Singapore’s third-largest lender is again banking on a blockbuster concert partnership to boost fee income, fresh on the heels of its success with Taylor Swift concert tickets. This time, it’s with a sold-out ticket presale to catch Ed Sheeran sing in Asia.
Customers of United Overseas Bank Ltd. have snapped up all presale tickets for the English Grammy award-winning singer’s gigs in Singapore, Thailand, Malaysia and Indonesia next year, the bank said Thursday, testament to the region’s concert frenzy.
UOB cardholders in Southeast Asia could buy tickets for Sheeran’s gigs a few days before the general public, similar to its tie-up with Taylor Swift that propelled its credit card fees to a record in the third quarter.
Taylor Swift’s Singapore Gig Frenzy Propels UOB Card Signups
With an uncertain economic environment clouding outlook, UOB’s recent focus on lifestyle deals to boost fee income may be a timely move. “This could be pertinent in 2024 when net interest income growth is expected to slow on weak loan growth and margin contraction on higher funding costs,” Bloomberg Intelligence analyst Sarah Jane Mahmud said.
New-to-bank customers acquired in the first nine months of the year was 28% higher from a year ago, thanks to digital and lifestyle offerings that include concerts, food and travels, UOB said at its results last month.
Yet, with similar demographics between the fan bases of Sheeran and Swift, UOB might see fewer new accounts opened this time, Mahmud said. Strong fee-growth momentum is likely to continue through the fourth quarter and into 2024, though perhaps at a slower pace, she added.
--With assistance from Lily Nonomiya and Nurin Sofia.
