True Corporation Plc will spend 120 million baht on expanding its high-end co-working space, TrueSphere, with the aim to retain high-spending customers.
Instead of joining a pricing war, mobile operators are gearing up to retain high-spending customers through loyalty programmes. Total spending on customer loyalty programmes by the three biggest mobile operators an estimated 4.5 billion baht this year.
True aims to have 22 branches of its first-class co-working space in more four cities other than Bangkok by the end of 2018 as part of its Black Card privilege customers, said Papon Ratanachaikanont, group executive director and executive assistant to the CEO for brand management and brand communication at True Corporation.
The company is celebrating the first anniversary of TrueSphere, with eight branches -- seven in Bangkok and one in Hua Hin -- and a total investment of 180 million baht.
By 2018, TrueSphere will add 14 more branches in major cities like Nakhon Ratchasima, Phuket and Chiang Mai.
Moreover, TrueSphere will expand its services to 120,000 SME customers as its Black Card customers include not only individuals but also business owners.
TrueSphere will provide more value added services through a partnership with IBM Thailand providing Watson Analytics for corporate customers, particularly the top 500 enterprises.
The move will allow greater insight into customer behaviour. At TrueSphere, Internet of Things (IoT) solutions for SME businesses will also be demonstrated.
"We also encourage staff to be Apple certified as we work towards setting up TrueSphere as an Apple destination shop, particularly for the new coming iPhone," Mr Papon said, adding that True has the largest market share of iPhone users among mobile operators in Thailand.
By 2020, True aims to have 500,000 Black Card customers. As of August 2017 it has some 300,000 such customers, rising from 170,000 in the same period last year.
Mr Papon said Black Card customers who spend over 3,000 baht per month, contribute 15% of total TrueMove H's revenue.
According to Tanaphon Manavutiveth, director of customer relations and customer happiness management at True Corporation, the budget for customer loyalty programmes rose from 2.5 billion baht last year to be 3 billion baht this year.
Previously, Advanced Info Service Plc (AIS) announced to increase its privilege Serenade customers to 4 million out of its 40 million users in 2017. AIS is spending one billion baht on its customer loyalty program this year.
Total Access Communication Plc (DTAC) is spending 500 million baht on their loyalty program this year. Its BlueMember card customers, who spend over 1,900 baht a month, are expected to increase from 120,000 last year to 200,000 this year.