Card issuing has become a major component of the retail banking mix as financial institutions implement new channels to serve their current account and lending customers.
Issuing Strategy
Issuers are operating in an increasingly competitive marketplace with relatively low barriers to entry and minimal switching costs for cardholders. In fact there are real incentives for certain cardholder segments to change issuers, with attractive offers of interest-free periods and other special deals. In this increasingly challenging environment it is imperative that issuers retain their most profitable customers.
How can Accourt help?
Accourt has specific and proven expertise in card systems, together with effective management practices and processes that are well placed to assist issuers to develop effective strategies for:
- Cardholder Acquisition - we support clients to develop effective processes to identify appropriate target segments, as well as marketing campaigns to ensure effective acquisition.
- Cardholder Activation - we assist issuers to ensure newly issued cards are activated and used, as well as identifying strategies for activating cards that have remained dormant for some time.
- Cardholder Usage - we deploy proven marketing campaigns that drive usage both domestically and in a cross-border environment.
- Cardholder Retention - we provide effective segmentation strategies and techniques to enable financial institutions to retain and enjoy the strong revenues that are yielded from an effectively managed account base.
- Loyalty Programmes - we work with financial institutions and retailers to provide differentiated loyalty solutions that are valued by cardholders whilst adding to the bottom line of the programme owners.
- Co-branding - we continue to support financial and retail clients across all sectors, including travel and entertainment, retail, and consumer electronics.
Market Positioning
Though tied together by international payment scheme operating regulations and other recent mandates - such as the Single Euro Payments Area (SEPA) - within Europe, each market has its own business practices and cardholder attitudes.
How can Accourt help?
The majority of our assignments are within the European arena and we understand the diversity and heritage of each market. We support clients with domestic and cross-border business issues and are tuned into to current SEPA mandates - as well as likely changes for the future. Our focus on SEPA-related assignments assists financial institutions and processing organisations to achieve tangible competitive advantage, rather than mere compliance with the mandated changes.
Card & Application Management
Following Y2K, EMV, multi-currency, the increased risk of bad debt and the introduction of contactless technology, many financial institutions are migrating from home-grown solutions to scheme-compliant, vendor-supported card management systems. Against this backdrop the industry is becoming ever more sophisticated, with new products and services continually being introduced. The effect of all this is that card issuers have to make strategic decisions about which vendor to choose in a complex and confusing landscape, where there is little or no margin for error.
How can Accourt help?
Accourt works across the full card management value chain, from application processing to collections. We are familiar with and able to advise our clients on front and back office systems, as well as application switching and the clearing systems involved in completing on-us and inter-bank transactions. We are also well positioned to help clients correctly source the various components of the mix required to achieve their business objectives.