Our client, a regional airline, had an existing co-branded credit card program that was losing momentum in terms of file penetration, new accounts and cardholder performance metrics
Recent legislation had negatively impacted the client-card issuer working relationship as the card issuer continued to reduce the value of the credit card offer for consumers
Our client was highly motivated to fully understand competitive issuer options available in the market
Engagement Objectives
Evaluate the current program performance and assess client contractual options
Manage a competitive RFP to secure the optimal card issuer and network partner to achieve our client’s objectives
Provide contract negotiation support
Support the transition and conversion process
Provide ongoing program management support to maximize program performance
Results
Selected a highly motivated card issuer
Secured market competitive financial terms (including a 25% lift over previous financial terms)
Renegotiated agreement with the current payment network - increased compensation by 100%
Created more balanced agreements that reflected current marketplace best practices
Created portfolio-win-back strategy that exceeded legacy asset and account base in 24 months
Provided ongoing program management support for 12 months
