presentation final monti

8/6/2019 Presentation Final Monti

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An Analysis on Marketing communication of American Express Credit Card

and its competitors in Bangladesh

Prepared By

M Maruf Hassan MontiPrepared for


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A credit card is a small plastic card issued to users as a system of payment.

cardholders can buy goods and services based on the promise to pay

user can borrow money for payment to a merchant or as a cash advance to

the user

sometimes cardholders can use it to make purchases through instalment

plan

Credit Card


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American Express is a diversified global financial services company founded in 1850.

Amex operates in 130 countries around the globe. The company is best known for its

credit card, charge card, and traveler's cheque businesses brand in the world

Founded 1850

Headquarters New York City, United States

Area served Worldwide

Industry Finance, insurance, and travel

agencies

Products Financial and travel services

Website www.americanexpress.com

Amex - as a Company


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Historically, American Express operated in the card business whereonly they issued American Express cards on their network

In 1996 American Express made a strategic decision to open up the

American Express network to other financial institutions and issuers

Global Network Services (GNS) was set up in 1997 to manage and

grow this new line of business which is seen to be one of the growth

areas for the company

GNS has no direct access to the customer Amex serves as a network

As of today, there are 110 partners on the network in around 130

countries. They are focused on strategic partnerships

Amex is known for innovation and flexibility

Amex - as a Company


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The American Express brand is a unique and extremely powerful tool to attract

and acquire high spending customers.BusinessWeek and Interbrand ranked American Express as the 22nd most

valuable brand in the world.

TRUST & INTEGRITY

by treating customers fairly & honestly

CUSTOMER COMMITMENT

providing superior service, benefits & extraordinarysupport whenever required

WORLD-WIDE SECURITY

a safety net wherever customers are and

whenever they need help

SIGNALS SUCCESS

by helping customers reach their goals and by giving

them the tools to attain even greater

success

QUALITY

the highest quality in services & products,

outstanding value for price

American Express Brand Attributes


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On 7th November 2009 City Bank introduced American Express Credit

Cards in Bangladesh.

It was introduced to the national media on 7th November 11am at Westin,

Dhaka through Meet the Press. Top members of national media that

includes the Business editors from Press, Radio and Website were present

on that ceremony.

The Grand Launch event was held at Radisson WaterGarden Hotel on

the same day at 7pm in presence of Bangladesh Bank Governor and the

VIPs of the society.

Amex-Launch in Bangladesh


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Gold

Amex Credit Card in Bangladesh


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American Express

Gold Credit Card features and benefits:

Complimentary CompanionAir Tickets to Kolkata

Access to the American ExpressAirport Lounge

American Express Fast Track channel at airport immigration

Complimentary Dining at The Westin Dhaka

6% Cash Back at Nandan andA

gora

American Express Credit Card features and benefits:

Complimentary coach tickets to Cox's Bazaar

Complimentary Theme Park Tickets

6% Cash Back at Nandan and Agora

American Express SelectsTM

Amex Gold and GB card Features


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ATL communications

American Express Credit Cards were introduced in 2 major dailies ofBangladesh with a clutter breaking ad which taken the market bystorm on 8th Nov 09

The press ad was a 4 page jacket based on the History ofAmericanExpress heritage, Strategic benefits and the partnership between CityBank and American Express hand holding and the Selects Privileges

The selected news paper was Prothom Alo & The Daily Star; themost circulated newspapers in Bangladesh

Half page (80 CI) ads on 8 top newspapers has also been placed todeclare the introduction in Bangladesh on the same day

Communication Strategy of Amex


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Newspaper Jacket Ad


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American Express Heritage newspaper ad


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Half page newspaper ad with

Strategic Benefits


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Generic newspaper ads with the communication of card benefitsappeared on newspapers in 40 CI (columns-inches)

GenericNewspaper ads


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All the strategic benefits 40 CI ads appeared on newspapers till Jan 2010.

Strategic Benefits Newspaper ads


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American Express SELECTS

Newspaper ad


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43 Billboards in 4 divisional city

Dhaka, Chittagong, Sylhet &

Khulna showed the American

Express heritage and City Bank

introduces AMEX in Bangladesh

form 7th November to 14thJanuary 2010

Out of Home Communications


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Mega signs at different part

of the city shown AMEX

and City Bank logo

subsequently under brand

the blue campaign.

Mega Signs


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Apart form the billboardsand mega signs 7 mega

balloons bearing City

and American Express

logos side by side form

8th Nov to 23rd of

Nov09.

Mega Balloons


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City Bank- American Expressbranded the Hazrat ShahjalalInternational Airport with

54 check in counter desks

Arrival and Departure Immigration

counter desks and desk over headFast Track channel for City Bank

American Express cardmembers

Balaka Lounge with X standbanners and tent cards.

(City Bank- American Express lounge will beinoperation from16th of August)

International Airport Branding


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Out of 87 branches 50 prominent City Bank branches were branded with thefollowing branding materials.

Tent Card (Apply Today)Glass poster (Product Benefits)X stand banner (Apply Today)Brochures with stand (Short product brochure)

47ATM booths were branded with

Glass StickerOver Head fasciaSandwich poster inside the booth (AMEX heritage & Apply today)ATM display shows Apply today

More than 134 Q-cashA

TM booths bearing cards acceptance sticker on thefront face of the booth.

BTL Communications


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Amex has total 7 Strategic Partner as..Dhaka Westin, Jet Airways, Baghdad Express, Nandan Megashop, Agora

Superstore, Fantasy Kingdom, Balaka Lounge at Hazrat Shahjalal Int.

Airport.

POP materials X-stand banners, Posters, Cards welcome decals and Tent

cards are placed at strategic merchant points.

Strategic Partners POS branding


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All together 70 SELECTS merchants with 118 outlet.

SELECTS customized PoP materials:X-stand bannersMenu Stand (dining only)Wall posterTent card

Reserved sign (dining only)Bill folder (dining only)

SELECTS Merchants Branding

with POP materials


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Co-signages & Light Box


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City Bank-American Express pro golfChampionship 2010: City Bank &American Express held a professional golf tournament to drive credit card

sales among the top notch of the society who were into golf playing

US trade fair2010: American Express

stall at US trade fair has also

contributed significantly

to promote the experiential marketingactivity ofAmerican Express

More brand building at BTL


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The Genious of Valmiki - a musical drama: Amex madetheir entry to the Art and Cultural arena of the country with

the sponsorship of the genious of Valimiki the first

musical opera of the

country on March 12, 2010

Evolution ofSaris:

City Bank & AmericanExpress showcased a

fashion show entitled

The Evolution of Sharis

in the subcontinent over100 yearsat Ahsan Manjil

More brand building at BTL


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SWOT Analysis

SWOT Analysis of American Express

STRENGTHS

Strong financial background

Global brand-Heritage of 150

years

Global reach & presence

Strong brand equity

2480 POS machine and 1760

merchant


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SWOT AnalysisSWOT Analysis ofAmerican Express

WEAKNESSES

Higher merchant rate

Weak network(inability to work

in offline )

Sales team is not well

sophisticated

Intl. Amex card is not accepted

in BD.


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OPPORTUNITIES

Credit card is becoming more

associated with lifestyle

Unsaturated market

Socio-economic condition


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THREATS

Competition from other

financial institutions

Govt. intervention

Possibility of new

entrance.(Visa/Master Card)


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Creditcardtype

Visa user dominant due to demand

Master Card holders are present but in selected outlets

Competitivescenariosummary

SCB gives standard service rest are rated poor

In terms of pricing SCB is high and rest are lower

Card Market


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Standard Chartered Platinum Card

Brac Bank VISAGold Card

EBL Platinum VISA Card

Competitors


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Amex 2620

0

B 15000

0

BRAC, 5500

0

EBL, 23000

UCB, 21000

Credit Card Users in Bangladesh


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InstaBuys @ 0%

Instalment plan that allows carmembers to convert any

retail purchase over Tk. 3,000

Free@18

Cardmembers can get 100% waiver on their next Annual

Fee by doing only 18 transactions during the 12 month period between 2

Annual Fee dates.

Auto BillsPay

cardmembers no longer have to stand in long queues for paying their

monthly bills of Electricity,Mobile Phone Internet.

CardCheque

Card Cheque (Account Payee only) for payment to any person or

establishment within Bangladesh. .

Benefits Of SCB Credit Card


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Lower Interest Rate: at 2.17% per month where a regular card is charged at2.5% per month.

Balance Transfer at 20%: able to transfer cardmembers current other bank

Card outstanding balance at 20% annual interest to their EBL Visa Platinum

Credit Card.

Travel Accident Insurance: EBL Visa Platinum cardholders are

automatically entitled to a minimum coverage of BDT 10,00,000 for TravelAccident Insurance.

Emergency medical assistance: provides cardholder with contact details of

physicians, hospitals, clinics, dentists and dental clinics.

FreeFirstCardCheque:cardholder enjoy a full-fledged cheque book

facility.

Benefits of EBL Platinum Card


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CardchequeFacility:with a reduced interest rate of 27% against their

credit card limit

FAST RewardsProgram:allows carmembers to earn some points every

time whenever they spend their money through POS

Balance Transfer:cardmembers have the option to transfer their current

outstanding balance at a much cheaper rate of 22% to their BBL Credit

Card.

PayFlex: Installment program that allows Cardmembers purchase from

selected PayFlex partner outlets for 0% interest

Benefits Of BRAC Visa Gold Card


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Competitive Scenario in Media

Brac, UCB, Prime have limited media presence in Press, Magazines, FM

radio and TV

Among the lot BRAC and EBL has come up with specific brand identity

SCBs business volume is high and the TA already know them as leader.

Their exposures include CSR, Golf, Magazines, presence in clubs and

outlets widely


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Communication of Brac Bank

Brac bank come up with ATL communication strategy

TV ad

PressAd


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Communication of Brac Bank


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A Bank with Difference

Get more from life

Spend in Style Free life insurance benefit package

Communication of Prime Bank


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SCBs communication

Prestige, Pride & Strength

In welcome guide You want a smooth life, we help you sail through it

In Rewards Catalogue

You choose the right partner, we reward the partnership


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EBL Billboard


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Press Ads of EBL


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EBL


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Press Ads of EBL


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Trained up Sales Team

Card members should recommend new merchants

New demand could be established by operating more in general

utility arena

The existing service level can be enhanced (Full Travel Package)

The number of POS machines should be increased and network

coverage should be uninterrupted

As Amex always focuses on strategic partners SELECTS should

add more partners with them.

.

Recommendations


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Financial control through online to track all financial accounts

Develop network service on POS machine

Providing Superior Customer service

Life Style Assistance for card members

Need more activation for the card members to create word of mouth

Need more BTL activities and taking advantages of ATL through

these.(e.g. The Genious of Valmiki, Evolution of Saris etc.)

City Bank should motivate their card members through rewarding

them

Should reduce income requirements of the card members.

Recommendations


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THANK YOU


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QUESTIONS

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