Former Managing Director and Global Head at Standard Chartered (CT) Ltd
- Southeast Asia card penetration growth
- Customer acquisition and distribution channel strategy
- Bank product offerings comparison
- 2019-20 sector outlook
How do you assess Southeast Asia as a market, and what are the respective TAMs?
What is your updated perspective on card penetration and penetration growth within some of the addressable markets you mentioned – 20 million people in Indonesia, 10 million such in Vietnam and the Philippines?
What’s driving growth in Indonesia?
What is the Indonesian consumer’s behaviour and perception of credit cards? How should we assess it as a product within this market compared to unsecured personal loans and other sources of credit?
To what extent do banks want to grow the credit card product across the region, given the complexity or perceived complexity of the product compared to personal loans?
Can you elaborate on credit card consumption or borrower habits? How do consumers perceive the product in Indonesia, the Philippines and Vietnam, and what uptake may look like?
With favourable growth characteristics across the market, what do the banks need to do to unlock growth?
Does the rising prevalence of e-wallets mean banks have been too late in pushing cards? Is there a risk that the opportunity has been missed or is capped in the long term, as you mentioned?
Which regulatory regimes do you think are most conducive or constructive towards credit cards and the model, compared to markets where they’re less constructive?
In Vietnam, there have been regulatory changes for other products. Should we worry about credit cards and APR [annual percentage rate] caps?
Can you give us a sense for product profitability across Indonesia, Philippines and Vietnam from a yield or return on assets perspective?
What are banks doing innovation-wise regarding credit cards or how are they trying to advance it? How are they adapting the product to the local markets?
You mentioned there is a minimum scale necessary to make money, due to different APR caps and other market fundamentals. Which foreign or local banks are doing this well, have the scale and are actually making money?
Is anyone trying to aggressively expand the credit card product book in any of these countries?
What role do debit cards play across Indonesia, Philippines and Vietnam, as a substitute to credit cards?
You referred to delinquencies earlier on. This is on the basis of the banks’ risk appetites and target audiences, but how worried should we be about asset quality, if worried at all?
What do you think is critical for analysts to understand about credit card sector in the markets we’ve discussed? What do people typically misunderstand?
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