ACQUIRING BEST PRACTICES TOOLKIT

DINERS CLUB INTERNATIONAL® PROUDLY PART OF DISCOVER® GLOBAL NETWORK

Acquiring Best Practices Toolkit Table of Contents

This toolkit outlines acceptance marketing best practices while referencing collateral and tools available

for download on dinersclubinfonet.com.

P Discover® Global Network Overview

• Multiple Cards. One Network.

• Maximize the Value of the Larger Network

• Merchant Collateral

P Acquire New Merchants

• Impact of Non-Acceptance

• Marketing Development

• Sample Marketing Activities

• Bank Branch Model

P Acquire Large Merchants

• Handling Objections

• Custom Solutions

P Marketing Programs to Drive Volume

• Standard Promotions

• Customized Promotions

P Support and Resources

1

Discover Global Network OverviewMultiple Cards. One Network.

As a Diners Club International® Franchise, you are part of the Discover Global Network, the third

largest payments network in the world.1 That means you can drive even more value to your merchants

and third-party acquirers.

P Access to a large cardholder base, over 70 Million cardholders worldwide2

P Cardholders who spend nearly 2X more and have larger credit limits compared to Visa®

and MasterCard®

P Continued potential card expansion with alliance partners

1. Retail Banking and Research, August 20142. Nilson Report #1037, March 2014 and TNS, State of the Card Market Report, November 2013

DINERS CLUB INTERNATIONAL

UNITED STATES

SOUTH KOREA INDIA

Alliance Partners offer spend opportunity from some of the largest banks

and payment networks in the world.

SERBIA

ALLIANCE PARTNERS

BRAZIL (COMING SOON)

2

As part of the Discover Global Network, merchants you directly acquire or sub-acquire can benefit from

billions in tourism spend. To benefit from cross-border volume, make sure merchants enable and promote

the multiple card brands accepted on Discover Global Network, in addition to Diners Club International.

Below are guidelines for messaging Diners Club International to merchants and cardholders.

Merchant Facing Communications

Use the phrase, Diners Club International, proudly part of Discover Global Network, within merchant

communications to promote the value of the full network. Consult the Discover Global Network Brand

Guidelines for proper usage within your merchant communications.

For Cardholder communications use the Diners Club

International Brand Standards ManualJ A N U A R Y 2 0 1 5

B R A N D S T A N D A R D S

M A N U A L

Cardholder Facing Communications

Issuers of Diners Club International, should still follow the Diners Club International Brand Standards

Manual when creating cardholder communications.

For merchant communications use the Discover Global

Network Brand Guidelines

Brand Guidelines

Discover Global Network OverviewMaximize the Value of the Larger Network

Acceptance Footprint

Our cardholders have access to millions of merchants worldwide, and we are committed to continue

driving acceptance growth. Don’t let new merchants in your market miss out on this opportunity to join

our growing acceptance footprint.

P Third largest network in the world connects cardholders, merchants and ATMs

from Diners Club International, Discover, PULSE® and select major global cards1

P Parity acceptance with V / MC and superior acceptance to American Express®

in several markets as indicated in the map below

31. Retail Banking and Research, August 2014

Parity to V / MC Superior Coverage to AmEx Some Level of Acceptance

North AmericaPOS: 10,573,000ATM: 468,000

Latin AmericaPOS: 4,800,000ATM: 25,000

EMEAPOS: 3,087,000ATM: 283,000 Asia Pacific

POS: 5,842,000ATM: 327,000

24.3MM+ Merchant Locations 1.1MM+ ATMs 185 Countries / Territories

Discover Global Network OverviewMaximize the Value of the Larger Network

4

GAIN ACCESS TO MORE CARDHOLDERS. Contact your Payment Services Provider to begin accepting.

Visit DiscoverGlobalNetwork.com to learn more about our growing network.

©2016 DFS Services LLC

1 The Nilson Report #1037, March 20142 TNS, State of the Card Market Report, November 2013 3 Forrester Research - Online Omnibus Survey, Q2 2014 4 TNS, Global Merchant Card Acceptance, 20145 Retail Banking and Research, August 20146 Nilson Report #1033, January 2014 and Discover Global Network partner reporting

Ensure your terminals are ready

Start End30000000 3059999930950000 3095999936000000 3699999938000000 39999999

Diners Club International BIN Ranges:

Start End60110000 6011099960112000 6011499960117400 6011749960117700 6011799960118600 6011999964400000 65999999

Discover, BC Global Card®, DinaCard® and RuPay® BIN Ranges:

Acceptance is through your chosen Acquirer, which means you have one point of contact for all payments, statements and technical support.Connect To A Powerful Network.

70M+CARDHOLDERS6

35M+MERCHANT LOCATIONS

3NE T WORK5

RD LARGESTPAYMENTS

COUNTRIES/ TERRITORIES185

DISCOVER

DISCOVER® GLOBAL NETWORKMULTIPLE CARDS. ONE NETWORK.

Multiple Cards. One Network.

Brochure and Sell Sheet highlight the benefits of accepting cards

that run on the Discover Global Network.

Use for new merchant acquisition and awareness campaigns.

BC Global CardContact module with an embedded D-PAS chip appears on the card front.

BC Global Card account numbers start with 65. The account number appears on the front of the card.

“Valid Thru” indicates the last month in which the card is valid.

Cardholder name

The magnetic stripe should appear smooth and straight, with no signs of tampering.

BCcard hologram

The signature panel is shortened on chip-enabled cards. The signature on the card should match the customer’s signature on the charge record.

Some cards have a vertical format.

The BC Global Card logo appears

on the card front.

The back of the card should display

the Acceptance Marks of Discover,

Diners Club International and PULSE, in addition to

the BCcard Logo.

An embedded D-PAS chip appears on the card front.

16-digit RuPay Card number starts with 65. The card number appears on the front panel of the card.

“Valid Upto” indicates last day of the month and year for which the card is valid.

Signature on the back of card should match the customer’s signature on the charge slip.

RuPay logo appears on the card front.

Magnetic stripe should appear smooth and straight, with no signs

of tampering.

The back of the card should display the

Acceptance Marks of Discover, Diners Club

International and PULSE, in addition to the RuPay hologram.

RuPay Card

IOP# 33845©2014 DFS Services LLC

For more information visit DiscoverGlobalNetwork.com

DISCOVER® GLOBAL NETwORk

look for Discover and Diners Club signage before selecting a merchant3

66%look for Diners Club and Discover signage before paying3

75%of consumers spend less, shop elsewhere or decide not to purchase when their card is not accepted3

25%

1 Retail Banking and Research, August 20132 Nilson Report #1033, January 2014 and Discover Global Network partner reporting3TNS, Global Merchant Card Acceptance, 2014

Visit DiscoverGlobalSignage.com to order these complimentary items and many more.

Acceptance means you open your doors to all cards running on the Discover Global Network bringing you billions in spend volume from loyal affluent Cardholders across the globe.

70M+CARDhOLDERSaRounD the woRlD23NETwORk1

RD laRGeStPayMentS

30M185COUNTRIESMERChANTS IN

INTERNATIONAL CARD IDENTIFICATION FEATURES

FOR MAJOR CARD BRANDS

Card Identification Features Brochure

Brochure highlights security features of all global cards including

key competitors for reference at POS.

Use as a fraud training and awareness tool with new and

existing merchants.

For more information, visit DiscoverGlobalNetwork.com

IOP# REALB©2014 DFS Services LLC

DISCOVER GLOBAL NETWORK

70M+CARDHOLDERSAROUND THE WORLD23NETWORK1

RD LARGESTPAYMENTS

1 Retail Banking and Research, August 20142 Nilson Report #1033, January 2014 and Discover Global Network partner reporting

THE POWER OF ACCEPTANCEDISCOVER® GLOBAL NETWORK

DINERS CLUB INTERNATIONAL® PROUDLY PART OF

MULTIPLE CARDS. ONE NETWORK.

The Power of Acceptance

Brochure highlights compelling reasons to accept and the value of

Discover Global Network for those who have limited knowledge.

Use to address merchants who have objections or lack awareness.

Collateral for use in merchant acquisition and awareness efforts is highlighted below. Translations for

these materials are available in: German, French, Spanish, Mandarin, Khmer, and Thai.

Discover Global Network OverviewMerchant Collateral

5

Cardholders Who Spend and Travel

The International Acceptance Marketing team often can provide tourism information that supports

cross-border spend potential of travellers with cards running on Discover Global Network.

Tourism Spend Slides, Fact Sheets

and Articles

Provide a snapshot of inbound tourism spend

to your merchants and communicate the value

of accepting cards that run on the Discover

Global Network.

Utilize tourism slides in large merchant

presentations, employee training, awareness

activities. Use articles and fact sheets to

promote signage during heavy tourist seasons.

1Ipsos  MORI,  China  Travelers  Study,  January  2015  2Euromonitor,  Tourism  Flows  Outbound  in  China,  2014  3The  Nilson  Report  #989,  March  2012    

Chinese Tourism Expenditures

Cashing  In  on  Chinese  Shoppers  In  recent  years,  overseas  travel  has  become  more  affordable  to  an  increasing  number  of  Chinese  citizens.  As  disposable  incomes  increase,  merchants  see  an  opportunity  to  capitalize  on  Chinese  tourist  spend.    

The  Chinese  prefer  to  make  shopping  apart  of  their  international  trip.  Nearly  80%  of  Chinese  travelers  went  shopping  during  their  last  international  trip1.  In  2013,  shopping  was  the  largest  category  of  international  spend,  totaling  CNY  253Bn2.    

Chinese  shoppers  have  developed  a  preferred  shopping  experience.  The  majority  visit  Shopping  Malls  followed  by  boutique  stores  and  department  stores.  It  is  incredibly  important  for  them  to  feel  as  if  they  are  receiving  a  good  value  for  their  money.  Shopping  is  the  activity  that  Chinese  travelers  are  most  likely  to  use  a  coupon  or  promotional  offer1.    

When  shopping  in  the  United  Kingdom,  Chinese  travelers  feel  it  is  most  important  for  a  store  to  accept  their  preferred  card  when  purchasing  goods.  Card  acceptance  is  more  important  than  the  shopper  receiving  the  best  price1.  Over  90%    of  Chinese  tourists  will  verify  if  their  card  is  accepted  prior  to  choosing  a  store.    

Many  travelers  to  the  UK  carry  cards  running  on  the  Discover  Global  Network,  the  3rd  largest  network  in  the  World3.  These  cardholders  could  come  from  one  of  185  countries,  including  China.  To  ensure  that  you  do  not  miss  out  on  sales,  contact  your  acquirer  to  accept  many  consumers  preferred  payment  network-­‐  Discover  Global  Network.    

 

 

 

 

Always  show  cardholders  that  you  accept  their  method  of  payment  by  displaying  complementary  POS  signage  available  at  www.discoversignage.com.  

Travel  in    Country    4%

Food 12%

Accommodation 11%

Excursions   5%

Other 27%

Entertainment   7%

Shopping 34%

1Euromonitor,  Tourism  Flows  Outbound  in  China,  2014.  2Ipsos  MORI,  China  Travelers  Study,  January  2015.  3The  Nilson  Report  #989,  March  2012.    

 

China’s  Young  Professional  Travel  Preferences      

Over  the  past  decade,  China’s  domestic  and  international  business  growth  has  boomed,  resulting  in  a  

steep  increase  in  business  and  leisure  trips.  Since  2008,  China’s  international  trips  have  increased  from  27.3  million  to  58.7  million  in  20131.  Travel  markets  must  cater  to  this  growing  population  of  travelers.    

Young  Professionals  are  emerging  as  one  of  the  largest  populations  of  Chinese  travelers.  This  population,  aged  18  to  34,  has  a  house  hold  income  over  5,000  RMB  and  takes  an  average  of  7.7  trips  

outside  of  China  every  18  months2.    

These  business  travelers  have  developed  preferences  for  different  market  segments.  The  table  below  provides  a  snapshot  of  Young  Professional  preferences  across  4  different  categories2.    

Accommodation   Restaurant   Shopping   Entertainment  

       

• Prefer  4  star  hotels  • Use  a  domestic  or  

international  travel  website  to  book  

• Majority  prefer  to  make  booking  at  least  one  month  before  their  trip  

• Prefer  Chinese  Food  • Desire  fine  dining  

atmosphere    • Most  likely  to  make  

reservations  one  week  prior  to  trip  

• Prefer  to  shop  at  Shopping  Malls  

• 99%  shopped  during  their  last  trip  

• 2/3  used  a  coupon  or  promotional  offer  

• Rely  most  heavily  on  ratings  by  traveler  reviews  or  social  media    

• Over  70%  of  bookings  are  made  within  one  month  of  travel  

 

As  Young  Professionals  have  preferences  for  where  they  stay,  what  they  eat  and  where  they  shop,  they  also  have  preferred  payment  methods.  It  is  important  to  accept  Young  Professionals’  preferred  payment  because  they  research  acceptance  prior  to  choosing  a  merchant.      

98%  check  before  booking  accommodation  

88%  check  before  choosing  a  restaurant    

92%  check  before  shopping  

73%  check  before  selecting  entertainment    

 

Many  travelers  to  the  UK  carry  cards  running  on  the  Discover  Global  Network,  the  3rd  largest  network  in  

the  World3.  Discover  Global  Network  Cardholders  could  come  from  one  of  185  countries,  including  China.  To  ensure  that  you  do  not  lose,  contact  your  acquirer  to  accept  many  consumers  preferred  payment  network-­‐  Discover  Global  Network.  Research  indicates  that  the  majority  of  cardholders  look  for  

signage  before  making  purchasing  decisions.  Ensure  that  you  display  all  proper  signage  by  ordering  complimentary  POS  signage  available  at  www.discoversignage.com.    

Discover Global Network OverviewMerchant Collateral

6

Non-acceptance means merchants miss out on potential spend from Cardholders on the Discover Global

Network. Cardholders are trained to look for signage when traveling, and if they believe a merchant

does not accept, then the merchant often loses the sale. Our research below provides compelling reasons

to ensure merchants are enabled to accept all cards running on Discover Global Network.

Acquire New MerchantsImpact of Non-Acceptance

25%

84%

30%

46%

25%

96%

Spend less, shop elsewhere

or don’t purchase

Businesses require employees

to use corporate card

Form a worse opinion

of a merchant

Spend less, shop elsewhere

or don’t purchase

Prefer to pay with a

rewards card

Switch to cash (except hotels)

P Corporate Cardholders2

P Consumers1

1. TNS Global Merchant Consumer Card Acceptance 20142. Forrester Research - Online Omnibus Survey, Q2 2014

7

A successful merchant acquisition campaign requires planning to ensure merchants are aware, engaged

and enabled to accept all cards utilizing the Discover Global Network. The best practice is to develop

a multi-phased approach from pre-enablement to post-enablement engaging merchants throughout the

entire marketing lifecycle.

Before developing your marketing plan, determine the following:

P Launch date

P Opt-out versus opt-in campaign

P Communication channels

P Merchant communication materials

P Signage / decals

P Staff training needs

P Re-engagement plans for merchants that do not initially accept

Acquire New MerchantsMarketing Development

Marketing Plan Template

A marketing plan template is

provided to help you build out

a comprehensive plan before

you go to market.

8

Acquire New MerchantsSample Marketing Activities

Pre-Enablement Activities

2 months prior to enablement

P Communicate Discover Global

Network acceptance is coming soon

• Use your existing merchant channels:

» Website

» Social media

» Merchant web portal

» Statements

» Newsletters

• Content can include:

» Coming soon announcements

» Articles highlighting the merchant

value proposition

» Discover Global Network Multiple

Cards. One Network. sell sheet

Plan Pre-Enablement Activities

Example activities and materials are highlighted to help you build out your merchant marketing plan.

It is recommended that merchant communications are frequent both pre- and post- launch to ensure

acceptance and awareness of Discover Global Network.

9

Whenever possible, opt-out campaigns to existing merchants result in the most positive results.

Interpretation of government regulations and merchant contracts help you determine which approach

is best.

Opt-In

Opt-in campaigns require a merchant to notify you

that they choose to accept. These result in higher

merchant awareness, but a significantly lower

number of acceptors.

Opt-Out

Opt-out campaigns notify the merchants they

will automatically be enabled to accept unless

they opt-out. These result in a greater number

of merchants accepting, but potentially less

awareness of acceptance.

Acquire New MerchantsSample Marketing Activities

10

Acquire New MerchantsSample Marketing Activities

Post Enablement Activities

P Multiple touch points ensure success

• Initial welcome kit direct mail

• Statement inserts

• Merchant web portal messaging

• Staff training

• In-person visits

Plan Post Enablement Activities

When merchants are enabled, welcome kits including signage should be distributed to them. After

the initial distribution, multiple touch points, such as a second direct mail informing the merchant they

now accept, statement inserts, call campaigns and in-person visits, ensure the merchant is aware of

acceptance, as well as, displaying DCI and Discover signage.

11

Engage Merchants Through Awareness Activities

After enablement, continued merchant engagement through multiple channels can ensure card

acceptance is uninterrupted. Build awareness with:

P Complimentary signage

P Sales training

P Site visits

These tools are highlighted on the following pages.

Acquire New MerchantsSample Marketing Activities

Promote Benefits of Signage

Our cardholders look for signage before

selecting and paying a merchant.

Complimentary signage can be promoted to

merchants at DiscoverGlobalSignage.com.

1. TNS, Global Merchant Card Acceptance, 20142. Forrester Research - Online Omnibus Survey, Q2 2014

66%

75%

25%

Look for Discover and Diners Club

signage before selecting a merchant1

Look for Discover and Diners Club

signage before paying1

Of customers spend less, shop

elsewhere or decide not to purchase

when their card is not accepted1,2

Direct Merchant Outreach – Site Visits, Telemarketing and Direct Mail

In-person site visits can increase merchant awareness and signage placement by 30%.1

More economical methods like telemarketing and direct mail also improve awareness, but to a

lesser extent.

P Conducted by franchise or third party vendor

P Communicate acceptance benefits

P Place signage at entry and POS

P Test terminals

P Provide awareness materials

Best practices and sample scripts are provided as a

guide for you to use internally or with third party vendors.

12

Acquire New MerchantsSample Marketing Activities

Staff Sales Training

Train merchant sales staff on the value of signage and acceptance with turnkey sales training

materials. Content highlights:

P Benefits of signage

P Cardholder spend characteristics

P Card specifications

P Value of the Discover Global Network

Materials can be used by you and any

third party acquirers.

1. Internal DFS Results based on Site Visit Reporting 2014.

Telemarketing Script

If you or your third party acquirers engage merchants at bank branches, a robust bank branch plan will

aid in acquisition efforts.

Training Recommendation

P Sales training to educate staff on benefits of acceptance

• Jointly administer training on site at key tourism market bank branches

• Train the trainer for remaining branches outside tourism markets

• Provide training via branch employee communication channels

• Recommended cadence; monthly / quarterly

P Enable staff with tools to sell and raise awareness

• Quick reference guide

• Desktop signage

• DCI / Discover branded items

13

Acquire New MerchantsBank Branch Model

Quick Reference Guide

Table Tent

14

Drive Staff Engagement with Incentives

P Branch contests

• Most signings in a month

• One branch winner a month

• Prizes to suit your bank culture

» Team lunch

» Award certificate

» Branded premiums

P Branch staff contests

• Most individual signings in a quarter

• One individual winner across all

branches in a quarter

• Prizes to suit your bank culture

» iPad

» Gift card

» Day Off

Acquire New MerchantsBank Branch Model

Accelerate Merchant Enablement

P Direct outreach to sign agreement or

attend an event

P Telemarketing campaigns

• Bank staff

• Third party vendor

P Sponsor in-branch merchant events

• Tourism seminar

• Networking

• Incentivize attendance with prizes

For more information, visit DiscoverGlobalNetwork.com

IOP# REALB©2014 DFS Services LLC

DISCOVER GLOBAL NETWORK

70M+CARDHOLDERSAROUND THE WORLD23NETWORK1

RD LARGESTPAYMENTS

1 Retail Banking and Research, August 20142 Nilson Report #1033, January 2014 and Discover Global Network partner reporting

THE POWER OF ACCEPTANCEDISCOVER® GLOBAL NETWORK

DINERS CLUB INTERNATIONAL® PROUDLY PART OF

MULTIPLE CARDS. ONE NETWORK.

15

Acquire New MerchantsBank Branch Model

Provide Merchant Materials Based on Acceptance StatusProvide Merchant Materials Based on Acceptance Status

Merchant Starter GuideBrochure that provides benefits of acceptance and free signage. Provide to merchants that sign an agreement along with a gift like a pen.

Acceptor (Signed Merchant Agreement)

P Signage kit, collateral and a gift

Merchant Collateral

Provide any of the following to merchants who do not

sign an agreement:

P Multiple Cards. One Network. brochure or

sell sheet

P The Power of Acceptance brochure

It is recommended sales follows up within 30 days.

Non-Acceptor (Unsigned Merchant Agreement)

P Collateral

P Follow-up call within 30 days

GAIN ACCESS TO MORE CARDHOLDERS. Contact your Payment Services Provider to begin accepting.

Visit DiscoverGlobalNetwork.com to learn more about our growing network.

©2016 DFS Services LLC

1 The Nilson Report #1037, March 20142 TNS, State of the Card Market Report, November 2013 3 Forrester Research - Online Omnibus Survey, Q2 2014 4 TNS, Global Merchant Card Acceptance, 20145 Retail Banking and Research, August 20146 Nilson Report #1033, January 2014 and Discover Global Network partner reporting

Ensure your terminals are ready

Start End30000000 3059999930950000 3095999936000000 3699999938000000 39999999

Diners Club International BIN Ranges:

Start End60110000 6011099960112000 6011499960117400 6011749960117700 6011799960118600 6011999964400000 65999999

Discover, BC Global Card®, DinaCard® and RuPay® BIN Ranges:

Acceptance is through your chosen Acquirer, which means you have one point of contact for all payments, statements and technical support.Connect To A Powerful Network.

70M+CARDHOLDERS6

35M+MERCHANT LOCATIONS

3NET WORK5

RD LARGESTPAYMENTS

COUNTRIES/ TERRITORIES185

DISCOVER

DISCOVER® GLOBAL NETWORKMULTIPLE CARDS. ONE NETWORK.

16

Acquire Large MerchantsHandling Objections

P Volume and cannibalisation

P Technical cost

P Not relevant to my business

P Profitability, ATV, cross-border story

P Enablement funding

P Advertising, sponsorships and

custom signage

Large merchant acquisition is integral to growing your acquiring volume. The tools highlighted below can

build a compelling business case for Discover Global Network acceptance.

Handling Large Merchant Objections

Objection Solution

17

Merchant Profitability Model

Our customizable merchant profitability model showcases the acceptance value to a merchant, including:

P Incremental revenue

P Profitability

P Break-even point

P Cannibalisation

Acquire Large MerchantsHandling Objections

Electronics Merchant Profitability Example Using the merchant profitability model is easy. This tool automatically calculates, in over 120 currencies:

P Total potential volume

P Percentage of incremental sales required to break-even

P Percentage of spend not impacted by cannibalisation.

Cardholder

Type

Portfolio

Mix

% No

Purchase

%

Incremental

Incremental

Value

Discover Global

Network Volume

Break-Even Analysis

Consumer

Corporate

Incremental sales from cards of Discover Global Network

£1050

£5250

5%

£10,500,000.00

1.1%

£205

20%

Break-Even Point

Additional Cost of Acceptance

(Rate Differential x Volume)

Incremental Sales Needed

(Cost of Acceptance / Gross Margin)

% Of Incremental Sales Needed

(Cost of Acceptance / Diners Volume)

Merchant Information

Discover Global Network Volume

Rate Differential

Average Transaction Value

Gross Margin

90%

10%

£28,350

£4,935

£33,285

Total

Incremental

£10,500,000

£33,285

30%

47%

27%

5%

=

=

5 New Sales Per 100 cardholders 5% Incremental Sales95% Discover Global Network Spend will not impact profits, even if cannibalisation occurs

18

Acquire Large MerchantsHandling Objections

Comparative Analysis of Competitors’ Average Transaction Value

Our cardholders spend nearly 2X on average compared to Visa and MasterCard, and have higher

spend limits.1 This is a compelling fact that can be illustrated using actual spend data. In the example

below, a comparison of actual spend on Discover Global Network per transaction by existing

competitors, convinced an airlines prospect to begin accepting.

Prospect’s Average Transaction Value (ATV)

Total annual Discover / Diners Club Volume with above competitors € 716,055,259

Competitor Competitor ATV Other Euro Airlines Competitor ATV

Consumer Card

Corporate Card

Airline 1

Airline 2

Airline 3

Airline 4

Airline 5

Airline 6

€ 266

€ 182

€ 212

€ 244

€ 664

€ 290

€ 145

€ 162

€ 668

€ 547

€ 655

€ 675

€ 704

€ 378

Airline 7

Airline 8

Airline 9

Airline 10

Airline 11

Airline 12

1. Nilson Report #1037, March 2014 and TNS, State of the Card Market, 2013

19

Sponsorships, Advertising and Custom Signage

There are several promotional activities you can employ to gain acceptance:

P Advertising in publications targeted to travelers

P Advertising in merchant channels

P Event sponsorship

P Custom signage

Acquire Large MerchantsCustom Solutions

If you need to provide merchant incentives due to technical costs, we recommend outlining the following

in an enablement funding contract:

P Full enablement of all Diners Club International and Discover BIN ranges

P Signage placement in-store and online

P Sales training of all employees

P 3-year commitment

Advertising / Sponsorships

20

Drive Volume to Your Merchants

Enhance acceptance results with volume driving merchant promotions. Your merchants can capture new

volume through existing cardholder offer programs:

P Diners Club Privileges

P Alliance Advantages

P Direct to cardholder promotions via BCcard® and select Diners Club issuing partners

Marketing Programs to Drive VolumeStandard Promotions

P Diners Club Privileges

• Promoted to Diners Club cardholders

• +100k visitors and growing

• Offers promoted online and via Diners

Club Travel app

P Alliance Advantages

• Newly launched

• Promoted to network alliance partners

like BCcard, and RuPay®

• Network Partners can link to offers

on site, or pull them for use in their

cardmember marketing efforts

EXPERIENCE LONDON PROMOTION SUBMIT YOUR OFFER BEFORE FEBRUARY 28TH

Key Sectors and Locations to Participate:• London or surrounding tourist areas• Hotel, restaurant, retail, transportation, tourist attractions and

entertainment business

Offer Recommendations of Eligible Offers:• Discount incentive (% or £ off)

• Gift with purchase

• Spend X and get Y

• Complimentary drink when dining

Offers Ideally Must Be:• Valid between 6-12 months (Allow time for international travellers to plan

their trip and recognize promotions)

• Valid at all stores

• Exclusive or best in class

• Only eligible if the customer pays with a card running on the Discover Global Network

How Can You Participate?Contact your Global Payments Relationship Manager to find out more details or email Discover Global Network at ContactUs@Discover.com

Offer Communication• Offers will be communicated to Cardholders – Higher value offers

receive more impressions

• Communication channels include: Email, Social Media, Web/Digital Placements, Mobile, Direct Mail and Cardholder Statements

TOURIST SPEND BY SECTOR WHILST VISITING THE UK1

18%Shopping

19%Transportation

26%Restaurants

10%Attractions

27%Hotel

1 Euromonitor 2012

21

Marketing Programs to Drive VolumeCustomized Promotions

A successful merchant offer promotion requires cooperation between the franchise, the merchant,

the issuer and the network. If you are a franchise who also issues and acquires, then you have two

roles to play.

Global Merchant Marketing

Acquirer Issuer Cardholder

Cardholder

Cardholder

Merchant

Merchant

Merchant

Franchise / Acquirer

P Secure offers that match issuer’s needs

P Oversee merchant approvals

P Test merchant terminals and place signage

Sample Issuer Promotion

Issuers can provide a fact sheet to merchants about the

destination promotion in order to secure relevant offers.

ATTRACT TOURISTS TO YOUR BUSINESS WITH THE

EXPERIENCE LONDON PROMOTION FROM DISCOVER GLOBAL NETWORKIn 2012 more than 30 million overseas visitors came to the UK, spending £22.5B through 2012.1 As the third’s largest card network in the world2, many travellers heading to the UK carry cards running on the Discover Global Network. Attract these cardholders to your business by participating in Experience London and incentivise them to spend with you with a special cardholder promotion.

• 58M Discover branded cards4

• Higher spend and larger credit lines than Visa/MasterCard5

• Leading Cash Rewards Program in U.S.

• Largest domestic network in South Korea

• Approximately 4M Cards issued from a total portfolio of 56M to be converted

• $116B processed

• System of national payment cards operated by a division of Serbia’s central bank

• Issued by 27 banks

• India’s national network owned by the 10 largest banks in India

• Average spend per outgoing trip estimated at Rs366,600 (£3,930)6

1 July 2013 Tourism Highlights, World Tourism Organization

2 Retail Banking and Research, August 20133 The Nilson Report #1014, March 2013

4 The Nilson Report #986, January 20125 TNS, 2013 State of the Card Market6 Euromonitor 2012

• Spend on average, 2 times more than Visa/MasterCard3

• Generates $27B in yearly sales volume

22

Merchant

P Supply self-funded offer, logo, images and redemption instructions

P Approve issuer communication

P Educate staff on offers and acceptance

Marketing Programs to Drive VolumeCustomized Promotions

Sample Merchant Offer Form

Forms can be created to make it easy for a merchant to provide offer information.

P What makes a good offer?

• Relevant to the cardholder

» MCC spending patterns

• Significant value to the cardholder

» Percent off purchase

» Specific credit for minimum

purchase amount

» Added issuer incentives, like no FX fees

• Long redemption period

• Easy access

» Available in multiple formats

• Easy to redeem

» Merchant’s staff is aware of promotion

23

Marketing Programs to Drive VolumeCustomized Promotions

Franchise / Issuer

P Identify market opportunity and cardmember spending patterns

• Destination market with highest spend

• MCCs most visited by cardholders who travel

• Past campaign results to determine offers that were most relevant

P Enhance destination promotions with issuer funded incentives:

• Cashback

• No FX fees

• Free travel insurance

P Design, fund and send cardholder communications

• Ensure easy access to offers with print, web and mobile

• Multiple exposure

» Cardholder channels

» Merchant channels

Network

P Provide strategic support with guidelines and best practices

P Assist with communication flow ensuring acquirer and issuer alignment

Sample Destination Creative

Sample creative is provided as a guideline for

you to use for similar campaigns.

24

Support and Resources

P DinersClubInfonet.com

• Download the complete Acquiring Best Practices Toolkit

• Diners Club International Brand Guidelines

P DiscoverGlobalSignage.com

• Order signage, download logos and card art

• Pre-set limits on ordering

P DiscoverGlobalNetwork.com

• Discover Global Network story

• Terminal test instructions

• Events calendar

P Contactus@discover.com

• Questions regarding this Acquiring Best Practices Toolkit

• Tourism information for most countries

• Allow 7–10 days for all research requests