JAMMU: E-commerce marketplace Flipkart and Axis Bank have partnered to launch an exclusive co-branded credit card, powered by MasterCard. The credit card offers customers best-in-class benefits and unlimited cash back on all spends, online and offline. This partnership is the latest effort from Flipkart, Axis Bank, and MasterCard to improve access to credit and further expand the fast developing credit card ecosystem in India.
The credit card ecosystem in India is growing at a fast pace and holds immense promise with regards to penetration and acceptance. While most Indians have accessed some form of informal credit, there are only an estimated 49 million credit cards in circulation. Estimates from CIBIL suggest that while there are some 220 million credit-worthy Indians, a full one third of them have not yet been tapped by formal financial institutions. Further, only 72 million of this base are considered ‘credit active’, having a live account with a bank or lending body.
The Flipkart-Axis Bank Credit Card is designed to cater to both credit-worthy Indians, as well as sections of the population who have not accessed formal credit before, through Axis Bank & Flipkart’s extensive pan-India network and distribution reach, and MasterCard’s market leadership in co-brand card programs and payment technology. The card will be available for select users in July, with plans to open the program to all customers over the coming weeks. Customers can also experience a seamless journey with this proposition, from instant card issuance to transaction completion.
Under this program, customers can earn best-in-class returns on their card spends via cash back that is auto credited every month in customer’s statement. The Flipkart-Axis Bank Credit Card will also offer customers extra savings on EMI spends on the Flipkart platform, on all tenures.
“At Flipkart, we believe in putting the customer at the centre of all our endeavours, while also generating shared value for all stakeholders in the ecosystem. Through this co-branded credit card, in partnership with Axis Bank and MasterCard, we are reiterating our commitment to driving access to formal credit in India with an offering that will benefit the customer the most” said Kalyan Krishnamurthy, CEO of the Flipkart Group.
“Axis Bank is a full suite payments player and we continue to build on innovation led partnership models,” said Amitabh Chaudhry, MD&CEO, Axis Bank.
Ari Sarker, Co-President, Asia -Pacific, MasterCard, said, “Though 90% of transactions in India are still processed in cash, we are seeing a sizable and undeniable shift towards digital payments. We are honored to partner Flipkart and Axis Bank in accelerating the exciting transformation of India’s digital payments landscape.”