With Bilt 2.0, Bilt introduced a complicated new rewards currency called “Bilt Cash”. We’re going to try to dissect that today.
CB: Bilt Cash: Couponization to the Max
Watch here:
Or listen here (or click “Follow” on the player below to select your preferred podcast app instead):
(00:00) – Bilt 2.0: 3 new cards, 2 complicated ways to earn points on housing payments; and 1 complicated new rewards currency… Bilt Cash
Read more about Bilt Cash here…
(00:19) – Earning Bilt Cash
(01:34) – December 31 Bilt Cash Gets Trashed Day
(02:07) – Using Bilt Cash
(10:03) – Evaluating Bilt Cash uses
(16:07) – Coupons
Visit https://frequentmiler.com/subscribe to get updated on in-depth points and miles content like this, and don’t forget to like and follow us on social media.
Music Credit – Beach Walk by Unicorn Heads
Want to learn more about miles and points? Subscribe to email updates or check out our podcast on your favorite podcast platform.
That was a great point about the 3cpp redemption rate for the coupons.
When I saw the long list of coupons, I didn’t care about how to use them at all as I knew with my high rent-to-spending ratio I wouldn’t have spare B$ for anything else anyway. But now I actually think the Bilt cash design is quite smart. It indeed allows flexible ways to reward different types of cardholders for using the card on non-housing spend – if you like points and pay for housing, you use B$ to unlock points on housing; if you don’t pay for housing, you can spend B$ on accelerators and earn more points on non-housing spend; if you prefer cash to points, they’ve also got a thick coupon book to choose from.
It’s a shame they made such a bumpy launch. It all started with the stupid math. If they set the cash-point exchange rate at 1cpp or 2cpp initially, they wouldn’t need the alternative option and make the system more and more complex. I guess they figured 1cpp is too low 2cpp is too high, let’s make it 1.33cpp.
Exactly. It is options. It also depends how easy the coupons are to use. My place of employment charges as Grubhub in the cafeteria. If I have to order a coffee or a bagel on the app to use the $10 credit, I’m not that likely to do it. But if there is a way to walk in, grab what I want, then pay using that credit, that will be super easy and would be as good as cash. I might prefer to use my Bilt bucks in that way, even if I don’t have enough to generate points. As much as we talk about this as akin to other coupon cards, I’m hoping the experience of using them will be much easier (and less like buying an actual coupon book where you have to use a certain % of the offers to wipe out the up front cost). If it is seamless, I’ll be happy. If it is hard, I’ll take as many points as I can and maybe combine some Bilt Cash in the travel portal on occasion. I don’t think I will have to worry about outspending my housing costs
The topic might have been divided into two podcasts: the big stuff and the little stuff. Also, optimizers might follow the math but the average person/newbie will not. I see eyes glazing over. Sincere feedback.
Some content is for the average person/newbie, some is for the optimizer. There’s a nice blend on this site.
Agreed. But, this topic has been beaten to death from the optimizer perspective.
I think that from the use perspective, only the optimizers really struggle with the 2 currencies and the conversion rates. Now, explaining the card or trying to sell it to a normal person could be hard. But if you aren’t perplexed by the problem of “could I get more value from the points or using my cash for a ride share discount” that optimizers struggle over, I think the actual experience will be fine. “Cool, I can get $10 off my burrito order.” “Oh, I can use my Bilt bucks for $25 off my meal.” I don’t think most people see card rebates as a tradeoff with other things — it is all found money to them (to be clear: I think this perspective is wrong, but that’s the predominant psychology). I don’t think people (unless they are huge spenders) are going to suffer from feeling like they won’t have a way to use the Bilt Cash. You can always get more points. I think the more likely problem is that people that want more points are going to constantly feel like they don’t have enough to do what they want.