Mountain railway company gives interest on vouchers
In view of the low interest rates on Swiss bank accounts, a mountain railway company in central Switzerland has come up with a special advertising gimmick.
It pays two percent interest annually on issued vouchers for its excursion destination if they are not redeemed. With the new value-added voucher, guests can invest money with a return in future leisure experiences, the Brunni-Bahnen Engelberg OW announced on Wednesday.
Anyone who buys a voucher for 100 francs in 2016 and redeems it in five years will receive services worth the equivalent of 110.50 francs. With the new bait-and-switch idea, the mountain railway company, which has sales of 6.5 million francs and around 70 employees, wants to boost its voucher business in particular, said managing director Thomas Küng when asked. The volume has been low so far, he said. Financing future investments primarily through vouchers is not an alternative for the railroad.
In the voucher business, the issuers profit, among other things, because some of the vouchers are never redeemed. The Brunni lifts wanted to create an incentive for the vouchers to be converted in the longer term, the managing director continued. The new vouchers in the Brunni area are valid for five years and cannot be extended. They are redeemable for all transportation and leisure facilities as well as restaurants and accommodations. (SDA)
