Travellers can choose rewards from 16 airlines under new Thanachart credit card
GIVEN THE continued increase in air travel and tourism, Thanachart Bank has seized a business opportunity to launch a credit card that rewards cardholders air mileage when they shop.
“We would like to make it easier for travellers as they could convert mileage points into cash discount directly when they buy air tickets, said Teranuj Koomsap, Thanachart Bank’s executive vice president and head of retail and small business product development.
Customers of the so-called “Blue Diamond” can choose from 16 airlines – both budget and premium – to fly to major attractive tourist destinations worldwide, according to the bank. Top outbound tourist destinations among Thai travellers include Tokyo, Osaka, Seoul, London, Paris, Zurich ,Oakland, Singapore and Sydney. Clients could also choose to travel in the country under the rewards programme.
Building on the findings from big data analysis, the bank aims to serve consumers who like travelling and want to be able to use mileage points without limitations. Most airlines offer mileage points but the reward of discounted tickets is usually limited only to each airline or a group of airlines.
Thanachart Bank’s cardholders will get one mileage point for every Bt12.50 they spent at participating restaurants when they use the card to shop. If they make a payment on related travelling services, they will get a mileage reward on every Bt8.33 spent. Moreover, if they spend foreign currency, they will get rewards for every purchase equivalent to Bt6.25.
For other items, every Bt25 in spending will earn one mile. Mileage points could be applied to first, business and economy class tickets. Each 1,000 points would be equal to Bt100 in discounts, or customers could pay instalments for four months at a 0 per cent interest rate.
The bank has partnered with Global Union Express, one of leading air ticket booking service companies, Teranuj said.
For its new card, Thanachart targets clients with monthly incomes of Bt50,000 and up. The bank now has about 500,000 cardholders, a growth of 5-10 per cent from the previous year. With the Blue Diamond card, the bank aims to increase its new clients next year by 10-15 per cent.
The bad debt of Thanachart’s credit card business is currently about 3 per cent, compared to a market rate of about 5 per cent, and that has ensured that the bank could manage credit card repayment very well, she said.
Rising oil prices are unlikely to affect tourism as travellers usually give weight to other factors as they plan their travels, she added.
