June 30, 2010
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News: BPI Re-launches SkyMiles
Philippine banks are racing to capture a major part of one of the most lucrative credit card markets. The Bank of the Philippine Islands (BPI), the country's largest bank by market capitalization, has plans to expand its credit card business 20 percent in terms of billings during 2010. To help the bank reach its goal, it will be re-launching its Delta Air Lines credit card. With the exclusive contract between Delta and BPI, cardholders of the BPI SkyMiles MasterCard will enjoy exclusive benefits under the US global carrier's SkyMiles Mileage Program. According to Maria Cristina Go, BPI Senior Vice President and Cards Issuing Business Head, the re-launch is expected to bring the bank from its current 16 percent growth already achieved this year to its 20 percent goal.
The Bank of the Philippine Island has been at the forefront of a growing credit card market over the past two years as its billings have rocket at a 22 percent increase. The market average has been 5 percent. With such a low penetration rate in the Philippines, the credit card market is the target of most lenders as it remains a very lucrative venture. After Delta Airlines acquired Northwest Airlines, the Northwest Airlines WorldPerks card was integrated into Delta's SkyMiles. With the re-launch of the SkyMiles card, BPI will be upgrading the WorldPerks program into the SkyMiles Platinum MasterCard.
Delta's SkyMiles program offers credit cardholders exclusive benefits that include earning award miles that can be used toward travel through Delta Air Lines as well as their SkyTeam Global Alliance Partners and other SkyMiles partners. Cardholders also automatically earn one mile from SkyMiles for every P45 spent using their BPI SkyMiles card. When Platinum cardholders use their SkyMiles card to purchase Delta airline tickets, they will earn double miles as well as travel insurance of up to P20 million. Platinum SkyMiles cardholders will also have free access to the Sky Club at the Ninoy Aquino International Airport.