Luxury department stores court customers with perks

Perks can sure make a difference in your shopping experience. While many of us choose a certain credit card or grocery store based on the  ways that they reward regular customers, high-end department stores have created special programs to reward the really big spenders. Retailers such as Saks Fifth Avenue, Neiman Marcus and Barneys New York offer their best customers special perks such as gifts cards, deep discounts on travel and entertainment packages and invites to special events. Rather than simply giving customers money back, they try to offer exclusive products and services that they feel will appeal to their high-end clientele. Psychologically, these programs also make the customer feel special because they are offered services not available to the average consumer.

Can you save money on these programs? You might be surprised. This Forbes story points out that spending $2,000 at Bloomingdale's ups your Insider status so that you earn $60 in store gift cards and earn special credits like discounts on cruise programs; spend the same amount with Visa Extra and they only knock $4 off your bill. The only catch is that if you have to spend the bonus money at Bloomies. As the competition between stores heats up, these programs may well become more enticing. Nordstrom introduced a new program in April that lets shoppers earn two points for every dollar spent at the store and on Nordstrom.com. Earn 2,000 points and receive a $20.00 Nordstrom gift certificate. Not as impressive as the Bloomingdale's gift but the Nordstrom Signature card also gives access to their concierge service.

Our take: Be sure to read the fine print before joining any rewards program. Sure, the retailer may want you to feel like an elite customer. But that doesn't mean there aren't lots of strings attached to those hefty bonuses. Here are some tips to help you navigate some of the more obvious pitfalls.