Although sharing is often seen as good and noble, making sure that you get your fair share of the pie is still important. Unless you, the cardholder, and the issuing bank share well, your program will be set up for failure. Although each party is motivated by maximizing its “share” of the pie, the only way to generate incremental value is to grow the entire pie. If any party doesn’t get enough, then the model falls apart.
But before I get to splitting the pie, it is important to understand each party....