Visa launches Co-Brand Forum in Vietnam, showcasing data-driven targeting strategies that catalyze business growth for brands
08/23/2024
The international trend of co-branding is paving the way for Vietnamese businesses to enter the global market to meet the growing expectations of consumers. Visa, a global leader in digital payments, successfully hosted its Co-Brand Forum in Vietnam for the first time, following previously launched in India, Indonesia and the Philippines. The event, featuring 80 distinguished participants such as key Vietnamese merchants and issuer partners, sparked dynamic discussions on the co-branding evolution in Vietnam. It underscored best practices in co-branding and interactive thought leadership panels, showcasing Visa's vast co-branding experience in driving growth for many brands.
With 45 years of experience and more than 700 global co-brand initiatives, Visa has established itself as a strategic collaborator in the co-branding arena. Today, Visa is a pivotal partner in eight of the 10 largest global programs1. In Asia Pacific, co-brands contribute to one-third of consumer credit card volume2.
Ms. Dung Dang, Visa Country Manager of Vietnam and Laos, said: "In today's competitive business environment, businesses that effectively use data to add value throughout the customer journey are more likely to succeed. With the rise of hyperpersonalization, co-branding offers great potential for targeted marketing. Consumers want personalized offerings. In co-branding, generic value propositions will be replaced by more relevant, hyperpersonalized ones. This lets brands meet customers exactly where they are.”
By 2035, it is expected that Vietnamese citizens will join the global middle class, according to a McKinsey report3. This will increase disposable income, triggering more consumption and spending. It signals vast opportunities for brands in Vietnam, one of Southeast Asia's fastest-growing markets. Even with global economic disruptions, Vietnam's customer loyalty market is poised to grow, with a projected CAGR of 9.8% from 2024 to 2028. This presents an ideal opportunity for brands to strengthen customer loyalty.
Mr. Vibhore Saraswat, Senior Director, Enterprise Partnerships & Card, Asia Pacific excluding China, Marriott International, who participated in the forum, said: “We are thrilled to be a part of Visa's Co-Brand Forum in Vietnam, which demonstrates Visa's commitment to fostering meaningful and impactful collaborations. Our strategic partnership with Visa and its innovative solutions have been critical to our growth and success, enabling us to provide unparalleled experiences for our Marriott Bonvoy members.”
Visa Consulting & Advisory services are instrumental in boosting co-brand portfolio acquisitions through in-depth analysis of VisaNet’s transaction data and data-driven strategy. Furthermore, Visa Marketing Advisory services foster the growth of co-brand programs by implementing effective marketing strategies and delivering compelling communication that resonate with target segments and product value propositions, and leveraging our exclusive sponsorship platforms and partnerships. Particularly for brands aiming to reach specific target audiences such as Gen Z, sports enthusiasts or SMBs, these key principles for co-brand growth remain relevant today. Embracing emerging verticals and demographics, and understanding their needs, are essential to fuel growth in this space.
Shopee, VPBank and Visa collaborated to launch their first co-branded credit card in Vietnam in 2020, with Mr. Tuan Anh Tran, Executive Director of Shopee Vietnam, who shared: "Over the past four years, our partnership with Visa has profoundly transformed the online shopping experience for millions of Shopee users via our co-branded card. This collaboration has exceeded expectations by delivering exclusive benefits and unparalleled convenience that deeply resonate with our customers. We consistently receive positive feedback on the card’s seamless signup process, rapid processing times, and robust security features, all of which have contributed to a more streamlined and secure shopping experience. Shopee deeply values our partnership with Visa, and we remain committed to providing exceptional value and innovative solutions to our customers as digital commerce continues to evolve."
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1 Internal Visa analysis, corroborated by research with Verisk (2021)
2 The Bond Loyalty Report, Asia Pacific, 2023. https://info.bondbrandloyalty.com/cobrand-congruence
3 McKinsey.com, “Vietnamese consumers are coming of age in 2023: How businesses can stay ahead”, May 26, 2023. https://www.mckinsey.com/featured-insights/asia-pacific/vietnamese-consumers-are-coming-of-age-in-2023-how-businesses-can-stay-ahead
About Visa
Visa (NYSE: V) is a world leader in digital payments, facilitating transactions between consumers, merchants, financial institutions and government entities across more than 200 countries and territories. Our mission is to connect the world through the most innovative, convenient, reliable and secure payments network, enabling individuals, businesses and economies to thrive. We believe that economies that include everyone everywhere, uplift everyone everywhere and see access as foundational to the future of money movement. Learn more at Visa.com.