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A plastic card that contains an embedded computer chip–either a memory or microprocessor type–that stores and transacts data. This data is usually associated with either value, information, or both and is stored and processed within the card's chip. The plastic card data is transacted via a reader that is part of a computing system. Systems that are enhanced with smart cards are in use today throughout several key applications, including healthcare, banking, entertainment, and transportation.

Finally, a business can single out customers who hold loyalty cards for "members only" sales and promotions. An example would be a pet shop that offers a free bag of pet food to customers who have purchased a certain number of bags in the past.





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