https://techcrunch.com/2022/05/02/concerto-snags-21-2m-to-bring-co-branded-credit-cards-to-more-brands/

Co-branded rewards programs like Amex’s longrunning Delta partnership are a major factor in consumers’ credit card decisions. According to a GigaPoints/Ipsos poll, over half of Americans say that earning points makes them want to use their credit card more often. In a separate survey (conducted by Finder), close to a third of respondents said that they’ve used a credit card solely to rack up rewards points.

But building these programs can be challenging from a brand perspective. If chargeoffs (i.e., debt unlikely to be collected) rise, the programs — particularly if operating on tight margins — can become financially strained. Questions typically also crop up around whether the programs should be jointly managed (e.g., by the issuer and brand) and how profit sharing arrangements are to be structured.