As competition for low-risk prospects heats up, cash-back credit card issuers must understand what features sway key demographics to sign up for a card. No annual fee, introductory rates, and rewards are central.
US cash-back credit card issuers will need to work harder than ever to attract customers in 2025 as credit card digital account openings are set to grow just 4.0%, per our forecast. As the post-pandemic boom in account growth ends, they will face headwinds, including increased credit card delinquencies and tightened lending standards.
Issuers can hone their acquisition strategies by identifying what cash-back credit card features key demographics want most. This can be especially valuable when focusing on lower-risk prospects.
In a July 2024 survey, we presented 1,305 US cash-back credit card prospects with 13 features that could sway them to sign up for a card and asked them to identify up to three that would be the most valuable. Here are four charts that reveal which features are most in demand, both overall and among key segments.
Avoiding an annual fee is the top priority by far for cash-back card prospects
Almost 62% of US respondents cited having no annual fee as one of the most valuable features associated with a cash-back credit card. Among the 13 features, it is a league of its own: No other feature was cited by more than 50% of respondents.
Here’s what’s in the full report
1file
Exportable files for easy reading, analysis and sharing.
4charts
Reliable data in simple displays for presentations and quick decision making.