Why do Visa, Mastercard and so on advertise to consumers? As far as I know, the way in which bank payments are processed is immaterial to the account holder. In any case, you can’t choose – you get whichever one your bank decides.
Tom Gretton, Exeter
Send new questions to nq@theguardian.com.
Readers reply
John Wanamaker is alleged to have said: “Half the money I spend on advertising is wasted. The trouble is, I don’t know which half.” PaddyMiguel
The company probably pays out sales bonuses based on new customers and existing customers using their cards more, particularly if they accrue interest. That’s their business. They have an incentive to get brand recognition and partnerships. For the customer, it means nothing, but since when did we ever matter? MiffledKitty
As an encouragement to use your credit card, rather than an encouragement to use their brand in particular. MissKitty
My husband and I have always had both Mastercard and Visa in our wallets, for the odd occasions when a vendor takes only one or the other, or when one of them is offline, as happens in hacking situations or “security updates” gone wrong. Here in Canada, there are many card providers and multiple banks. We have relationships with four, so there are choices of card. NotJustTheStones
Visa is a main sponsor for the Olympics, so it’s the only card accepted when purchasing souvenir merchandise and tickets. Funnily enough, there is currently a giant advert for Mastercard on the front of the Galeries Lafayette in Paris. Pengolina123
There are a few reasons they think it profitable to advertise. First, someone does make a choice about Visa/Mastercard – your bank will spend time and money working out which of these schemes offers best value, most functionality, etc. So there’s a direct appeal to the decision-makers at banks. I’d say this population is close to about 50 people in the UK.
Second, customers want to have confidence in the way their money is managed. You might not have heard of Vocalink, but you probably have confidence in using a Link cash machine to get money out of the wall. Link is run by Vocalink, but Link is the well-known bit. If Visa/MasterCard were never mentioned, would you trust an off-the-radar organisation to run your card scheme? Part of this advertising is to make sure consumers know when they use Visa/MasterCard that they are using a trusted, well-established firm. Banks can only adopt a scheme that their millions of customers will have confidence in, too.
Third, lots of countries don’t have the infrastructure we do. I think the anodyne nature of their advertising is key to appealing to those markets where there are limited schemes like this, so there’s a global angle, hence the bland adverts and sponsorship you see. Finally, the two firms offer more services than moving transactions between a seller and a customer’s bank, including some traditionally bank-owned services. (Vocalink is part of Mastercard.) They aren’t always just advertising the traditional services. BenIndustrialNorth
With relatively few payment systems left operating at scale, it’s considered worthwhile for the industry as a whole to target those who still cling to cash and cheques. In parts of Asia, where cash is still heavily utilised, there’s a heated tussle between the app-based WeChat Pay and Alipay. There are lots of places where you can struggle to pay if all you’re packing is some form of Visa, Mastercard or American Express. Walk into shops and they’re plastered with stickers for one or both – it’s a turf war. Dorkalicious
As a marketing professional with 17 years’ experience at companies including Coca-Cola, I can provide some insight.
Visa and Mastercard’s consumer advertising efforts are primarily about building brand loyalty and attracting new cardholders. While the final decision on which card network to use rests with the issuing bank, consumers often have a preference for certain brands due to familiarity and trust built through advertising. For example, Visa’s “Everywhere You Want to Be” campaign focuses on the convenience and global acceptance of their cards, appealing to frequent travellers. In markets where Visa is the leader, such as the US, the strategy reinforces its dominance. Conversely, in regions where Mastercard holds a stronger position, like Europe, Mastercard’s “Priceless” campaign emphasises unique experiences, aiming to recruit new users by appealing to emotional connections.
Advertising also plays a critical role in increasing the frequency of card usage. By leveraging behavioural economics, these companies encourage consumers to use their cards more often. Promotions such as cashback offers, reward points and exclusive discounts are prominently featured in ads to trigger spending impulses. For instance, Mastercard’s partnerships with major events such as the Champions League create compelling reasons for cardholders to use their cards for purchases tied to these events.
Advertising high-end card offerings is another strategic focus for these companies. By showcasing the benefits of premium cards – concierge services, travel insurance, luxury rewards – Visa and Mastercard can attract affluent consumers who typically have higher transaction values. Visa’s Infinite card offers perks including access to exclusive airport lounges and luxury hotel benefits, which are heavily advertised to position the brand as a premium choice. In countries where consumers are becoming more affluent, like China, promoting premium cards can significantly boost brand perception and market share. Yesayi Melik-Yolchyan
