KTC launches 4 promotions for card members at the end of 2009, introducing new idea of “Points for Cash Back”.

KTC launches 4 promotions for card members at the end of 2009, introducing new idea of “Points for Cash Back”. Feature the strength of KTC Forever Rewards.


KTC wants card members to think before spending and to choose only products or services that provide maximum and worthy return value during the holiday season at the end of the year 2009 by offering 4 special promotions that feature the strength of KTC Forever Rewards with more business partners and product categories that are responsive to both mass and high-end members. The promotions include: 1) Points for Discount of as much as 30%, 2) Value Pack – pay less for more, 3) Enjoy discount dining, during 15 November, 2009 to 28 February, 2010 and 4) Points for Cash Back, the first time to redeem points as cash transferring into the account during 1 December, 2009 to 28 February, 2010. It is expected to have more than 600 KTC Forever Rewards points exercised throughout the campaign.

Mr. Woravut Nisapakulthorn, Executive Vice President – Credit Card Business, “KTC” or Krungthai Card Public Company Limited, said “Throughout the year 2009, KTC has been focusing its marketing strategy on educating card members to have secured financial planning and frugal spending behavior under the “Happiness is all around” concept in response to the current economic situation. During the end of this year which is considered a high-season for credit card business, KTC still launched the promotions which were in line with reasonable spending and also encouraged members to redeem KTC Forever Rewards points to get many privileges. This is to strengthen the leading position in reward points benefits. Currently, KTC has the support system to allow members to use KTC Forever Rewards points to exchange for products or services with total of 2,700 points of services nationwide with 80 business partners. This figure represents an increase of 900%, compared with the year 2007 when KTC first revolutionized the new reward points scheme with only 9 establishments.”

“The results of our marketing research on spending behavior of our card members during year-end season shows a difference of spending ratio among both the mass and the high-end segments of card members. At the end of 2009, KTC has chosen to respond to the different needs of members in these 2 segments as follows:

1. Points for Discounts: This is the first time that KTC credit card members can use the KTC Forever Rewards points in equal number to the cost of products or services in order to get the discount of up to 30% with 40 partners which 11 are from dining categories e.g. Zen Japanese restaurant, Sizzler and The Pizza Company. There are 29 partners from shopping and entertainment categories e.g Central, Robinson, The Mall, Paragon, Emporium, Zen and SF (only 7 partners joined in the previous promotion campaign). Zen Japanese restaurant and Sizzler will offer a total of 30% discount to KTC VISA Infinite and KTC VISA Platinum members, 20% immediate discount when making a payment and the other 10% discount will be credited back into the account within 60 days.

2. Value Pack – Pay Less for More: This promotion has been well received since 2006. This year, members will pay even less because they can redeem KTC Forever Rewards points starting at only 9 points for a discount or a coupon at the maximum of 900 Baht e.g. using 9 points to exchange for 200 Baht discount when making a purchase of 6,000 Baht at HomePro or HomeWorks plus the maximum 0% KTC Flexi installment payment for 10 months or using 999 points to exchange for 200 Baht coupon when buying gift voucher of 3,000 Baht at Cental and Zen department stores. Also, in this campaign, KTC has added more business partners into entertainment and auto segments such as the SF theaters and Wizard Auto Service. KTC card spending from this campaign is expected to reach the minimum of 670 million Baht or approximately 12% increase from this half year-end.

3. Enjoy Dining with maximum of 50% discount at more than 100 international restaurants at leading hotels nationwide, especially the high-end card members who enjoy dining in hotel restaurants, including activities and a New Year celebration with up to 50% discount e.g. an international restaurant of the Landmark Hotel and the Novotel Bangkok Hotel and over 50 hotels nationwide.

4. Points for Cash Back: Members who have spending via KTC credit cards or cash advance via KTC Cash Revolve card at every amount of 1,000 Baht can redeem 1,000 KTC Forever Rewards points for 100 Baht cash put back into the customer’s credit card account (Start collecting total spending between 1 December 2009 – 28 February 2010). The promotion would help save traveling time for the customers to the outlets to use the reward points by providing the IVR phone system at telephone 0-2665-5678 to facilitate the cashing in process. This is another option where members can use the KTC Forever Rewards points to exchange for their favorite goods or services.”

KTC expects that these New Year 2009 promotional packages will receive good response from KTC card members. The company projected that members would redeem the KTC Forever Rewards points for many privileges as much as 600 million Baht, or 10% of total KTC Forever Rewards of all card members, ,” said Mr. Woravut.

For more information, please call KTC Phone at 0-2665-5530 or visit www.ktc.co.th.

MasterCard profit beats expectations as costs fall

       MasterCard Inc reported higher-than-expected quarterly earnings on Tuesday as the world's second-largest credit card network aggressively trimmed marketing expenses and raised fees to banks, and consumers used their debit cards more.
       However, MasterCard anticipated marketing expenses would increase 20%in the fourth quarter, and rebates and incentives - which remained flat in the third quarter - would go up significantly in the last three months of the year.
       MasterCard's third-quarter net income was $452 million, or $3.45 per share,compared with a loss of $194 million, or $1.48 per share, a year earlier.
       Excluding special items, the credit card network posted earnings per share of $3.48, beating analysts' forecast of $2.94, according to Thomson Reuters I/B/E/S.
       The company said special items for the third quarter of 2009 represented $6.2 million of litigation settlement charges.
       The special item for the third quarter of 2008 represented an $827.5 million net pre-tax charge related to an antitrust litigation settlement.
       Revenue rose 2% to $1.4 billion, and also beat analysts' forecast, boosted by higher fees charged to banks and increased consumer use of credit and debit cards.
       These factors were partially offset by the impact of slightly lower cross border volumes.
       Operating expenses declined 13% to $685 million, as the company trimmed advertising and marketing spending 29%and reduced personnel and administrative costs 7.9%.
       Processed transactions grew 7.6% in the quarter to 5.8 billion boosted by a more intense use of credit and debit cards in Asia Pacific, Middle East, Africa and Latin America.
       MasterCard's gross dollar volume was up 0.3% on a local currency basis to $633 billion.
       The company also benefited from a lower tax rate.
       MasterCard's effective tax rate was 32.9% in the third quarter, down from 39.7% a year ago.
       "There are some positive signs emerging," chief executive Robert Selander told Reuters in an interview.
       He said worldwide cross-border volumes showed low single digits growth in October, compared with a 3% decline in the third quarter. In addition, US processed volumes grew slightly in October compared to low single-digit declines in the third quarter.
       Selander also said an improvement in retail sales in September and in credit and debit card spending in October was encouraging, but warned that more job losses and a historically low consumer confidence would slow any recovery.
       "I think it's not going to be an overly buoyant season," he told Reuters in an interview.
       "We are seeing improvements relative to prior months, and given that it was a weak fourth quarter last year, we think it will be viewed as good as or better than last year by the time the season is done," Selander added.
       The company reiterated that it did not expect to meet its average revenue growth target of 12% to 15%, but affirmed its forecast of more than 20% net income growth.
       Investors expectations were high about MasterCard's profits, after the company's larger rival, Visa Inc, reported betterthan-expected quarterly earnings last week.
       The world's largest payment network reported a profit of $514 million, or 69 cents per share, on revenue of $1.87 billion. That compares with a year-ago loss of $356 million, or 45 cents per share, on revenue of $1.71 billion.