3. SERBIA & MONTENEGRO
AREA: 102,2 km2
POPULATION: 10,4 million
GDP TOTAL: 14,2 billion EUR
GDP PER CAP: 1.340 EUR
GDP REAL GROWTH IN %: 4,0
EXPORTS IN % OF GDP: 22,7
CONSUMER PRICES: 19,2
5. APPROX. 50 BANKS IN SERBIA:
STATE BANKS (to be privatized in next few years)
– universal banking with retail function (mostly with
cards)
PRIVATE BANKS (majority started with corporate
function, transition to universal banking)
NEW FOREIGN PLAYERS (Austria, Greece,
France…) – universal banking with retail function
(important players in card business)
SERBIAN BANKING SECTOR
6. 31.Dec 2001 31.June 2003
Active Current Accounts 35.000 42.000
Branches 52 59
Employees 585 650
Total assets (din million) 9.370 7.097
Total loans (din million) 8.075 6.100
Total deposits (din million) 7.106 5.090
KEY FIGURES ABOUT
CONTINENTAL BANKA
8. 1991 – around 3.000 embossed Visa cards with
international usage
1992 – International usage suspended, Visa cards just
for domestic use
1996 – an associate membership in Visa International
– reactivation of Visa Classic debit and Visa
Business programme (off-line)
1998 – international usage suspended, Visa cards just
for domestic use
CARDS IN CONTINENTAL BANKA –
MAJOR MILESTONES
9. 2000 – start of Yuba Card (domestic card) – cooperation
with Planet / Arius
2001 – first ATM in Novi Sad
– start of cooperation with Europlanet/Arius
2002 – reactivation of international Visa embossed pro-
gramme (Visa Classic debit and Visa Business)
– ATM-s in 11 branches opened for Visa / Plus
2003 – start of migration towards Visa Electron Card
CARDS IN CONTINENTAL BANKA –
MAJOR MILESTONES
11. Debit
Embossed
First in Serbia with internet
usage allowed
Launched as first Visa product
to satisfy middle class
customers
Fastest issuing and
personalization procedure
(Europlanet)
VISA CLASSIC CARD
12. Average purchase amount: 35 US$
Average cash withdrawal: 65 US$
VISA CLASSIC CARD
INTERNATIONAL NATIONAL
13. VISA CLASSIC CARD
“There is a simple
choice!”
“There is a hard
choice!”
“There is
practically
unlimited
choice!”
“Luckily, there is a
right choice, the
one which enables
everything else.”
“Visa Classic card
by Continental
banka, your
personal card.”
14. VISA BUSINESS CARD
Debit
Embossed
Limit based authorization for
each cardholder of one
company
15. Average purchase amount: 77 US$
Average cash withdrawal: 108 US$
VISA BUSINESS CARD
INTERNATIONAL NATIONAL
16. VISA ELECTRON START CARD
Restricted to ATM and POS
usage without expanded
functions (cheques and teller
transactions)
CB first to do customer
segmentation and offer
product for this segment of
population
Split BIN – different design
and application procedure
for the same debit product
Simple application procedure
Popular fees
Debit, Indent printed
product for the young,
aged 15-26
17. VISA ELECTRON START CARD
”Start, at the right
time, Visa Electron
Start Card by
Continental banka.”
18. Monetary stability, lower inflation rate
Stabilized exchange rate of dinar
Fiscal reforms
Around half of population unbanked
Urban population have basic knowledge about cards
Current account with cheques prevailing form of retail
accounts
MARKET OPORTUNITY FOR
LAUNCHING MASS CARD PRODUCT
20. Visa Electron was chosen as most used card in the
region
The best way to give new quality to our current account
and to improve our global position on the market
Great experience of banks in neighboring countries
(Croatia, Hungary)
No experience in such migration in Serbia
HOW THE PRODUCT WAS CHOSEN
21. How to define all the functions of Visa Electron Card?
How to define and close inactive accounts?
How to generate thousands of cards using available data
and avoid manual data entering?
How to make procedure simplest possible?
THE MOST IMPORTANT ACTIVITIES IN
PREPARATION PERIOD
22. Current account holder should not be included in any
part of issuing process
Initially, card linked to domestic current account only
Activation of foreign currency account in any moment
customer wishes
No application procedure, cards were produced for all
current account holders
New accounts just with visa electron card
Education of branch staff (visiting and explaining the
purpose and goals of project)
Education of customers (special brochure)
HOW THE PRODUCT WAS LAUNCHED
23. Average purchase amount: 37 US$
Average cash withdrawal: 52 US$
VISA ELECTRON STATISTICS
INTERNATIONAL NATIONAL
27. More current accounts with Visa Electron and Visa
Electron Start card
Visa Classic debit card transformation to revolving credit
card
Prepaid products
More ATM-s in branches and in other premises
Introducing additional ATM services (paying household
bills, recharging prepaid mobile phone accounts)
Preparation for EMV chip migration
FUTURE OF CARD BUSINESS IN
CONTINENTAL BANKA
28. THANK YOU FOR YOUR ATTENTION!
Zoran Trpovski
Executive Director, Retail banking division
Continental banka a.d. Novi Sad
Serbia & Montenegro
