And the good reputation of customer satisfaction is also an important asset. As per stats at the end ofHyundai Card had a market share of The proceed of selling the business may help raise substantial fund capital and enable the company to invest in other business with higher return.
Golf club, luxury suites Evaluation: With less budget allocated, the company may start to lose the status as one of the four biggest player in Korean card business 3. While the company remains its presence in its domestic market, the company will develop more profit growing point in overseas market Cons: That number has well exceeded Americans As per stats in Mayit captures a 9.
According to a report of The Economist, Korea has the equivalent of 4.
Recommendation Mainland China, other developing South East Asia countries Positioning With its tie with the branded name in Hyundai Motor, it should position itself as one of the premium brand in the market.
Marketing Mix Elements 4 Ps Price: Credit card business in South Korea is a competitive market. The uncertainty in less mature overseas market may not guarantee profit, it can also lead to unexpected loss for the company Decision Matrix Three options may be good options for different companies.
Hyundai Card is the fourth biggest credit card issuer in South Korea.
The company entered the credit card business in through the acquisition of Diners Card as a subsidiary. And Koreans made frequent transactions with credit card, on average, each Korean swipes card for Therefore there is no way for the company to sell or downsize their business.
Try to move out of the business by selling it to a suitable buyer Pros: Down size the business by cutting cost Pros: Should aim at customers at high end with high social status Product: As a result, many card issuing companies started to cut the budget and become more conservative in doing their card business.
Try to offer card holder with incentive using the card to purchase Place: And the card market has become saturated, as there are too many card products in the market, which card caters for different need.
With less promising future in the local market, the company should start to concentrate to penetrate into other markets in order to develop more profit growing points and remain as a leading brand name in the credit card business.HyundaiCard’s Marketing Strategy 2.
Hyundai Motor Group prepared a long term strategy to enter into Credit Card industry. They entered into the competitive Korean credit card industry in the year as “Hyundai M Card”.
HyundaiCard was the top among its competitors in Credit Card industry. HyundaiCard plans to enter into various. In the competitive South Korean credit card market, a review of the past decade of HyundaiCard's marketing strategies and evaluation of anticipated possible difficulties of being a market follower revealed several challenges for senior management.
Hyundai Card need to develop marketing strategy by word-of-mouth and improve its online marketing strategy. For example. the premium card is the most prospectus one to be improved its customer relationship. The marketing strategies aimed at increasing the frequency of use of the card with an aim to increase its profit.
Thus, the key success factors of the Hyundai Card comprised of market segmentation, eCRM strategy, promotion development and the integration of customer information.
The strategy has led to great success, Hyundai Card received a Number One ranking in the Korea’s National Customer Satisfaction Index. The Korean credit card market has experienced a period of overheating due to a rapid expansion in the number of cards, reduced standards for issuing cards, etc.
Case Study: Hyundai Cards Marketing Strategy By: Innestasia Tjahyadi I. Introduction Hyundai Cards, sponsored by Hyundai Kia Automotive Group, was established in They joined in as the market follower, challenging the highly competitive credit card industry in Korea.Download