Membership controversy... SKT collects opinions that "customers choose between discount and points accumulation"

Existing 'Instant Discount Type' to be Implemented Concurrently... Applying Customer Feedback to Reform Direction

[Asia Economy Reporter Joselgina] SK Telecom has changed its direction again to allow customers to choose between ‘instant discount’ and ‘points accumulation’ ahead of the scheduled T Membership revamp next month. This move comes after various controversies arose during the process of converting to a ‘points accumulation’ membership, leading the company to step back and gather customer feedback.

On the 29th, SK Telecom announced, "In response to customer feedback during the transition to a points accumulation membership aligned with recent consumption trends, we will maintain the existing ‘instant discount’ type and revamp the membership into a ‘selectable’ type that allows customers to choose directly."

Accordingly, T Membership customers will be able to select the method that suits their consumption patterns between discount type and points accumulation type. For example, when purchasing a 1,000 won bread at a franchise bakery, customers can either ▲receive an immediate 100 won discount on the spot as before or ▲accumulate 100 won instead of a discount and later use all the accumulated points at their preferred outlets. The revised membership program will be unveiled in the fourth quarter, delayed from the original schedule, after going through development processes.

The controversy surrounding SK Telecom’s membership revamp direction intensified starting last month. When it was announced that the existing system of immediate discounts would change to a method of accumulating points and using them all at once, customers expressed concerns that their benefits would decrease immediately. Criticisms such as "more points will expire because they are forgotten" and "a trick that forces customers to spend at least twice for what they would normally spend once" poured in. SK Telecom hurriedly tried to ease concerns by partially revealing new partners and additional accumulation benefits originally scheduled for August, but the controversy persisted.

SK Telecom stated that, in the spirit of listening to customers’ voices, it decided to maintain the existing discount-type membership and provide customers with the option to choose. Currently, the number of T Membership subscribers is estimated to be about 14 million.

Han Myung-jin, head of SK Telecom’s Marketing Group, said, "We carefully listened to various customer opinions regarding the membership revamp and considered improvement plans. We will come back with a customer-friendly membership program that can benefit all customers."