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Co-branded cards have advantage in activation over traditional ones: RV Ramanathan

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Co-branded cards have advantage in activation over traditional ones: RV Ramanathan

Co-branded cards are expected to experience faster growth compared to traditional credit cards due to evolving regulations and better-defined customer needs, according to RV Ramanathan, CEO of Hyperface. He predicts that the credit cards segment will reach 200 million by 2027-28, with more mass-market cards being preferred and high rewards points becoming less common. Co-branded cards tend to have better activation rates due to their positioning towards loyal customers, voluntary applications, integrated digital experiences, and brand recall. Ramanathan also sees co-branded cards expanding beyond fuel, online shopping, and food and beverage, targeting various industries and consumer segments. Additionally, the emergence of credit lines on UPI (Unified Payments Interface) will contribute to the growth of co-branded cards.

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