Research On Competition Status And Strategies Of Cmb Credit Cards Under The Background Of Internet Consumer Credit

In recent years,many banks have shifted their attention to the personal consumer credit market,increases investment in credit card business,which exacerbated the competition.With the rapid development of mobile Internet,many companies such as consumer finance companies and Internet finance companies aims at the market,launched a number of Internet consumer credit products,these products in nature are similar with credit cards,which becomes potential competitors to the credit card.Take China Merchant Bank(CMB)as an example,this paper introduces the SCP paradigm theory to analyze the competitive situation of the credit card industry from market structure,market behavior and market performance.Based on the theory of signal analysis,the author analyzes the relationship between the industry environment,products,alliance and technology of the Internet consumer credit products,which are the main competitors of CMB credit cards.After in-depth analysis of the current situation of competition,this paper puts forward corresponding competitive strategies for the competitors in the last.(1)It is found that the current credit card market is an oligopolistic market,eight banks accounts for more than 80%of market share,the difference between credit cards of different banks is small,the homogeneity of the products is serious through the researches on market entities,market actions and performances.From the aspect of market behaviors,the price competition strategies gradually ceased to be effective and non-price behaviors such as marketing strategies become the main means of competition.At the same time,through the analysis of BCG matrix based on the bank's market share and market growth rate,this paper finds that the current main competitors of CMB are Industrial and Commercial Bank of China,Construction Bank and Agricultural Bank,the future potential competitors are Shanghai Pudong Development Bank,Guangdong Development Bank,Ping An Bank and CITIC Bank.(2)In the analysis of the external competitive situation of the industry,this paper first applys the PEST analysis method to study the industry environment of the consumer credit products.At present,the political environment,the economic environment,the social environment and the technical environment have more favorable factors.As for the products,products of commercial banks,consumer finance companies and Internet finance companies are similar,its main competitive advantage is the control of online consumption scenarios.Through the questionnaire survey,this paper knows the current use of Internet consumer credit products.Although the scale of Internet consumer credit products at this stage is relatively small,Internet consumer credit products will have bigger impact on the credit card with the increase of its applicable scenes.In addition,the Internet consumer credit enterprises make alliances with different companies through acquisitions,becoming a shareholder,strategic cooperation in the consumer entrance,capital and technology and other links to expand the consumption scenarios and reduce operating costs.Technical strength of Internet consumer credit enterprises is a major advantage to the traditional banks.(3)This paper takes a research on the competitiveness of CMB's credit card based on the customer satisfaction through the questionnaire survey.The result shows that the customer service quality is the core competitiveness of CMB's credit card,and the mobile advantage mainly based on mobile application and wechat bank helps to improve the credit card convenience satisfaction and promotion strategy satisfaction.(4)After applying SWOT method to analyze the internal advantages,disadvantages,external opportunities and threats of CMB credit card,combined with the previous analysis results,this paper points out that competition strategies:1)focus on main competitors,keeps an eye on potential competitors and pay attention to competitive intelligence;2)diversification in promotion strategy to improve customer satisfaction;3)continue to strengthen the mobile advantage;4)meet customer personalized needs in the credit card products and functional design;5)strengthen the expansion of consumer scenarios;6)strengthen the strategic alliance construction in a more open mind;7)strengthen technical capacity development.