Shinhan Card launches Korean Air co-branded credit card

Shinhan Card (subsidiary of KRX:055550) and Korean Air launched a co-branded credit card Wednesday offering mileage accumulation and Shinhan points rewards on the same transactions, streamlining the dual-benefit structure that travel credit cards typically require. Cardholders earn Shinhan loyalty points on all purchases and Korean Air miles on airline bookings.

Co-branding arrangements give card issuers access to airline customer lists and seat availability forecasting, enabling marketing of travel products. Carriers gain deposit-taking partnerships without building proprietary payment infrastructure.

Korean Air's market capitalisation was ₩10.7 trillion at Thursday's close, with credit products generating roughly 8% of ancillary revenue. Card co-branding is mature in Korea, with most carriers issuing three to five co-branded products, each targeting different customer segments (frequent flyer, light leisure, business travel).

Shinhan Card competes against five major card issuers in Korea for co-brand partnerships and has 38 active co-branded products.

Sources

  1. Yonhap
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