In the context of affinity cards, what do card issuers generally provide to affinity organizations?

Card issuers typically provide affinity organizations with a percentage of all cardholder transactions as a form of revenue sharing. This arrangement incentivizes organizations to promote the affinity card to their members, as they receive financial benefits based on the usage of the card. The revenue generated from transactions is often used by the affinity organizations to support their programs, initiatives, or causes. This model aligns the interests of both the issuer and the affinity group, fostering a collaborative relationship that can enhance cardholder engagement and increase overall transaction volume.

While free marketing materials may be provided to support the promotion of the card, the primary financial incentive is the revenue share based on cardholder spending. Insurance for all cardholders is not a standard offering from issuers to affinity organizations. Additionally, contracts regarding exclusive rights for card issuance can exist, but they are not universally provided in every affinity card arrangement. The focus on transaction-based revenue shares represents a core component of the partnership between issuers and affinity organizations.