November 27, 2024

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Hyundai Card Vice Chairman and CEO Chung Tae-young (left) and Ryan McInerney, CEO of Visa, pose for a photo during a partnership signing ceremony held at Visa’s headquarters in San Francisco, Wednesday. (Hyundai Card)

Korean credit card issuer Hyundai Card and Visa, a world leader in digital payment, on Monday announced that they have signed a strategic business partnership deal to collaborate on businesses using analyzed data.

The partnership signing ceremony was held at Visa’s headquarters in San Francisco on Wednesday with top executives, including Hyundai Card Vice Chairman and CEO Chung Tae-young and Visa CEO Ryan McInerney in attendance.

“Hyundai Card and Visa have agreed to prioritize collaboration in data platform, Domain Galaxy, B2B payments, and Visa card issuance. The negotiations were challenging as the agreement contained specific details rather than being only declarative,” Chung said in his Instagram post following the company’s announcement on Monday.

He added that McInerney had visited Seoul before being appointed as Visa’s new CEO in November last year.

Under the partnership, their first joint project will be introducing Hyundai Card’s existing data analysis solution globally while leveraging Visa’s global network that spans over 200 countries.

The artificial intelligence-based solution is designed to analyze various pieces of data and turn them into information suitable for creating a customized marketing strategy. So far, the solution is being supplied to Hyundai Card’s partner firms in Korea.

The two firms will also develop a new data solution together by combining data assets that they have been compiling, as well as their data science capabilities.

Visa is also joining Hyundai Card’s data alliance group, called Domain Galaxy, which comprises 18 private label card partners, including Costco, Starbucks and Yanolja.

Beyond data analytics, Hyundai Card said it will prioritize Visa as the company’s preferred global payment brand when providing Hyundai Card’s oversea payment service.

Also, the Korean firm will support Visa’s diverse initiatives, including virtual cards and B2B payments.

At the end of Chung’s Instagram post on Monday, he also stressed that “Visa is the world's largest payment company, and Apple Pay is the second-largest payment company globally.”

Hyundai Card is Apple Pay’s first local partner in Korea. The digital wallet service was launched in Korea on March 21.

The number of new Hyundai Card members has increased by 203,000 over the past months following the launch of Apple Pay in Korea, according to data from the Credit Finance Association of Korea.

By Song Seung-hyun (ssh@heraldcorp.com)