Capital One Launches Walmart-Branded Cards

Capital One and Walmart have teamed up to create the Capital One Walmart Rewards Credit Card Program. The program features two Walmart-branded Chase credit cards that offer discounts to shoppers and provide special benefits for online shopping.

Capital One will support the program with a co-branded Walmart Rewards Mastercard for purchases made everywhere in addition to a Walmart-only card, the Walmart Rewards Card. Both offer discounts and other benefits.

Key features of the Walmart Rewards Mastercard include:

• 5% discount on e-shopping purchases at walmart.com, including Walmart Grocery pickup and delivery.
• 5% discount on in-store purchases when using Walmart Pay for the first 12 months.
• 2% discount on Walmart purchases after the first 12 months.
• 2% discount on restaurant and travel expenditures.
• 1% percent discount on other purchases.
• No annual fee and no foreign transaction fees.
• Purchases earn points toward travel, gift cards, and Walmart discounts.

The Walmart Rewards Card is for making purchases at Walmart. Features include:

• 5% discount on purchases made at walmart.com and on the Walmart smartphone app.
• 5% discount on Walmart purchases for the first 12 months.
• 2$ discount on later Walmart purchases.
• 2% discount at Walmart gas stations.

The cards are the foundation of a Walmart loyalty program intended to promote customer retention and increase sales. The program gives Capital One access to nearly 265 million Walmart Customers operating 11,200 stores in 27 countries. Walmart concludes $36 million in sales every hour, around the clock. The loyalty program could help Capital One capture a substantial share of that business.

High-tech benefits distinguish the Walmart/Capital One program from traditional loyalty programs. For example, customers can begin using their Walmart Rewards Mastercard credit cards immediately upon approval, without waiting for the card to arrive in the mail.

Cardholders can use a number of other digital tools from Capital One, including real-time purchase notifications, security alerts, 0% fraud liability if the card is lost or stolen, and the ability to lock and unlock cards directly through the Capital One mobile app.

Current Walmart cardholders will be automatically converted to the new cards. They’ll start earning rewards October 11 and receive updated cards in the mail in early November, Walmart says.

Photo: Bobby Hidy / Wikimedia Commons