The furniture and home accessories giant has launched a new credit card with valuable rewards and perks – enabling shoppers to earn discounts on Ikea-purchased goods and build credit at the same time. Without fees or flexible interest rates, customers can apply the card for home necessities including utilities, gas, and food. To Increase home investment, Ikea offers 5 % return on all Ikea purchases like the Task Rabbit Construction, an installation service for efficient home furniture and appliance set-up. The card also allows for a 3 % discount on restaurant dining and streaming subscription services such as Netflix, Spotify, and Hulu. Promising a single fixed interest rate of 21.99%, Ikea hopes consumer confidence will increase in purchasing or investing in Ikea-made products.
Chief financial officer, Jacqueline DeChamps, shares an optimistic outlook for people looking to build their homes and produce healthy credit. By making this connection with the furniture store, they are able to save money and increase eligibility for loans.
The Ikea Visa rewards program is in collaboration with Alliance Data’s card in order to create financial investment products so people can afford to decorate or renovate their home. With a long-standing connection to the store’s loyalty rewards program, Ikea Family, cardmembers can still apply those perks retroactively in addition to the benefits of the new credit card.
For example, members can get a refund on products that depreciate in sale under 90 days and new customers will get $25 off their first Ikea purchase. To alleviate shipping fees, the furniture giant promises free standard shipping and home delivery service until August.