With the launch of the UK’s first major contactless pre-paid card, telecommunications giant Orange is causing much debate in the financial services sector. Janet Titterton, director at Collinson Latitude, a global provider of incremental revenue products and services, believes the innovative move is to be applauded, and says: “The ‘Orange Cash’ pre-paid contactless card clearly represents a technological answer to a customer service goal. Among many virtues, the card will allow customers to make fast payments on the high street, without the worries of carrying cash or spending beyond their budgets. These qualities are particularly ideal for first-time card users. And by allowing customers to manage the ‘Orange Cash’ card from their phones, people can keep up-to-date on transactions and activity at any time, wherever they are.
“More than that, however, Orange clearly understands the extreme importance of securing customer loyalty. Orange already offers a contactless credit card, so the company is not moving into contactless banking for the first time here, but ‘Orange Cash’ clearly extends the company’s reach. The key is to ensure card users recognise the value in the relationship. Given that ‘Orange Cash’ can be used in over 30m locations that accept MasterCard – in the UK, abroad and online – we can safely assume that cardholders will be regularly using ‘Orange Cash’, and enjoying the consequent benefits, throughout their (shopping) lives. When your customers feel rewarded by a relationship with your company on a daily basis in that way, loyalty is sure to follow.”
Where next for ‘Orange Cash’? “At present,” continues Titterton, “the reward points earned by using ‘Orange Cash’ can be spent on Orange-related products and services, including texts, airtime, credit and Orange shop vouchers. Further enhancement could be the inclusion of third-party benefits in the rewards package too. Orange holds a wealth of consumer-specific information, so customising benefits packages with targeted products and services is a real opportunity.”