Mastercard and Flybuys

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arun

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Coles Myer is planning to offer a mastercard. This will give 5 flybuys for every dollar spent everywhere and 2 bonus flybuys at ColeMyer stores.

My westpac (or AMEX or whatever) card will give me 5 altitude (or AMEX) points for every dollar spent and if I shop at Coles myer I will still get 2 flybuys if I flash my flybuys card. In fact, for air travel altitude points are more valuable than flybuys.

So what is Coles-Myer up to with this master card? Are they going to ditch the Coles-Myer store card provided by GE? Or will the master card compare favourably in terms of no annual fee and reward fee (flybuys have no reward fee) compared to other cards? If they do not charge annual fees, it could be a winner among low-spending group who do not want to pay any fees.

Apparently, Woolworths are threatening Mastercard for entering in to this arrangement as they have their Ezy mastercard.

Good to have competition. Only if we have a strong competitor for QF............
 
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