SOUTH KOREA. In a first for the Korean travel retail industry, Lotte Duty Free has partnered with Hyundai Card to launch a dedicated credit card that earns duty free points regardless of where it is used.
The scheme is designed to increase VIP customer loyalty. LDF PAY (Lotte Duty Free’s digital payment rewards platform introduced in 2019) points can be accumulated wherever consumers pay with Hyundai Card. LDF PAY reward points can be used like cash in Lotte Duty Free’s online and offline channels.
Lotte Duty Free will unveil two types of Hyundai Card, the standard Lotte Duty Free Hyundai Card and the Lotte Duty Free-MIUM Hyundai Card for premium customers. The former saves 5% of the Lotte Duty Free shopping amount as LDF PAY up to KRW200,000 (US$152) per month.
The Lotte Duty Free-MIUM Hyundai Card for top customers with LVIP level or higher saves 10% of the amount paid at Lotte Duty Free up to a maximum of KRW300,000 (US$228) per month.
In addition, special benefits for VIP customers are offered. These include discounts on shopping charges at duty free shops, department stores, and marts worth up to KRW150,000 (US$114) per year; airport lounge use twice a year; and Incheon International Airport valet parking 12 times a year, depending on usage.
The annual fee is KR20,000 (US$15.20) for the Lotte Duty Free Hyundai Card and KRW200,000 (US$152) for the Lotte Duty Free-MIUM Hyundai Card
To commemorate the launch of the affiliate card, various customer events are being held, including a major prize promotion until 31 August. Any customer with a Lotte Duty Free Hyundai Card can enter a draw offering three iPad Pros and five Lotte Signiel accommodation vouchers. LDF PAY worth KRW1,000 (US$0.76) will be paid to all event participants.
Additionally, an event that provides LDF PAY worth up to KRW40,000 (US$30) will be held. Customers spending KRW50,000 (US$38) at Lotte Duty Free can earn KRW20,000 (US$15) of LDF PAY and an additional KRW20,000 of LDF PAY when spending over KRW 50,000 at other merchants.
Customers who spend over KRW500,000 in long-term instalments at Lotte Internet Duty Free will receive interest-free benefits and an additional LDF PAY for up to 12 months if the conditions for the previous month’s usage are met.
A Lotte Duty Free spokesman said, “As overseas travel for Koreans is expected to gradually normalise, we have collaborated with Hyundai Card to launch a credit card for duty free shops.”
