Credit unions, faced with the challenges of rapid industry consolidation and a slowing economy, can thrive if they leverage customized programs and new technologies made possible by their payment card portfolios, says Bill Mathis, senior vice president for MasterCard International.
Speaking at the Credit Union Journal’s Third Annual Business Development Select Employee Group (SEG) Conference, Mathis cited the wide array of payment options, advanced market segmentation strategies and strong promotional campaigns as a means to boost portfolio revenue. Payment card portfolios level the financial services playing field for credit unions, he said, allowing them to keep their rates low, while offering their clientele world-class payment solutions under their own private label.
“Today’s card portfolio is much more diverse and much more powerful than it was only a few years ago,” said Mathis, who drew comparisons with conventional card program solutions. He drew attention to the emergence of person-to-person payment systems and the huge potential in consumer-to-government payments, such as tax bills that are paid with credit and debit cards. Mathis also pointed out the growth of government-to-consumer payments in the form of tax refunds, pensions and other social services benefits through stored value cards. He also cited significant growth in online transactions now being done with payment cards as testimony to the high level of public trust in the card issuing institutions and the potency of global branding campaigns.
“At MasterCard, not only are we delivering a greater variety of payment options, such as virtual card accounts and stored value cards, but we have also introduced a consulting service called Market Advisor that is particularly well suited for credit unions. Market Advisor gives credit unions a real-time look at their card-usage data, so they can monitor and measure the performance of card programs and quickly make adjustments.”
At MasterCard, Mathis is responsible for providing leadership to a team focused on increasing the profitability of MasterCard’s members. Bringing more than 25 years of experience in management and customer-building skills, Mathis delivers an individual, consultative approach to MasterCard’s members – regardless of their size. The SEG Conference will host various discussions, lectures and workshops on the most recent techniques and strategies for building credit union membership, as well as how to retain existing members.
MasterCard International has the most comprehensive portfolio of payment brands in the world. More than 1.7 billion MasterCard(R), Cirrus(R) and Maestro(R) logos are present on credit, charge and debit cards in circulation today. An association comprised of more than 20,000 member financial institutions, MasterCard serves consumers and businesses, both large and small, in 210 countries and territories. MasterCard is the leader in quality and innovation, offering a wide range of payment solutions in the virtual and traditional worlds. MasterCard’s award-winning Priceless(R) advertising campaign is now seen in 81countries and in more than 36 languages, giving the MasterCard brand reach and scope unrivaled by any competitor in the industry. With more than 21 million acceptance locations, no card is accepted in more places and by more merchants than the MasterCard Card. In 2000, gross dollar volume exceeded US$857 billion. MasterCard can be reached through its World Wide Web site at .Details