From a banking standpoint, ANZ asks which programs can genuinely deliver financial wellbeing to our customers as well as provide novel and welcome solutions for them.
"The next step in the development of our relationship will take place in mid-2021 with the launch of Cashrewards Max.”
We’re in the early stages of one such program which, we believe, will be a win-win for us as an organisation and for our customers by delivering them something unique.
In December last year we took a 19 per cent stake in Australian Stock Exchange-listed Cashrewards, a business seeking to become the default ecosystem for cash payback schemes in Australia. It works by crediting members a percentage of what they spend as cash back when they shop at any one of more than 1,700 merchants including Apple, Myer, Liquorland, Adidas, Bonds, Target and The Iconic.
Cashrewards’ one million customers can save those funds and direct the savings to their bank account to withdraw as cash or spend across the Cashrewards eco-system.
To the max
The next step in the development of our relationship will take place in mid-2021 with the launch of Cashrewards Max – a specialised program for eligible customers across ANZ’s 4.7 million credit and debit cards. They will receive a higher cashback amount than regular members, will be paid sooner than standard Cashrewards customers and be given access to exclusive retail experiences.
A key part of ANZ’s strategy is ensuring the financial wellbeing of our customers, which is core to our purpose. We already know well over half our customers have what we call a 'saver mindset'.
This means they have a propensity to save, compared with people described as ‘spenders’. Savers make up about 40 per cent of the Australian population but they account for as much as 80 per cent of assets (depending on the asset class).
Savers are also more likely to set savings goals and those who do save nearly 200 per cent faster than those without a specific goal. Our data suggest a quarter of our customers who set savings goals are saving for a home.
The exciting thing is we can interact with those savers and help them achieve their aspirations more quickly. We start that journey with them as they work towards what will likely be the biggest investment of their lives.
Buy now, save now
Cashrewards Max acts like a piggy bank from where customers can apply the savings they make to subsequent purchases. And purchases don’t have to be with the same merchant so the scheme provides a lot of flexibility. Customers can save towards their intended goal whether it be a new home, new car, kitchen renovation or a top of the range mountain bike. Or anything….
In that way, Cashrewards Max helps our customers’ financial wellbeing. They can 'buy now, save now’ through a flexible program. Over time, as customers give us consent, we can help personalise the offers to better suit their interests. Customers will start to see rewards more tailored to their individual shopping habits, thus delivering something increasingly relevant to them.
We recently launched a staff pilot of Cashrewards Max and within a few hours about 1,000 people had signed up – evidence this program will be of interest to many of our debit and credit card holders, helping their financial wellbeing by saving a little bit each time they make a purchase.
Emma Gray is Group Executive for Data and Automation at ANZ