Bank of America is testing a new Groupon-like service that offers its customers online discounts based on their previous spending. This example of banks taking on internet business models to attract new customers and increase credit card activity shows the changing face of the business world.
Reuters reports that these “BankAmeriDeals” will be tested with Bank of America employees starting this week. Customers will receive offers through the bank’s website and the discounts will be awarded in the form of monthly cash payments. Here’s more detail on how it works:
When customers log in to Bank of America’s online banking site, they will see discount offers — a percentage off the amount spent at a retailer — embedded in their statement and under a separate tab. They can accept the offers they want to use. When customers make their purchases, they pay full price, but at the beginning of the next month they receive cash back in their accounts.
Customers will be able to choose whether they receive alerts about offers and how much money they’ve saved or they can opt out of the service. BankAmeriDeals differ slightly from deals services offered by companies such as Groupon because the discounts are based on past spending patterns at specific stores. Also, they don’t require customers to print out coupons and no advertising sales are sent to your email address.