Turkey’s banks, which traditionally try to boost consumption and increase their number of customers on “special days,” are now experiencing Ramadan competition.
Campaigns launched by banks for the month of Ramadan target both individual customers and small- and medium-sized enterprises, or SMEs. Low-interest credit, extra rewards points for shopping, installment deferral and private enterprise capital support for SMEs in need of cash are among the campaigns that banks have launched since August began.
Banks’ special cooperation deals with supermarkets are another campaign implemented for Ramadan, which is expected to create an increase in retail food consumption. Akbank, a leading Turkish bank, and DiaSa, a leading discount retail chain, have unveiled a special shopping card for Ramadan, providing users with 25 Turkish Liras worth of shopping at DiaSa stores at any time.
The end of the Şeker Bayram holiday, the Turkish name for the period of feasting and celebrating that concludes the holy Ramadan month, will be marked by the opening of the new school term. This is also a time of campaign competitions among banks.
The aim of these Ramadan campaigns is to motivate customers to use the banks’ services, according to Hakan Ateş, general director of Deniz Bank, a Turkish lender. “There is a sales target. Customers may make their purchase decisions before the bayram. Actually, the bayram creates an inducement, “Ateş said.
Applications for consumer loans go up and household expenses increase, Ateş said. “As the month of September is the end of summer and the start of the new school term, it is a ‘troublesome’ time, especially for officials and their families,” Ateş said. “To this end, banks are offering some credit alternatives to regulate family budgets.”
Yapı Kredi, Turkish Economy Bank, Garanti Bank, ING Bank and Deniz Bank are also among lenders providing special campaigns for the Ramadan and bayram period.
Yapı Kredi Worldcard has launched a shopping campaign that awards points to its customers. People who take out a consumer loan from Turkish Economy Bank during Ramadan may repay it in November, after the holiday. Garanti Bank has unveiled a “cost-free credit” promotion. ING Bank is offering “enterprise capital loans” to SMEs with interest rates starting from 0.99 percent during Ramadan. Deniz Bank is also providing “savings accounts” for enterprises.
