CTBC Bank marks 40 years of credit card services
By Ted Chen ,The China Post
July 18, 2014, 12:15 am TWN
TAIPEI, Taiwan -- CTBC Financial Holding Co.'s (中信金控) banking arm CTBC Bank (中信銀) yesterday celebrated the company's 40th year anniversary as an issuer of credit cards.
Over the past four decades, the company has established itself as the leader of the local credit card market, with transactions reaching about NT$300 billion with 7.6 million cards in circulation over the course of last year. Total transactions over June are expected to reach between NT$27 billion and NT$28 billion, the highest among all financial institutions in Taiwan.
Institutional investors are expecting credit card business at the company to grow by about 10 percent, propelled by the 3-percent GDP growth forecasted by economists.
Frank Hsu (徐鋒志), senior vice president at the bank's cards and payment office, stated that in addition to expanding into issuing retail store alliance credit cards and other unique region-specific features, competition in the market niche will be dependent on emerging technologies such as third-party payment platforms.
Hsu added that amid the pervading popularity of cash rebate reward schemes, loyalty points remain a uniquely compelling draw for consumers. Utilizing economies of scale, financial institutions are able to provide stellar deals for their customers who may purchase merchandise, service and travel itinerary products at much lower prices, said Hsu, adding that its big spending high net worth clients especially enjoy the prestigious customized services such as VIP access and accommodations at F1 races abroad, or exclusive tours to the Arctic.