Competition between Israel's credit card companies is heating up. Isracard Ltd. has launched an aggressive marketing campaign to boost its market share and give it an edge on its rivals. It has launched a preloaded credit card for private customers, which offers a fixed 15% discount at 20 retailers.
The preloaded credit cards offer customers terms that until now were limited to customer clubs such as Hever (the IDF and security forces servicemen and pensioners NGO). The new card is a kind of digital shopping coupon that can be purchased at any time and does not perish or expire, and can be reloaded.
Isracard CEO Dov Kottler said, "The new retail card gives customers high-rate fixed discounts, enabling savings of 15% on every purchase, and is a real alternative to the usual shopping coupons."
Isracard believes that preloaded cards have high growth potential. Until now, such cards were only available for large companies or government agencies; now they will be available for private customers.
Customers will buy cards preloaded with NIS 1,000 but will be charged NIS 850 directly from their credit cards.
The cards can be loaded from Isracard's website. Customers can find out at any time the balance on their cards via the company's call service or website.
Participating retailers include fashion chains Honigman and TNT, computer store Bug, appliance stores ELM and Shekem Electric, and bookstores Steimatzky and Tzomet Sfarim.
Published by Globes [online], Israel business news - www.globes-online.com - on December 23, 2010
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