BUSINESS CASE: SOUTHERN EUROPE
Tracked value of 17.40 EUR recurrent every year per active credit card
REGION: SOUTHERN EUROPE
CLIENT: RETAIL BANK NO. 3 IN THE MARKET
MODULE: REVENUE ENHANCEMENT
SCOPE: CREDIT CARDS & DEBIT CARDS
ACTIVE CREDIT CARD PORTFOLIO: > 1.3 M
ACTIVE DEBIT CARD PORTFOLIO: > 4 M
PROJECT EXECUTION: 10 WEEKS
In total 44 strategies have been presented for credit cards and 10 strategies for debit cards.
The tracked value per active credit card is at 17.40 EUR recurrent per year.
The tracked value per active debit card is at 1.41 EUR recurrent per year.
First implementation was reached 5 weeks after the project end, with the first 4 strategies being rolled out.
Implementation ratio to presented value is at 45%.
31% of the value implemented was parametric implementation.
The tracked value in total is 36% over the initial impact estimations.
+ 17.40 EUR
tracked per active credit card
+ 1.07 EUR
tracked per active debit card
Our client faced the significant challenge to unify multiple separate banks into one bank. We were assisting with verification of fees and interest applied, providing the best settlement methodology and fee scheme, pointing out leakages and providing revenue enhancing initiatives to the client and its card issuance (Credit & Debit Cards).
Despite the complexity of different systems and settlement methodologies we managed to execute the project in 10 weeks. We presented 44 credit card and 10 debit card strategies to the bank.
Following our main principle of presenting acceptable & implementable strategies the bank went for 24 credit card strategies and 4 Debit card strategies.
In terms of acceptance ratio impact we reached acceptance for 45% of the value presented.
Recurrent value presented vs. accepted per active credit / debit card
CC per unit
DC per unit
Presented per unit
Accepted per unit
With 13.01 EUR accepted per active credit card and 0.62 EUR per active debit card we managed to surpass the client's expectations already.
Parametric and low complexity in terms of IT implementation made up 52% of the value implemented and was in most cases almost immediately actionable.
Implementation complexity by impact
The client did the development of the strategies internally, reaching first implementation within 6 weeks of the projects end.
We reached implementation in all income levers of the bank, with the majority coming from the fee income of the bank. This was also debited to the fact that DC don’t have any interest.
Value distribution by income lever of implemented impact
Despite the challenging situation the bank was in, UPITE succeeded in contributing significant value to the bank, surpassing the banks expectations by far.
We have reached a tracked recurring value per year of:
17.40 EUR per active Credit Card
1.07 EUR per active Debit Card
The overall tracked impact is 36 % above original estimations.
Estimated vs. tracked impact per unit
CC per unit
DC per unit
We have managed to add significant value to this client which lead to the client contracting us for two more projects, providing our services for all other retail banking products of the bank with similarly excellent results obtained in these projects.
The collaboration with the team of the bank was and is excellent up to this day, which is a key factor for achieving these results.