Amid the boom of online shopping, shopping via K-Credit Card jumped 162 percent during the first nine months of 2020. KBank-Shopee Credit Card has proved to be popular, as evidenced by the number of newly-issued cards reaching 35,000 in the two months after its launch. KASIKORNBANK (KBank) attributes this success to its data analytics on customer behavior and marketing campaigns. Merchants are recommended to target Gen Y customers. Meanwhile, KBank will launch attractive campaigns to cash in on the coming Shop 11.11 festival.
Ms. Phonpimol Pathomsak, KBank First Senior Vice President, noted that online credit card spending has grown steadily. According to KASIKORN RESEARCH CENTER (KResearch), despite the fallout from the COVID-19 crisis, the online retail market (excluding services) in 2020 is projected to grow 8-10 percent, with a value of around 300-320 billion Baht. The figure represents only 7.7 percent of total retail market turnover, a sign that this market has greater room for growth.
During the first nine months of this year, spending via K-Credit Card for online shopping enjoyed growth of 162 percent. Of the total purchases, 56 percent came from Gen Y customers. The most recent trend shows that the younger generation, rather than their parents, is buying household goods for their family. Operators engaged in household products should therefore adjust their marketing tactics or product designs to better appeal to this target group. In addition, various "double number" marketing campaigns via online shopping platforms, such as the "9.9" campaign launched on September 9 or "10.10" campaign introduced on October 10, have helped bolster credit card spending in the category of online shopping by 7-8 times over regular days. Such marketing campaigns, therefore, are considered an effective marketing strategy to stimulate the economy. General entrepreneurs may apply this marketing tactic in their own businesses.
KBank has always placed emphasis on the online consumer segment. Marketing research has been regularly conducted to collect authentic consumer behavior, and such information is analyzed before and after any marketing activities. We have invariably secured strong partners, while new products and promotional campaigns that meet the customers? online lifestyle needs are launched on a regular basis. This includes the introduction of the KBank-Shopee Credit Card just two months ago. This co-branded credit card has seen good response from customers, with more than 35,000 new cards issued; one-third of them were applied via KBank?s co-brand partner, Shopee. As a result, the total number of KBank-Shopee Credit Cards issued has grown steadily; most of these cards have been used instantly for payments, or approximately 100,000 transactions after being activated. A target has been set to acquire 135,000 of new cards, with expected card spending of 4.5 billion Baht, within one year of the launch of the KBank-Shopee Credit Card, aided partly by customer data analysis for marketing planning. The resulting marketing campaigns are expected to allow KBank to penetrate new customer segments, such as young working-age people residing in Greater Bangkok, who mainly use credit cards for spending in the online shopping category. KBank and Shopee are going to launch a special campaign on November 11, 2020 (11.11), exclusively for customers who use the KBank-Shopee Credit Card to shop on the Shopee Thailand application. For minimum spending of 8,399 Baht, customers are eligible to receive a discount code for up to 2,550 Baht.
Additionally, privileges will be offered to holders of any type of K-Credit Card when purchasing items from participating online stores. Customers can receive up to 1,500 Baht worth of Starbucks e-Coupons when purchasing through online stores like Shopee, Lazada, Central Online, JD Central, Advice, Big C, Supersports, TV Direct, AIS, DTAC and True, from November 1, 2020 to January 31, 2021. Upon payment of insurance premiums ? with a minimum of 10,000 Baht ? via any type of K-Credit Card, both online and offline, customers are eligible to receive (1) 3x KBank Reward Points, and (2) a 12 percent cash back when the points are redeemed equal to the insurance premium amount (registration via SMS required) from November 1, 2020 to December 31, 2021.
For more details and conditions of the online campaign, click
https://www.kasikornbank.com/th/promotion/credit-card
