What distinguishes the bonus categories of grocery stores from those of supermarkets? – The Points Guy

One crucial aspect of selecting the ideal credit card is evaluating bonus categories to determine which aligns best with your spending patterns. This task can be perplexing because each issuer has its unique classification for what constitutes a specific category. For instance, consider the bonus category for groceries. Some issuers refer to it as U.S. supermarkets, while others name it grocery stores. Is there a distinction?

Regrettably, yes. Each card issuer with bonus categories sets its own specific parameters. This makes determining which purchases qualify for rewards with each card somewhat unpredictable. Typically, the bonus depends on where you shop rather than what you purchase.

Today, let’s discuss and differentiate various concepts within the grocery bonus category.

American Express cards

First, let’s review the different American Express cards that offer bonus rewards for grocery spending.

“U.S. supermarkets”

American Express offers various cards that accumulate rewards for grocery purchases, categorizing them under “U.S. supermarkets.” Amex maintains a standardized list detailing which stores typically qualify for the bonus category across its card offerings.

As per Amex, this category includes establishments that provide “an extensive range of food and household items such as meat, fresh produce, dairy products, canned and packaged goods, household cleaning products, pharmacy items, and pet supplies.” Examples of qualifying merchants are:

• ALDI
• FreshDirect
• Gelson’s
• Hy-Vee
• Kings Food Markets
• Meijer
• ShopRite
• Smart & Final
• Stop & Shop
• Trader Joe’s
• Vons
• Whole Foods
• Winn-Dixie

This category excludes specialty stores (like fish markets and wine shops), superstores (like Target and Walmart), and warehouse clubs (like BJ’s Wholesale Club).

However, as we’ll discuss later, there’s still a method to shop at certain of these merchants and activate the bonus for “U.S. supermarkets.”

The list given by Amex is not comprehensive. I have used my…American Express® Gold CardFor instance, at my local Harris Teeter, it’s consistently classified as a supermarket purchase on both cards. If you shop at a supermarket chain akin to those listed by Amex, you’re still likely to earn bonus rewards with your qualifying Amex card.

American Express cards that provide rewards at supermarkets in the United States:

The information about the Amex EveryDay card and the Amex EveryDay Preferred card has been gathered independently by The Points Guy. The card details presented on this page have not been reviewed or supplied by the card issuer.

Related: Selecting the most suitable American Express credit card for your needs.

Capital One Cards

Capital One offers just two cards with grocery stores as a designated bonus category, and the requirements for these cards differ from those of Amex. Let’s examine this further.

“Grocery stores”

Based on information from Capital One, the grocery stores category encompasses:

• Supermarkets
• Specialty markets
• Dairy product stores
• Meat lockers
• Freezers

Exclusions specifically listed on Capital One’s website include superstores such as Walmart® and Target®.

Capital One provides slightly greater flexibility regarding what qualifies for rewards in this category.

In contrast to Amex, you can earn cash back at smaller specialty stores. For instance, I frequent a local butcher shop that doesn’t qualify as a supermarket with Amex. However, the Capital One Savor Rewards Credit Card treats it as a grocery store for bonus rewards.

Capital One credit cards that provide rewards for grocery store purchases:

The Points Guy has independently gathered information about the Capital One Savor card. The issuer has neither reviewed nor supplied the details on this page.

Relevant: Top Capital One credit cards.

Bank of America credit cards

Bank of America categorizes grocery stores in a manner similar to Capital One, albeit with some significant additions.

“Grocery stores”

Bank of America indicates that the next types of purchases fall under its grocery store category:

• Grocery stores/supermarkets
• Freezer/meat lockers
• Candy, nut, or sweet shops
• Dairy product stores
• Bakeries
• Wholesale clubs

Bonus rewards for your sweet tooth? Absolutely.

Regarding wholesale clubs, Bank of America stands alone as the issuer that classifies them under its grocery rewards category.

This is a significant and noteworthy exception since wholesale clubs usually offer a wide range of products beyond just regular groceries. Consequently, you could effortlessly earn additional rewards from Bank of America on items like clothing, furniture, or even computers and tablets.

Bank of America provides just a single card that offers rewards for grocery store purchases:

See also: Top Bank of America credit cards

Chase

“Grocery stores”

Chase excludes superstores and warehouse clubs from the “grocery store” bonus category. Below is the complete list of what Chase deems as ineligible:

• Walmart
• Target
• Bigger stores offering a diverse range of products and groceries, like warehouse clubs and discount stores, along with some smaller retailers such as drugstores and those specializing in select grocery items.
• Transactions conducted at fuel stations that are run by retailers who also manage grocery stores.
• Delivery service merchants are considered separate from grocery store purchases, unless the merchant has specifically arranged for such purchases to be categorized under grocery stores.

Seek credit cards that provide rewards for grocery store purchases.

Chase lacks cards with a permanent grocery store bonus category, but it does offer two cards that allow you to earn rewards on grocery purchases:

Related: Chase Freedom’s quarterly bonus categories

Retailers that generally are not categorized as grocery stores.

• Walmart (A significant exception is Walmart Neighborhood Markets, which generally do classify as grocery stores)
• Target
• Costco (Bank of America cards are a notable exception)
• B.J.’s (Bank of America cards are a noteworthy exception)
• Sam’s Club (Bank of America cards are a notable exception)

Grocery delivery services

Several grocery delivery services collaborate with merchants. For example, Instacart provides deliveries from a multitude of local grocery stores. Most credit card issuers, such as Amex and Chase, classify Instacart orders under groceries/supermarkets.

In other words, even when you buy from a retailer such as Costco, usually not eligible for category bonuses (with the exception of Bank of America), you could still earn a bonus by using Instacart or a different delivery service.

Related: Your comprehensive guide to services for online grocery delivery

Bottom line

This isn’t a comprehensive list of all cards that provide rewards for grocery spending, but it gives you an idea of what leading issuers classify as eligible purchases for their grocery bonus category.

It’s beneficial when issuers provide comprehensive terms and conditions about what qualifies for a specific bonus category, but it can still be uncertain at times. If you’re unsure whether a particular merchant will earn rewards with your card, give it a try. The worst-case scenario is that you don’t receive bonus rewards on your $30 grocery purchase, and you’ll know to use a different credit card in the future.