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A proximity card or prox card also known as a key card or keycard is a contactless smart card which can be read without inserting it into a reader device, as required by earlier magnetic stripe cards such as credit cards and contact type smart cards. The proximity cards are part of the contactless card technologies. Held near an electronic reader for a moment they enable the identification of an encoded number. The reader usually produces a beep or other sound to indicate the card has been read.

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40-450: My Nintendo is a loyalty program provided by Nintendo and the successor to Club Nintendo . The system allows players to earn points from using software or purchasing games, which can then be spent on rewards such as digital games or discounts. The program launched worldwide in March 2016, releasing alongside Nintendo's first mobile app, Miitomo . My Nintendo was originally the name of

80-402: A plastic or paper card, visually similar to a credit card , that identifies the cardholder as a participant in the program. Cards may have a barcode or magstripe to more easily allow for scanning, although some are chip cards or proximity cards . U.S. supermarkets often issue two copies of the card: one credit-card sized and one that fits on a keychain, in addition to providing access to

120-400: A 10% discount off most merchandise. There is also a free tier which does not offer such discounts but does allow members to collect virtual "stamps" (i.e. loyalty points). Depending on the program, rewards may take the form of: In addition to rewards, loyalty cards were may also be used identify consumers for benefits and other services, e.g.: Programs with cashback features give customers

160-471: A given customer's favorite brand of beer, or whether they are a vegetarian. As of the mid-2020s, loyalty program trends include: Loyalty programs are a means of implementing a type of what economists call a two-part tariff . Co-operative Membership: the Co-op Group offers a 2% (previously 5%) refund to members on Co-op branded products with 2% also going to the cardholder's nominated charity. This

200-408: A greater range, up to 2 meters (6 ft). Other contactless technologies like UHF (Ultra High Frequency) smart cards can reach up to 150 meters (500 ft) and are often used for applications where the card is read inside a vehicle, such as security gates which open when a vehicle with the access card inside approaches, or automated toll collection . The battery eventually runs down, however, and

240-497: A loyalty program (even with a fake or anonymous card) funds activities that violate privacy. Consumers have also expressed concern about the integration of RFID technology into loyalty-card systems. One may view loyalty and credit-card reward-plans as modern-day examples of kickbacks . Employees who need to buy something (such as an airline flight or a hotel room) for a business trip , but who have discretion to decide which airline or hotel chain to use, have an incentive to choose

280-448: A mobile app to present their loyalty account number, although criticized for being unfriendly to people without smartphones including many elderly people, benefits the merchant in a number of ways. It lets them present special offers to the customer (or even push them via push notifications ), tailor customer experience to the individual consumer, and understand customer behavior better, including their purchasing amounts and patterns. At

320-472: A physical point of sale, presenting a physical or digital card is not necessary at many U.S. merchants, if the customer enters the phone number associated with the account on a terminal or tells it to a cashier who enters it into the register. When purchasing online, customers usually must log in to the account on the merchant's website. However, when purchasing airline tickets from online travel agencies, customers can usually enter their airline loyalty number into

360-493: A portion of the money that they have spent with a business (usually a defined percent which may be higher than usual during promotions). The "cash back" is rarely actually cash money, but rather takes the form of a transfer of the "cashback" amount to the customer's bank account. Examples in the U.S. include Rakuten Rewards , a coalition reward program, and many banks that give their clients cash back for using their debit cards to pay for various products and services. Depending on

400-508: A range up to 10 cm (4 in). The related ISO/IEC 15693 ( vicinity card ) standard typically works up to a longer range of 100 centimetres (39 in). The reality is that ISO/IEC 14443 as well as ISO/IEC 15693 can only be fully implemented on microprocessor-based cards. The best way to check if a technology meets ISO standard is to ask the manufacturer if it can be emulated on other devices without any proprietary hardware. The card readers communicate in various protocols, for example

440-614: A read range of up to 50 cm (20 in) which is the main difference from the contactless smartcard with a range of 2 to 10 cm (1 to 4 in). The card can often be left in a wallet or purse, and read by simply holding the wallet or purse near the reader. These early proximity cards can't hold more data than a magnetic stripe card , and only cards with smart chips (ie, contactless smartcards ) can hold other types of data like electronic funds balance for contactless payment systems, history data for time and attendance or biometric templates. When used without encoding data, only with

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480-407: A reader to transmit their data. An active card contains a flat lithium cell in addition to the above components to power it. The integrated circuit contains a receiver which uses the battery's power to amplify the signal from the reader unit so it is stronger, allowing the card to detect the reader at a greater distance. The battery also powers a transmitter circuit in the chip which transmits

520-689: A registration program provided by Nintendo of America that launched in 2002. It allowed users to register their games and consoles on Nintendo's website using a printed code included with the products. Select physical rewards were possible dependent upon which product title or number of products overall were registered. This service was replaced by a North American version of Club Nintendo in December 2008. By clearing various "missions", players earn three different kinds of currency; Gold Points, Platinum Points, and app-centric Platinum Points, which could be exchanged for rewards, including digital game downloads for

560-664: A single-location business to large chains or membership in a coalition loyalty program. Industries include: The market approach has shifted from product-centric to a customer-centric one due to a highly competitive market and a wide array of services offered to customers, therefore, it's important that marketing strategies prioritize growing a sustainable business and increasing customer satisfaction. Almost all major U.S. casino chains also have loyalty cards, which offer members tier credits, reward credits, comps , and other perks based on card members' " theo " from gambling, various demographic data, and spend patterns on various purchases at

600-594: A stronger return signal to cover the greater distance. Proximity cards are all proprietary. This is also the case of the memory-based first generation of contactless smartcards . This means that there is no compatibility between the readers of a specific brand and the cards of another brand. Contactless smartcards are covered by the ISO/IEC 14443 and/or the ISO/IEC 15693 OR ISO/IEC 18000 standards. These standards define two types of card ("A" and "B", each with different communications protocols ) which typically have

640-501: Is often a QR code . Some prominent examples are Austrian based mobile-pocket established in 2009, the US-based Punchd (discontinued from June 2013, ), which became part of Google in 2011. and an Australian-based loyalty card application called Stamp Me which incorporates iBeacon technology. Others, like Loopy Loyalty (HK), Loyalli (UK), Perka (US), and Whisqr Loyalty (CA), have offered similar programs. Passbook by Apple

680-406: Is only available in Co-op Group stores. It replaced the dividend benefit previously used. Other Co-op chains continue with the dividend scheme, e.g. Midcounties Co-operative. Many of these accept other Co-operative loyalty cards but generally without the same benefits. For instance Midcounties Co-operative accept Co-operative Group cards but there is no charity donation or cardholder refund. Flybuys

720-416: Is that they generate data, which bring more repeat business and therefore increase sales. Application forms for cards usually entail agreements by the store concerning customer privacy, typically non-disclosure (by the store) of non-aggregate data about customers. The store uses aggregate data internally (and sometimes externally) as part of its marketing research . Over time the data can reveal, for example,

760-422: Is the first attempt to standardize the format of mobile loyalty cards. With the introduction of host card emulation (HCE) and near field communication (NFC) technology for mobile applications, traditional contactless smart cards for prepaid and loyalty programs are emulated in a smartphone. Google Wallet adopted these technologies for mobile off-line payment applications. The major advantage of off-line over

800-507: Is the largest loyalty program in both Australia and New Zealand . Loyalty programs have been described as a form of centralized virtual currency , one with unidirectional cash flow, since reward points can be exchanged into a good or service but not into cash. Evidence for the effectiveness of loyalty programs is controversial. Many companies are unsure whether and how to use customer loyalty programs profitably. Many programs (regardless of location, size, or industry) are run without

840-524: The Wiegand protocol that consists of a data 0 and a data 1 circuit (or binary or simple on/off (digital) type circuit). Other known protocols are mono directional Clock and Data or bidirectional OSDP (RS 485), RS 232 or UART. The earliest card formats were up to 64 bits long. As demand has increased, bit size has increased to continue to provide unique numbers. Often, the first several bits can be made identical; these are called facility or site codes. The idea

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880-635: The Wii U and Nintendo 3DS , discounts on software purchased from the Nintendo eShop or the official Nintendo online store, and other digital items such as downloadable themes for the Nintendo 3DS. Gold Points are earned by purchasing software (automatically added to account if digital purchase, physical purchase only redeemable within set time from games release) while Platinum Points are earned by performing actions such as linking with social media or signing into

920-455: The integrated circuit . The chip sends its ID number or other data to the antenna coil, which transmits it by radio frequency signals back to the reader unit. The reader checks whether the ID number from the card is correct, and then performs whatever function it has been programmed to do for that ID number. All the energy to power the card comes from the reader unit, so passive cards must be close to

960-477: The 3DS Theme Store. My Nintendo was also the name given to a service in North America, which allowed users to register their games online to gain access to exclusive bonuses like screensavers. Loyalty program A loyalty program or a rewards program is a marketing strategy designed to encourage customers to continue to shop at or use the services of one or more businesses associated with

1000-492: The Nintendo eShop or (formerly) Miiverse weekly. App-centric Platinum Points are earned by clearing missions within Nintendo's mobile apps, and can either be used to purchase rewards within the app or combined with regular Platinum Points to be spent on the main rewards. On March 6, 2018, the ability to use Gold Points in the Nintendo Switch eShop became available. On September 8, 2020, the first set of physical rewards

1040-503: The United States do not offer any real value to their customers. Furthermore, commercial use of customers' personal data – collected as part of loyalty programs – has the potential for abuse; it is highly likely that consumer purchases are tracked and used for marketing research to increase the efficiency of marketing and advertising, which is one of the purposes of offering the loyalty card. For some customers, participating in

1080-461: The agency website and the agency will pass it onto the airline. Programs that feature points grant customers a certain number of points for each purchase, in the US often per $ 1 or $ 10 increment of spend. Once they have enough points, clients can redeem them for either: Programs with tiers define levels (such as silver, gold, and platinum levels) that customers are upgraded to when they spend enough with

1120-472: The appropriate metrics or target parameters. Some companies complain that loyalty programs discount goods to people who are buying goods anyway. Moreover, the expense of participating in these programs rarely generates a good return on investment. The Forte Consultancy Group regards loyalty programs as bribes . In the case of infrequent spenders, loyalty fees provide a means of subsidizing discounts. A 2015 study found that most supermarket loyalty cards in

1160-431: The card must be replaced after 2 to 7 years. The card and the reader unit communicate with each other through 125 kHz radio frequency fields (13.56 MHz for the contactless smartcard cards) by a process called resonant energy transfer . Passive cards have three components which are sealed inside the plastic: an antenna consisting of a coil of wire, a capacitor , and an integrated circuit (IC) which contains

1200-687: The card serial number, contactless smartcards have similar functionalities to proximity cards. Passive 125 kHz cards, the more widely used type which were described above, are powered by radio frequency signals from the reader device and so have a limited range and must be held close to the reader unit. They are used as keycards for access control doors in office buildings. A version with more memory, contactless smartcards , are used for other applications: library cards , contactless payment systems, and public transit fare cards. Active 125 kHz prox cards, sometimes called vicinity cards , are powered by an internal lithium battery. They can have

1240-642: The card via a mobile app, website. As of 2024, most programs in the United States offer a digital version of the loyalty card, accessed via a mobile app, and often customers can scan a QR or bar code from the app at the physical point of sale. Some programs now offer digital cards only or only exceptionally, such as Marks and Spencer 's "Sparks" program in the UK launched in 2020 which no longer issues physical cards except upon special request. American Airlines no longer sends membership kits to new members of its frequent flyer program. Encouraging or forcing customers to use

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1280-503: The casino, within the casino network, and with the casino's partners. Examples of such programs include Caesars Rewards (formerly called Total Rewards ) and MGM Resorts International 's Mlife. As of 2011 , some independent coffee shops in Boston, Toronto and London has set up experimental "disloyalty card" programs, which rewarded customers for visiting a variety of coffee shops. Loyalty programs' most important benefit to merchants

1320-505: The merchant(s), usually over a certain period of time such as a year. For example, Sephora gives 1 point for $ 1 spent. Once customers earn a specific number of points, they can enter a new level with higher discounts and exclusive products. In subscription-based programs, customers pay a fee to enjoy the program's benefits, for example Barnes and Noble bookstores charge members about 40 U.S. dollars per year (as of mid-2024) for its "Premium Membership and Rewards" program, which gives members

1360-470: The new Nintendo Account system. On December 1, 2016, My Nintendo added child account support, allowing users under 13 years to use the service with parental or guardian control. Adult user accounts can also add children between the age of 13 and 17 inclusively. On March 27, 2023, Nintendo discontinued Wii U and 3DS theme, game, and game add-on rewards, coinciding with the closure of the Wii U and 3DS eShops and

1400-434: The online system is that the user's smartphone does not have to be online, and the transaction is fast. In addition, multiple emulated cards can be stored in a smartphone to support multi-merchant loyalty programs. Consequently, the user does not need to carry many physical cards anymore. Today, such loyalty programs cover most types of commerce, each having varying features and rewards schemes, and range from programs of

1440-419: The payment method that provides the most cash-back , credit-card rewards or loyalty points instead of minimizing costs for their employer. Proximity card The term "proximity card" refers to the older 125 kHz devices as distinct from the newer 13.56 MHz contactless smartcards . Second generation prox cards are used for mass and distance reading applications. Proximity cards typically have

1480-424: The program, ways that consumers may access their loyalty account (account number, promotions, other information) may include: There has been a move away from traditional magnetic card, stamp, or punchcard based schemes to online and mobile online loyalty programs. While these schemes vary, the common element is a push toward eradication of a traditional card, in favour of an electronic equivalent. The choice of medium

1520-464: The program. Loyalty programs may be either: Single-brand programs, such as Starbucks ) In 2020 McKinsey spoke of loyalty program "ecosystems". A loyalty program typically involves the operator of a particular program setting up an account for a customer of a business associated with the scheme, and then issue to the customer a loyalty card (variously called rewards card , points card , advantage card, club card, or some other name) which may be

1560-427: The user's ID number in specific formats and no other data. The reader has its own antenna, which continuously transmits a short range radio frequency field. When the card is placed within range of the reader, the antenna coil and capacitor, which form a tuned circuit , absorb and store energy from the field, resonating at the frequency emitted by the reader. This energy is rectified to direct current which powers

1600-430: Was available using Platinum Points. In January 2015, Nintendo announced that Club Nintendo would be discontinued in all regions, with announcements for a new loyalty program at a later date. Club Nintendo was discontinued in North America on June 30. In February 2016, it was announced that its replacement, My Nintendo, would launch the following month in 39 countries, alongside Nintendo's new mobile app Miitomo and

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