upite waves bg.jpg

BUSINESS CASE: SOUTH EAST ASIA

Tracked value of 18.57 USD recurrent every year per active credit card

REGION: SOUTH EAST ASIA

 

CLIENT: RETAIL BANK NO. 3 IN ITS MARKET

 

MODULE: REVENUE ENHANCEMENT

 

SCOPE: CREDIT CARDS & PERSONAL LOANS

ACTIVE CREDIT CARD PORTFOLIO: > 700 K

PERSONAL LOAN PORTFOLIO: > 150 K

PROJECT EXECUTION: 8 WEEKS

Singapur

FACTSHEET RESULTS
 

  • In total 30 strategies have been presented. 

  • The tracked value is at 18.57 USD recurrent every year per active Credit Card. 

  • The tracked value is at 3.71 USD recurrent every year per Personal Loan. 

  • First implementation was reached 3 weeks after the project end, with 4 strategies rolled out. 

  • Implementation ratio to presented value is at 64%.

  • 46% of the value implemented was parametric implementation.

  • The tracked value in total is 28% over the initial impact estimations. 

+ 18.57 USD

per year

 

tracked per active credit card

+ 3.71 USD

per year

tracked per active personal loan

ENGAGEMENT SUMMARY
 

PROJECT EXECUTION

The goal in this Revenue Enhancement project was to increase the profitability of the credit cards area and the personal loans area.

Our unique project approach guarantees quick execution and only very limited time dedication from the bank’s staff throughout the project. 

The project was delivered in 8 weeks, in which UPITE presented 30 strategies to the bank.

The strategies were discussed, filtered and adapted based on meetings with business, legal/compliance, systems and marketing. At the end of this process 12 strategies were accepted for implementation.

UPITE’s principle is to present applicable and actionable initiatives. The acceptance ratio of 64% of the total value presented reflects the applicability of our strategies. 

Recurrent annual value presented vs. accepted per active unit (in USD)

20.79

14.03

14.30

5.12

Credit cards

Personal loans

Presented value per unit

Accepted value per unit

Already in the project execution phase we managed to surpass our client’s expectations significantly with 14.03 USD per active Credit Card and 5.12 USD per Personal Loan in recurrent annual accepted value. 

IMPLEMENTATION PROCESS

All accepted strategies have been prioritized for implementation based on their impact and implementation complexity. 

Implementation complexity by impact

49%

26%

18%

7%

Parameter

Low

Medium

High

As you can see above 49% of the value implemented was parametric. One of our main goals is to strive for easily implementable solutions in order to achieve quick wins for our clients with low impact on already scarce IT resources. First implementation was reached three weeks after the project end.

In terms of value distribution of the accepted value looking at 3 levers, the majority of the impact coming from interest related strategies:

Value distribution by income lever of accepted strategies

2%

47%

51%

Fees

Interest

Others

First implementation was reached for four strategies 3 weeks after the project end.

RESULTS OBTAINED

UPITE succeeded in creating a trustworthy relationship with the client, which was a key factor to reach these exceptional results. 

We have reached a tracked recurring value per year of:

  • 18.57 USD per active Credit Card

  • 3.71 USD per Personal Loan, 

thereby surpassing the expectations of our client significantly. 

The overall tracked impact is 28 % above original estimations. 

220 USD

200 USD

180 USD

160 USD

140 USD

18.57 USD

+10%

183.23 USD

Before UPITE

Income evolution per active credit card

After UPITE

UPITE managed to add more than 10% to the per card annual income of the bank. As there is no additional cost per card, the bottom-line contribution is much more significant.

Despite an increase of 18.57 USD per active card on average there was no significant client reaction arising from the implementation of UPITE’s strategies. 

The support and teamwork with the bank, an excellent relationship built, paired with the willingness to pursue new ways and the support of the management of the bank has made this project so successful. 

UPITE Consulting Services SL

Calle del Golfo de Salonica, 27

28033 Madrid, Spain​

+34 91 345 1747 • info@upiteconsulting.es

Legal Terms

© UPITE Consulting 2020