Telstra’s involvement in the Telstra Visa and the Qantas Telstra Visa (QTV) cards with the ANZ bank has been the largest of its kind, but in March 2002, Telstra announced that it was scaling down its participation in these schemes.
As from mid-June 2002, the one million QTV members would have their rewards points converted to the Qantas Frequent Flyer scheme. Prior to this, members have been able to store and save reward points for up to two years in an ANZ account, with reward points redeemable for Telstra products and services. With the changes in June, the QVT card will become the Qantas ANZ Visa card. Telstra is also extracting itself from the Telstra Visa card programs it has with the ANZ. This will start in April 2002 when the ANZ will take over management of the cards.
Telstra’s moves out of the sector are reportedly to cut costs. There was also speculation that it will reduce its involvement in smart cards schemes, particularly its interest in Keycorp. Telstra denied this and also denied that it had ambitions to directly compete with financial services providers. This latter prospect becomes possible when the Reserve Bank implements its recommendations following its 2001 investigation into the credit card market.
Telstra Corporation – E-commerce and Multimedia;
Australia – Electronic Purses (Smart Cards).
We invite your comments: Please click here to comment