Maybank expects its debit card segment to continue growing at over 100 % this year, making it the fastest growing card segment in its stable.
Maybank Deputy President & Head of Community Financial Services, Lim Hong Tat said Maybank is also expecting debit card spend to double this financial year compared to last year as it will continue to be boosted by promotions and rewards campaigns particularly among the young, namely students and homemakers.
(L-to-R) Mr. B.Ravintharan Head, Cards and Unsecured Lending Maybank, Mr. Peter Mahr Group Country Manager South-east Asia Visa International, Mr Lim Hong Tat Deputy President and Head Community Financial Services Maybank and Mr. Stuart Tomlinson Visa Country Manager Malaysia at the plaque presentation ceremony, in Menara Maybank, Kuala Lumpur, recently.
He said this at a special ceremony in which Visa Malaysia presented Maybank with an award for its milestone achievement of 3 million Maybankard Visa Debit cards.
“Maybank has over 7.4 million debit cardholders of which more than 40% comprise the Maybankard Visa Debit which is the fastest growing debit card segment for the Bank as well as in the market today. Maybankard Visa Debit today has surpassed the 3 million mark within three years since we launched it in March 2008,” said Lim.
Peter Maher, Group Country Manager, Southeast Asia and Australasia, Visa said: “We are proud to celebrate Visa’s longstanding partnership with Maybank and the latest achievement in reaching three million Maybankard Visa Debit cards within three years of launch. This rapid progress reflects the growing popularity of Visa Debit cards for Malaysians who enjoy the convenience and security of electronic payments while using their own money to shop at everyday merchants, as well as on the internet and while travelling overseas. We expect that the Maybankcard Visa Debit card will continue to be popular with Malaysians in the years ahead. “
Maybank is the market leader in debit card issuance, card spend as well as merchants offering debit card payment facilities. It commands 75% of the total number of debit cards issued, 85% of total debit card spend in 2010. Maybankard Visa Debit can be accepted at over million merchants worldwide.
“Maybank has recorded the fastest issuance rate of Maybankard Visa Debit in Malaysia and this distinction is testimony of the value proposition the card offers as well as the Bank’s promise to provide greater convenience, and savings to our debit cardholders. At the same time, we continue to offer high rewards for ordinary spend in line with our mission to humanise financial services,” added Lim.
Lim also said that statistics have shown the three top areas for its debit card spend are at hypermarkets followed by petrol outlets and food & beverage outlets.
In conjunction with the achievement of 3 million Maybankard Visa Debit cards, he announced that Maybank is rewarding cardholders through a “Debit & Drive Home A Volkswagen Polo” campaign offering two Grand Prizes of a Volkswagen Polo car each as well as one daily cash prize of RM500 for the highest number of transactions for the day.
Under this campaign, Maybank Visa Debit cardholders who spend a minimum RM20 at any merchant will qualify for an automatic entry. The campaign is divided into two phases, Phase 1 from April to end June and Phase 2 from July to end September where a Grand prize of the car is rewarded at the end of each phase. The campaign offers a total prize value of over RM300,000.
“We intend to further promote the use of cashless transactions via debit cards and target an incremental lift of more than 60% in monthly Maybankard Visa debit transaction volume in this latest campaign compared with the previous corresponding period.
“The latest promotion increases the value proposition of debit cards for those who do not qualify for credit cards or who prefer to use debit cards that can reflect their lifestyle. The rewards will appeal to those who want their debit cards to have similar privileges as credit cards. The promotion has also been expanded to cardholders who spend globally to help them realise the benefit of opting for cashless transactions over the use of cash even when overseas,” added Lim.
Lim also said that this year, the debit card campaigns will target the young market segment namely students in colleges and universities. “The debit card is useful for their educational needs as it is now accepted for fee payment and at bookshops. Through our promotions we are seeing this segment using the debit card for the fee payments and educational needs. Students comprise about 15% of the Maybankard Visa Debit card base and we seek to grow this segment to 25% this financial year. The Maybankard Visa Debit is an excellent practical financial solution tool because students and parents can track their itemized debit card spending via maybank2u.com. They only spend what they have in their account thereby protecting them from spending beyond their means,” he said.
“We will also continue to provide greater rewards to the larger segment of debit card users who are the homemakers and those who are not eligible for credit cards. Its acceptance for e-commerce is also a growing market that saw billings for e-commerce grow 300% since we offered this facility a year ago,” added Lim.