"For Overseas Travel Next Year"... This Year Also Sees a Flood of 'Mileage Accumulation Cards' Released

Korean Air Hyundai Card PLCC 4 Types and More
NH Nonghyup 'Air Mother', Lotte 'I'm Yolo Platinum', etc.
New Mileage Accumulation Cards Flood the Market

[Asia Economy Reporter Ki Ha-young] Despite the impact of the novel coronavirus infection (COVID-19), cards offering airline mileage accumulation benefits continue to be launched. Since the mileage validity period is 10 years, demand for mileage accumulation cards remains steady.

According to the industry on the 30th, Korean Air partnered with Hyundai Card last month on the 27th to launch four types of private label credit cards (PLCC). The cards consist of 030, 070, 150, and the First, which is available only to Morning Calm or higher elite members. The basic benefit is 1 mile accumulated per 1,000 KRW spent on card payments. Depending on the type of credit card, new subscribers receive special bonuses ranging from 3,000 miles up to 30,000 miles. Additionally, when purchasing Korean Air tickets directly, 2 to 5 miles are accumulated per 1,000 KRW spent. Depending on the card type, additional mileage is also accumulated based on spending at duty-free shops, hotels, department stores, golf courses, and overseas usage. Members of the 150 and the First cards are also provided with annual discount coupons for airline tickets and in-flight duty-free items (or Cyber Sky Shop).

Users of the highest tier, the First card, can choose one of two benefits: upon spending a cumulative 30 million KRW, they receive the new elite membership tier 'Silver' for one year (provided once within five years), or if they spend over 10 million KRW annually, they can opt for a 10% mileage payback benefit (provided annually within a 5,000-mile limit). Furthermore, depending on the type, cardholders can enjoy benefits provided by Hyundai Card and brand partners, such as discounts on concerts and coffee shops, airport lounge access, and valet parking services.

NH Nonghyup Card also launched the 'Air Money' card on the 21st. This card is an airline-specialized card that allows discounts using accumulated Air Money points after purchasing airline tickets through BC Card Paybook Air Money affiliated merchants. One Air Money point is equivalent to one KRW. The Air Money card accumulates 0.8% of domestic spending and 1.6% of overseas spending without any monthly performance or accumulation limits. Spending in lifestyle areas such as coffee, digital subscriptions, and movies earns 5% Air Money points. When spending exceeds 20 million KRW annually, an additional 20,000 Air Money points are awarded, and free access to domestic and international airport lounges twice a year is available. Additionally, travel insurance services are provided when paying for airline tickets with the Air Money card.

Lotte Card, which discontinued 'I'm YOLO,' introduced the 'I'm YOLO Platinum' mileage accumulation card in March this year. It accumulates 1 mile per 1,000 KRW spent at all domestic and overseas merchants, with an additional 1 mile earned for spending on overseas transactions, coffee, taxis, convenience stores, and public transportation. Other benefits include three free domestic and international airport lounge visits annually and Mastercard Platinum services.

Shinhan Card launched three global check cards in March. Among them, the 'Global Air Skypass Shinhan Check Card' accumulates 1 mile per 3,000 KRW spent on weekdays and 1 mile per 1,500 KRW on weekends for all domestic and overseas merchants when spending exceeds 200,000 KRW. The 'Global Air Asiana Shinhan Check Card' accumulates 1 mile per 2,500 KRW on weekdays and 1 mile per 1,000 KRW on weekends under the same spending condition. Both cards provide a 3 USD cashback per overseas withdrawal regardless of monthly performance and offer Visa Platinum services.

Ko Seung-hoon, CEO of Card Gorilla, said, "Because the mileage validity period is long at 10 years, many people intend to continue accumulating mileage through cards even if they cannot accumulate it through flights. I hope consumers choose a card that suits them between premium lines that offer various vouchers with high annual fees and practical lines that provide mileage accumulation benefits at reasonable annual fees, enabling rational consumption."