KUALA LUMPUR: Citibank and Lazada Group aim to garner about 500,000 memberships across Southeast Asia over the next few years with the maiden launch of a new Lazada Citi credit card in Malaysia.
Citibank regional director credit cards and personal loans Asia Pacific Sanjay Nambiar said the digital economy in the region had been growing tremendously fast and is expected to reach US$250 billion in the next five years.
“It is an important target for us. We expect 50 per cent of existing Lazada active members will shift to the new card as it will be introduced to other markets in the region over the next six months,” he said at a press conference at the launch of Citi and Lazada Group new credit card launch here yesterday.
Lazada Malaysia chief marketing officer Diana Boo said more consumers are adopting e-commerce online shopping platform due to the changing pattern of shopping across the region.
“We believe the adoption of e-payment credit card usage has increased mostly in cities,” she said.
She said payment options need to be broaden for consumers, especially the growing base among the millennial segment.
“Looking at the current trend, it is not impossible that the society could go into cashless,” she said.
Citi Malaysia consumer business manager Elaine Fan said the launch was a step forward in co-branding for the credit card business as it showcases the power of e-commerce combined with the strengths of a global financial platform.
“At Citi our priorities include expanding into new segments such as millennial shoppers who make up the most number of e-commerce customers.
“Citi clients have shown a greater preference for transactions in digital ecosystems. As a premier global digital bank, we are constantly innovating to bring to the market exciting digital financial solutions,” she said.
New applicant can receive up to RM500 Lazada vouchers when they apply online.
Citi’s Asia Pacific consumer banking business has about 15.2 million credit cards, covering 12 markets in the region as well as five in Europe, Middle East and Africa.
Close to half of new credit card and loan acquisitions are generated digitally today, representing a more than two times increase in the last three years.
Lazada has about 50 million active users in Southeast Asua and Malaysia accounts for about one third of its population.