I presume its why rewards cards are much less common, yes. There are some cards that earn "points" at much lower levels. There are also e.g. a Sainsbury's card

I presume its why rewards cards are much less common, yes. There are some cards that earn "points" at much lower levels. There are also e.g. a Sainsbury's card that earns points in Sainsbury's and a Tesco card that earns points in Tesco. The Sainsbury's card earns "1 point for every £5 spent elsewhere", 1 point is 0.5p, so that's worth 0.1%, and can only be spent at Sainsbury's or certain other vendors.