Possible answers:
Amount paid
Encourage customers to use VISO more often (e.g. increase the number of retailers accepting VISO cards or introduce a rewards system)
Increase the interchange fee percentage
A higher fee percentage may cause fewer retailers to accept VISO. This will decrease the total amount paid via VISO.
Increase interest rate on credit card balances
Since not many customers know about the interest rate on credit card balances, they should not be price sensitive to the interest rate. However, high-interest rates may negatively impact VISO’s image.
Increase the amount customers owe on their credit card balance
This is risky because customers with higher debt levels are more likely to default.
Since this is an interviewer-led case, the interviewer should guide the candidate through the interview.
After the first few questions, the interviewee should calculate the average revenue per card for the client and the new competitor. Afterwards, the interviewee should think of at least 3 different solutions for the client.
The questions in the big boxes should be read to the interviewee.