Banks Promoting More Rewards: Mintel

In the first three quarters of 2009, nearly a third of banks (31%) were offering rewards via direct mail for checking customers, compared to just 13% in 2007, according to new analysis from Mintel Comperemedia.

“Taking a cue from credit card issuers, many banks have started offering rewards for daily purchases, said Susan Wolfe, vice president of financial services at Mintel in a statement. "Consumers feel tapped out financially, so they want more bang for their buck."

Wolfe cited Citibank's ThankYou Network – promoted in both customer acquisition and retention mailings -- as leading the industry in innovation. She also pointed to Capital One, which launched a rewards checking account in late 2008, allowing customers to combine rewards from credit and checking to earn points faster.

“As the industry recovers from recession, banks will look for ways to make their customers more loyal and profitable," said Wolfe. "Rewards programs will likely be part of that solution.”