Bangkok--17 Jul--Krungthai Card
KTC presents new products for new target group with eyes on larger member base for credit card and personal loan businesses. More promotions are being introduced to meet the requirements of members under the “Make it BETTER” concept.
KTC announces strategies for the second half of the year with the aim to increase members via Krungthai Bank and outsourced sales channels. New target group is fresh graduates with relevant marketing promotions to better attract consumers at the mid-range and high-end levels. The firm expects 150% and 10% growth for credit card and personal loan members respectively.
Mrs. Nutchanun Kengluecha, Executive Vice President - Distribution Business, “KTC” or Krungthai Card Public Company Limited said, “The competition is intense in the credit card and personal loan industries this year. Despite the general slowdown in the need for loans due to the slumbering economy and the changing political situations, Thai and foreign commercial banks as well as other financial institutions have set a higher member growth target than the previous year. This is inclusive of KTC with the target for 400,000 new credit cards or 150% growth or 2.5 times the level of 2013. Our goal for the personal loan growth is 137,500 accounts or 10%.”
“Strategies are in place for the management of sales channels in this second half of the year. With our ultimate target of being number one in the credit card industry in five years, we will start in this first year with the ‘Make it BETTER’ concept where we reach out to new target groups and introduce new cards that correspond with their needs with the help of various partners and group-specific marketing programs for the mid-range and high-end customers. For the personal loan business, we will launch campaigns to give our members the chance to improve financial flexibility, reward those who are disciplined in their repayment and bring about relevant new products to correspond with their requirements.”
“In terms of sales channels management, we will leverage on our broad range of channels including Krungthai Bank and Government Savings Bank, as well as our “KTC Touch” customer service center and the growing online channels which include our website at www.ktc.co.th where the ‘I Want KTC’ icon can be found and the websites of our business partners. Other channels we will use are outsourced sales and telesales.”
“The two main channels we will be using this year are Krungthai Bank branches and outsourced sales which account for 80% of the overall target. The business we do with Krungthai Bank is based on our marketing strength and their financial position. There are more than 1,200 Krungthai Bank branches in Thailand. We can share networks and customer databases as seen in such programs as the home mortgage payment with KTC credit card which is well received by the target groups. That program has increased members for Krungthai Bank and spending through KTC Credit cards. The target groups without a prior KTC credit card have also applied for one. We can use this channelto present credit card products together with bank products or those products of other companies within our group as well.”
“As for the strategy we will use with our outsourced sales partners, we will increase the number of quality independent sales agents who maintain a friendly bond with KTC. We have a team who recruits and trains these individuals to ensure that they perform well in terms of sales and services and in accordance with the efficiency goals set.”
“We also have a plan for this year to attract fresh graduates or the so called first jobbers as they are the group of individuals with the need for tools to help them manage their monthly expense with great flexibility. Moreover, we will be working the provincial market with 14 provinces selected at this stage for their high growth in credit card usage. The Government Savings Bank is another channel we can use to increase the number of KTC-GSB credit card holders. This product has a unique feature unlike any other. You can use 1,000 forever rewards points to claim 100 Baht GSB lottery. There are more than 1,000 GSB branches nationwide with a substantial amount of savings and lottery clients. This is, therefore, an advantage we have over other credit card providers.”
“However, we will continue to pay attention to the first spending of the customers. Therefore, our independent sales agents or referrers will inform the applicants of the various promotions during such time to encourage the applicants to activate the card immediately upon receipt for the first use. This strategy has resulted in increased number of customers who start using the card the first time within 60 days. We believe that a good first impression when using our card will create a bond and translate into more spending with our card in the future. Our firm will be able to generate revenue and lower the costs associated with member base expansion as a result.”