83% of consumers prefer loyalty programs that offer real-time redemption capabilities. In response, Bilt is positioned to meet these expectations head-on, shortening the lifecycle of loyalty points from earning to redemption.

Responding to Consumer Expectations

Bilt’s decision to partner with FIS aligns with ongoing market trends where consumers are demanding more control and flexibility in their loyalty rewards. Today's shoppers are accustomed to immediate gratification; thus, any friction in the redemption process can hinder engagement. The quicker a brand can provide value back to its consumers, the more likely it is to foster loyalty.

Case Study: The Rise of Mobile Shopping

A notable illustration of this trend is the 2025 Global Digital Shopping Index released by Visa Acceptance Solutions, which shows that a majority of consumers engage in mobile shopping. The findings suggest that the effectiveness of loyalty programs directly influences the decision-making process during these online transactions. Brands that successfully integrate loyalty rewards into the mobile shopping experience stand to gain a significant competitive edge.

The Role of Data in Loyalty Programs

As part of its efforts to enhance customer engagement, Bilt recently acquired Banyan, a platform specializing in item-level receipt data. This acquisition will allow Bilt to provide personalized rewards based on granular purchase insights, tailoring promotions to individual consumer preferences.

The Acquisition of Banyan: A Strategic Move

This strategic move to integrate Banyan’s capabilities into Bilt’s commerce network of 40,000 merchants amplifies the potential for personalized marketing campaigns. Bilt CEO Ankur Jain envisioned a future where neighborhood businesses leverage deep customer insights to foster loyalty in a way that transcends traditional e-commerce interactions. This approach underscores the significance of understanding local consumer behavior when creating targeted rewards programs.

The Competitive Landscape of Loyalty Program Technologies

In a rapidly evolving fintech ecosystem, the competition among loyalty platforms continues to intensify. Major players like FIS are not the only ones seeking to enhance customer experiences; others are investing heavily in technology that bridges the gap between consumers and merchants.

FIS and the Payments Ecosystem

FIS operates within a complex payments ecosystem, offering services that empower businesses to manage transactions effectively across channels. In doing so, they play a crucial role in helping businesses build and maintain loyalty through innovative tools that cater to growing consumer expectations. This is especially vital as retail continues to rebound from the pandemic's disruptions, reinforcing the need for adaptable reward structures.

Future Developments in Loyalty Rewards

As technology drives the evolution of consumer loyalty programs, Bilt's partnership with FIS is likely just one of many initiatives that will reshape the landscape. With advancements in payment technologies and data analytics, the future could see:

• Integration of machine learning to create hyper-personalized rewards strategies.
• Increased collaboration between fintech firms and traditional retailers to enhance customer engagement.
• A shift towards subscription-based loyalty programs that consistently deliver value to consumers.

Conclusion

Bilt's decision to partner with FIS represents a pivotal moment in the evolution of loyalty programs. By leveraging real-time redemption capabilities, Bilt is poised to meet the modern consumer's demand for immediate value, enhancing the overall shopping experience. With a focus on personalization through advanced data analytics, this partnership could set a new standard for the industry.

FAQ

What is Bilt and what do they offer?

Bilt is a digital platform that allows users to earn and redeem loyalty points through everyday transactions. It connects consumers with merchants to enhance the shopping experience.

What does FIS do?

FIS is a fintech company that provides a wide range of financial technology solutions, including payment processing, software development, and services for both banking and retail sectors.

What is the Premium Payback solution?

The Premium Payback solution by FIS enables consumers to redeem loyalty points instantly at the point of sale, providing immediate savings and eliminating friction in the redemption process.

How will Bilt's partnership with FIS affect consumers?

The partnership is expected to enhance consumer experience by allowing instant rewards redemption and personalized promotions based on purchase behavior, ultimately fostering greater customer loyalty.

What implications does this partnership have for the retail market?

This partnership signifies a trend towards more integrated and seamless loyalty programs, which could change how rewards are structured and how retailers engage with their customers, particularly through mobile platforms.