Card Issuer Profile: Grupo Santander

SUMMARY

Abstract

Overview

Introduction

The largest banking group in Spain, Grupo Santander is the product of numerous mergers between Spanish banking organizations over a number of years. Santander also has a strong presence in Latin America, Continental Europe and the UK. With more than 50 million cards in issue across these regions, Santander is a truly global player.

Reasons to Purchase

• Understand the key elements of Grupo Santander's strategy and approach in the card issuing space, and see how this can be applied to your business.
• Learn how this strategy positions Grupo Santander for the future and where its biggest opportunities may lie.
• See how Grupo Santander compares to its competitors in Datamonitor's unique Competitor Benchmark exercise

TABLE OF CONTENTS

Table of Contents

• Overview
  • Catalyst
  • Summary
• Table of Contents
• Table of figures
• Table of tables
• Grupo santander
  • Key findings
  • Company Overview
    • Background
    • Ownership and Management
    • Grupo Santander's Board of Directors
      • Employees
      • Management Values
    • Company Structure
      • Principal level
      • Secondary level
    • Geographic Coverage
      • Europe
      • Latin America
      • Mergers and acquisitions have fuelled geographic expansion
  • Strategic Focus
    • Santander aims to become one of the top five banks in the world
      • Organic growth strategy is focused on increasing market presence and efficiency
      • Santander will only acquire other players in the market if strict criteria are met
    • Card statistics
      • Number of cards in issue
      • Balances outstanding
    • Key financials
      • Profit and loss account
      • Balance sheet
    • Card product offering
      • Spain
      • UK
      • Brazil
      • Chile
      • Mexico
    • Distribution
  • Company Outlook
    • Santander is in a strong position in its core European and Latin American markets
      • Santander aims to become one of the top five global banks in terms of profitability and efficiency
      • In Europe, Santander's challenge will be to continue its strong growth
      • In the UK, Abbey is diversifying from its position as a mortgage provider
      • Latin America presents an opportunity for further growth
      • Santander lacks major presence in the US
  • Datamonitor Competitor Benchmark
• APPENDIX
  • Definitions of terms used in this report
    • Affinity card
    • Charge card
    • Co-branded card
    • Commercial card
    • Credit card
    • Premium card
    • Private label card
  • Data relating to the graphics in this profile
  • Methodology
  • Further reading
  • Ask the analyst
  • Datamonitor consulting
  • Disclaimer
  • List of Tables
    • Table 1: Grupo Santander's board of directors, 2006
    • Table 2: Number of Santander employees, 2005−06
    • Table 3: Number of Santander branches, 2005−06
    • Table 4: Acquisitions made by Santander, 1999−2005
    • Table 5: Santander's rankings in its various markets, 2006
    • Table 6: Smiles awarded on the Varig credit card, 2007
    • Table 7: Scorecard logic, part one
    • Table 8: Scorecard logic, part two
    • Table 9: Grupo Santander Revenue, operating costs and net profit, 2001−06 (€m)
    • Table 10: Grupo Santander balance sheet, 2001−06 (€m)
    • Table 11: Grupo Santander net income from cards as a proportion of total net income, 2004−06
    • Table 12: Current relevant Datamonitor publications, 2007
    • Table 13: Future relevant Datamonitor publications, 2007
  • List of Figures
    • Figure 1: Grupo Santander has a presence in 43 countries
    • Figure 2: Santander's strategy resulted in an increase in the number of new accounts and a reduced churn rate, 2005−06
    • Figure 3: Santander has concentrated on increasing branch numbers while slimming down its workforce
    • Figure 4: Santander aims to have achieved technological convergence by 2010
    • Figure 5: Grupo Santander's profits have grown rapidly from 2001−06
    • Figure 6: Retail banking accounted for 77% of Grupo Santander's revenue in 2006
    • Figure 7: Net income from cards has grown, but its relative importance in the group has fallen, 2004−06
    • Figure 8: Grupo Santander's balance sheet has grown rapidly from 2001−06
    • Figure 9: The Cahoot Webcard allows cardholders to make transactions securely online by generating a single use card number
    • Figure 10: The Santander Ronaldo MasterCard benefits Brazilian charities
    • Figure 11: Grupo Santander, Datamonitor's Competitor Benchmark