In a surprising report, JD Power ranked Loblaw Cos.’s President’s Choice Financial credit card as the number one card for customer satisfaction in Canada.
Loblaw, Canada’s largest grocery store chain, beat out several large Canadian banks to win the award.
The acknowledgement comes as part of a first-ever Canada Credit Card Satisfaction Study led by J.D. Power, drawing on feedback from more than 6,000 Canadian consumers.
PC Financial scored 788 on a 1,000-point scale making the cards “among the best,” according to the survey. American Express Co.’s cards ranked second, with 780 points, followed by Canadian Tire with 774 points, and Capital One at 764.
Canadian bank credit cards are in the middle of the pack, with Bank of Montreal and Royal Bank of Canada scoring the industry average of 758, followed by Bank of Nova Scotia at 756 and National Bank of Canada at 751.
"We are extremely grateful to our customers for showing their appreciation for our cards and recognizing us as #1," said Barry Columb, President and CEO of PC Financial. "We are committed to providing Canadians with a simple, more rewarding credit card experience."
The J.D. Power study measured overall customer satisfaction through a number of categories including credit card terms, rewards, customer interaction, communication, key moments and benefits. PC Financial took top marks in rewards and credit card terms, scoring significantly higher than the industry average.
“Understanding how to redeem rewards — and having redeemed rewards recently — has a significant effect on satisfaction and loyalty levels,” Jim Miller, J.D. Power’s vice president of banking and credit card practice, said.
The reward also comes on the heels of new that Loblaw will take a third-quarter charge of about $368 million in connection with a Tax Court of Canada ruling involving the company’s defunct Glenhuron Bank Ltd. subsidiary.
Overall, Loblaw operates more than 1,050 supermarkets, including about 500 in-store pharmacies, plus nearly 1,400 Shoppers Drug Mart and Pharmaprix drug stores.
The credit card market in Canada is evolving, according to J.D. Power. Canadians want more from their cards in the form of rewards and benefits, but also demand clear terms and genuine concern in support situations.