Introduction
Company Background
KTC is a leading consumer finance provider in Thailand. Previously it was wholly owned by Krung Thai Bank Pcl (KTB), the state-owned and the longest universal bank in Thailand until October, 2002 when KTC was privatized and KTB diluted its share to 49%.
KTC is now listed on the Stock Exchange of Thailand with market capitalization of Baht 6.8 billion; it is among the top market capitalization consumer finance monoliners worldwide.
KTC thrives to be a membership company focusing on the Thai consumer finance market, one of the fastest growing and most profitable industries. The number of credit cards in Thailand has continuously increased and usage per card has continued to rise over the past several years. Other than credit cards, personal loans have recently been growing steadily, partly due to the participation by non-banks. The burgeoning of micro business in Thailand has created another type of financial service product needs: unsecured lending for micro entrepreneurs. This market segment is mostly captured by non-banks and foreign banks rather than local commercial banks, which focus on lower market.
We are committed to serve our members across the country over their life cycle stages with multiple consumer financing and others related products. Our strong membership base is built on two fundamentals: customer insight and branding. Customer insight in the KTC context is a good understanding of member’s needs and characteristics, which enables us to serve them proactively in the long term. Strong brand helps bring in and retain our members through consumers’ brand association. Solid membership base ensures our long-term business success.
Market Situation
The number of credit cards in Thailand significantly rose to 8.8 million accounts at the end of 2004, compared to 6.7 million accounts in 2003. Even with a high growth rate, Thailand’s number of credit card penetration rate at 14% in 2004 was much lower than that...