Mastercard and Singapore Airlines (SIA) have unveiled a five-year strategic partnership, appointing Mastercard as the preferred partner for SIA’s upcoming co-branded card programs across Southeast Asia. The partnership extends to countries including Cambodia, Malaysia, the Philippines, Singapore, Thailand, and Vietnam.
According to both brands, in recent years, Southeast Asia has witnessed a resurgence in travel, with consumers displaying a keen interest in outdoor experiences. In Singapore particularly, travel expenditure accounted for over 37% of discretionary spending by the end of 2023, according to data from the Mastercard Economic Institute’s Economic Outlook 2024. This trend is expected to continue, with consumers in the region prioritising discretionary spending on travel in the coming years.
Recognising these evolving consumer preferences, airlines like SIA are seeking to bolster brand loyalty through targeted loyalty programs and co-branded card initiatives. By allowing cardholders to earn and redeem miles on everyday purchases, airlines aim to integrate their membership programs into consumers’ daily lives, fostering stronger relationships with existing members and attracting new ones.
With Mastercard’s support, SIA plans to roll out co-branded credit and debit card programs across Southeast Asia, offering cardholders a range of benefits, which include earning KrisFlyer miles from everyday expenditures, as well as accelerated mile accrual and redemption opportunities contributing towards KrisFlyer status upgrades.
Moreover, the collaboration will extend Mastercard’s Priceless platform to SIA’s KrisFlyer members, providing them with access to special offers, global promotions, and a suite of curated experiences spanning various categories such as dining, travel, sports, music, and entertainment worldwide.
Ryan Pua (left), Divisional Vice President Loyalty Marketing, Singapore Airlines, with Deborah Heng (right), Mastercard’s Country Manager for Singapore, announcing the strategic partnership between Mastercard and Singapore Airlines
Ryan Pua, Divisional Vice President of Loyalty Marketing at Singapore Airlines, commented on the partnership, stating: “This exciting partnership combines the best of the Mastercard Priceless and the KrisFlyer Experiences programs. It offers our members access to a wider range of exclusive experiences across Southeast Asia, as well as attractive mile earn and burn opportunities in their everyday spend. This is part of our continuous efforts to enhance KrisFlyer’s value and give our members the best on-ground and in-flight benefits and experiences.”
The partnership also presents an opportunity for card issuers in Southeast Asia to join an alliance in the travel and entertainment sector, delivering benefits, experiences, and value to their customers.
Deborah Heng, Mastercard’s Country Manager for Singapore, expressed enthusiasm about the collaboration, stating: “Mastercard’s decades of experience and global scale afford unique insights that enable us to develop compelling products and programs for customers and consumers to drive engagement and loyalty. With research from the Mastercard Economic Institute showing that consumers are increasingly prioritising their travel spend on experiences over goods, Mastercard’s Priceless program aligns closely with the desires of SIA’s international audiences, giving them the opportunity to indulge in unique and exclusive experiences and create unforgettable memories.”
The partnership will also leverage Mastercard’s suite of data and services capabilities to enhance consumer experiences. These capabilities include data analytics and consulting services, innovative technology such as experimentation platforms, user verification software, and payment processing platforms.
The first product launched under this partnership earlier this year in Thailand is the UOB KrisFlyer World and UOB KrisFlyer World Elite Credit Cards. These cards offer increased KrisFlyer miles earn rates and travel benefits, including complimentary limousine services to and from airports worldwide and access to airport lounges, among other perks.
