OCBC guns for top spot in credit card space with eye on affluent segment

OCBC's Voyage series of credit cards. The bank has set itself the ambitious target of having the largest credit card business within the next five years. -- PHOTO: OCBC 
OCBC's Voyage series of credit cards. The bank has set itself the ambitious target of having the largest credit card business within the next five years. -- PHOTO: OCBC 

SINGAPORE - OCBC has set itself the ambitious target of having the largest credit card business within the next five years.

Its head of group lifestyle financing Desmond Tan told a briefing on Monday its push to lift its business in the card space as it launched a new credit card targeted at the affluent segment.

The bank now lies in the "third or fourth" place in terms of card spending.

"Being one of the biggest local banks in Singapore, our vision in the next three, five years of being the top credit card player is still in sight."

Growth in OCBC's card spending has been outpacing the overall market over the past three years as the bank made fresh efforts to boost its market share.

Its credit card spending increased 23 per cent last year compared with the same period a year ago, above the market's 7 per cent growth.

This year's growth is forecast by OCBC to rise by 30 per cent, which is expected to be four times more than the industry's.

As part of its battle plan, OCBC launched a new air miles card on Monday that boosts its efforts in the affluent customers segment, targeting those with an annual income of $120,000 and above.

Customers with a net asset value of $200,000 or more as well as customers of its private banking unit - the Bank of Singapore - who have a net asset value of US$2 million and above are also on its radar.

The Voyage series of cards is touted as the first here to offer privileges like having no expiry date on the air miles earned, redemption of air miles across all airlines and no administrative charges.

Users of the card will also be able to access complimentary concierge services known as Voyage Exchange, where all their travel and booking needs will be made by the concierge in a matter of hours.

This is as opposed to them going through the hassle of exchanging air miles and making reservations themselves, which could take weeks and where certain flights are not available due to say, peak seasons.

The Voyage credit cards are made of duralumin, an aluminium alloy.