Aeon Thana Sinsap (Thailand) Plc (AEONTS) was incorporated on Sept 18, 1992 by Aeon Credit Service Co Ltd in Japan. The company currently has paid up capital of 250 million baht. Managing director Yasuhiko Kondo and senior vice-president Supannee Asawasuwan discuss the company’s strategy and outlook.
What is the AEONTS business model?
AEONTS has been in Thailand for 20 years, operating first as a hire-purchase company before expanding into personal loans, member cards and credit cards. Today our business comprises 42% credit cards, nearly 55% loans, which are both cash- and product-related, and the rest is hire-purchase financing of motorcycles. Thus AEONTS is a complete retail finance company with a total of 6.5 million cards comprising both member and credit cards.
What is the difference between an Aeon Member Card and an Aeon Credit Card?
To be a member of Aeon there are basic qualifications similar to other finance companies: a minimum age of 20 years, earning a regular income, having a secure job and so forth. Once someone has an Aeon Member Card, it can be used to draw personal loans from Aeon ATMs or Kasikornbank ATMs now as well.
If a member goes to purchase a motorcycle and requires financing, he or she can use the Aeon Member Card, fill out the necessary application and within 30 minutes, should they pass our lending criteria based on their profile and record with Aeon, will be able to purchase the motorcycle.
In order to obtain an Aeon Credit Card, a customer requires a minimum salary of 15,000 baht per month as required by the Bank of Thailand. That customer will then have access to credit card facilities that are not available to Member Card holders. What we have seen is that over time our Member Card holders grow into our Credit Card holders as their earning power increases, and we hope to continue to grow and service our members well. Continue reading Aeonts growing as thai incomes expand