How ‘Buy Online, Pick Up in Store’ Supercharges Credit Card Rewards

Online-first shopping strategies, many of them popularized during the COVID-19 pandemic, continue to gain traction among shoppers. One such notable practice is "buy online, pick up in store" (BOPIS). This shopping method — also sometimes referred to in the retail industry as "click and collect" — is exactly what it sounds like: Consumers make purchases online and then pick up their items later at a physical brick-and-mortar store.

The practical advantages are clear: You can do your research in peace, avoid crowds and pushy sales pitches, and of course save on shipping costs, assuming there's a store near you.

But if you're a credit card rewards optimizer, there's another major advantage: more bonus rewards, whether through your credit card's online "shopping mall" or any number of third-party cash-back portals — not to mention more time to sift through all those offers in advance of your transaction.

“It gives shoppers a chance to review their purchases more carefully and apply available rewards, cash back offers or even installment plans before completing the transaction,” said Dan Hanks, senior vice president of Global Product Management at i2c Inc., a global provider of banking and payment solutions.

Here's more on how BOPIS can be your buddy.

Step 1: Get a rewards credit card

There's no shortage of these on the market, and if you have good credit — typically, credit scores from at least the mid-600s — you'll be eligible for some of the best. Rewards come in a variety of forms (cash back, points or travel miles) and in varying degrees of complexity (a flat rate back on everything, or bonus rates in specific categories). But a good rule of thumb is to aim for no less than 1.5x back on your purchases, whether in stores or online.

That said, many credit cards reward you specifically for the latter. Cards from Bank of America®, American Express and other major issuers feature general "online purchases" as a bonus category, meaning you'll snag elevated reward rates on spending you do on nearly any website — including BOPIS runs.

Example: Instead of walking into PetSmart to buy Nova her kibble, you could make the purchase online at PetSmart.com and opt to pick it up later at that same store you'd planned to visit anyway. In that scenario, not only are you saving on shipping costs, and not only are you avoiding a rush at the physical checkout counter as you fumble for coupons, but you're also earning a rewards rate via your credit card that you wouldn't have gotten by shopping inside the brick-and-mortar version of the store.

Step 2: Find a favorite 'stacking' site

Buying online first can help you have your cake and eat it, too, in other ways. By stacking savings through a shopping site or portal, you can get extra rewards and discounts — in addition to what you earn with your credit card.

First, see if your credit card has its own dedicated shopping portal or bonus mall, typically accessible by signing into your card account or app. If available, it'll feature many dozens of links to deals at popular retailers. If you click on one of them and then make a purchase at that retailer's website — as opposed to going directly to that website first — you’ll receive the portal's advertised bonus, which "stacks" on top of your normal, ongoing credit card rewards rate.

For instance, if you hold a Chase credit card that earns Chase Ultimate Rewards® points, you can visit the Shop Through Chase portal, which features more than 1,000 retailers that offer additional points when you click through and make a purchase.

But you don't need to use a credit card-specific portal to double-dip on rewards. Various third-party cash-back apps and websites, like Rakuten and TopCashback, offer similar deals and discounts at thousands of retailers.

Step 3: Adapt if necessary

The already popular BOPIS strategy is set to keep on booming, as retailers respond to continued shifts in consumer shopping. According to data from analysts like Research and Markets as well as Statista, the size of the U.S. BOPIS market is expected to grow from an estimated $129.36 billion in 2024 to $509.4 billion by the close of 2033, driven by increased adoption at mega-retailers like Costco, Home Depot and more.

But that growth may pose operational challenges for your favorite stores. Hanks notes that on the retailer's end, changes in shopping trends “require precise, real-time inventory tracking across channels, and any mismatch can lead to delays or canceled orders, damaging customer trust.” That's in addition to retailer security concerns related to identity verification when shoppers pick up their purchased items in stores.

If you're facing long lines, mixed-up orders or just an increase in "sold out" messages when you attempt to buy online and pick up in store, it might be time to consider taking your business to a competitor.

Still, patience may be advisable. Hanks adds that the surge in online-centered shopping strategies also means more innovation in the market, which will likely lead, eventually, to increased convenience for both consumers and retailers.