There are 38.88 million Filipinos purchasing consumer goods online (via the Internet). According to Janio Asia, a Singapore-based cross-border logistics service provider, the total value of consumer goods in the eCommerce market has increased by 42.5% over the past few months. Card payments are expected to rebound strongly by 15.4% this year, coming from a slump of 7.4% in 2020. The main driver for growth is the improving economic and health conditions.
RCBC Bankard, the credit card arm of Rizal Commercial Banking Corp. (RCBC), together with ZALORA, the leading fashion and lifestyle eCommerce platform in the region, and Mastercard jointly launched the ZALORA Credit Card with the online shopper in mind. This new financial product is packed with fashion and lifestyle benefits and freebies every time account holders shop. This card is also the first-ever sustainable credit card in the Philippines (non-edible corn was used).
The credit card offers free PHP5,000 shopping credits upon account opening. The product also allows cardholders to earn ZALORA credits on all card transactions, offers unlimited free shipping with no minimum spend, zero percent installment, and exclusive offers on ZALORA orders.
On top of these perks, the first-year annual fee is also waived, plus cardholders will have access to RCBC Bankard’s Spend Monitor and Spend Analyzer to help them better manage their expenses.
“This strategic partnership is very timely given the growing eCommerce industry and the improving economic outlook in the Philippines. Further, the ZALORA credit card is a testament to our commitment to our customers that we will continue innovating to deliver mobile and payment solutions that truly respond to their needs and deliver the best customer experience. Together with ZALORA and Mastercard, we are delighted to be ushering a more dynamic, superbly rewarding, and secure payment experience that complements our customers’ evolving lifestyle,” according to Arniel Vincent B. Ong, RCBC Bankard President & CEO.
RCBC Bankard Services Corp. (RBSC) is one of the subsidiaries of RCBC and is tasked to handle the Yuchengco-led financial institution’s credit card business. On the other hand, ZALORA is part of Global Fashion Group (GFG), the leading fashion and lifestyle destination in the Asia Pacific, Latin America, and CIS. In 2017, the Ayala Group became a strategic investor of ZALORA in the Philippines, opening the way to multiple value-adding initiatives across the board.
Paulo Campos, ZALORA Philippines Co-Founder and CEO said, “The launch of the ZALORA Credit Card comes against the backdrop of the ongoing pandemic, during which a staggering 52 percent of Filipinos have shopped online for the first time as they continue to stay home. As a result, eCommerce in the Philippines is still going strong and poised to grow to US$15 billion in 2025, coming from US$ 3 billion in 2019 and US$4 billion in 2020. By offering attractive rewards each time consumers spend online with the ZALORA Credit Card, both on ZALORA’s platform and beyond, ZALORA is looking to ride on the emerging online shopping behavior to strengthen consumer loyalty.”
As of the third quarter of 2021, RCBC Bankard was ranked among the top 5 issuers in terms of Billing and Receivables in the Philippines and has a portfolio of close to one million cards. It has also been recently lauded as the “Best User Experience for Mobile Banking” by The Digital Banker publication and “Mobile Banking & Payment Initiative of the Year (Philippines)” by the Asian Banking & Finance Retail Banking Awards 2021.
“As more Filipinos adopt cashless digital payments to enable how they live and work, it is critical that Mastercard together with partners like ZALORA and RCBC Bankard continue to bring digital-first user experiences to market. In addition, Mastercard credit cards are designed to be safe, simple, and secure so consumers can have peace of mind that every transaction is protected. The ZALORA co-brand card brings many firsts to market, and Mastercard is excited to play a role in this priceless partnership.” according to Simon Calasanz, Country Manager, Mastercard Philippines.