Samsung has launched two credit cards in India, entering a crowded category that sees more than 50 companies fiercely vying for consumer attention in the world’s second-largest internet market.
The South Korean giant said it has teamed up with Mumbai-headquartered Axis Bank and global payment processor Visa to launch the cards, which it calls the Samsung Axis Bank Credit Card. Consumers who purchase Samsung products and services through either card will receive 10% cash back “all year round”, company executives said at an event in New York. Delhi. (Cashback is capped annually at 10,000 Indian rupees ($123) on the Signature card and 20,000 Indian rupees ($246) on the Infinite card.)
Samsung, India’s second-largest smartphone vendor, said it would also offer customers “exciting” financing options on credit cards. The cards are specifically aimed at consumers in small Indian towns, the executives said.
Even though the space Samsung is entering is crowded, the opportunity is undoubtedly great. Indian banks have issued more than a billion debit cards to customers in the country, but fewer than 25 million unique people in the country have a credit card, according to industry estimates.
Customers will earn rewards for spending through their cards and gain access to offers from local businesses including food delivery service Zomato, fashion e-commerce Myntra, online pharmacy Tata’s 1mg, grocer Bigbasket and Urban Company.
Monday’s announcement underscores the growing push by smartphone makers to expand their services. Chinese giant Xiaomi, which dominates the country’s smartphone market, launched a UPI-powered payment service in India in 2019 and began lending to customers last year. (Samsung launched its UPI-powered Samsung Pay payment service in India in 2017.)
Co-branded cards are generally a “win-win for the bank, the partner brand and the customers” because they allow experienced users of a brand to gain greater benefits as they spend more with the brand. .
“The brand gets more loyalty from its users, while the bank obviously benefits from access to a different set of customer base, customer acquisition itself coming from the brand or from loyal users of the brand “A Bengaluru-based fintech executive told TechCrunch, requesting anonymity when commenting on other companies’ products.
The annual fee on the Signature card is $6.13 before taxes, while the Infinite card charges 10 times the fee. The company said it will soon begin accepting customer applications for the cards.
“At Samsung, we believe in transforming the lives of our consumers through the power of innovation. The Samsung Axis Bank Credit Card, powered by Visa, is our next big India-specific innovation that will change the way our customers buy Samsung products and spend on services with a series of industry-leading features. We are thrilled to be able to put control in the hands of our consumers,” Ken Kang, President and CEO of Samsung Southwest Asia, said in a statement.
Samsung has launched two credit cards in India, entering a crowded category that sees more than 50 companies fiercely vying for consumer attention in the world’s second-largest internet market.
The South Korean giant said it has teamed up with Mumbai-headquartered Axis Bank and global payment processor Visa to launch the cards, which it calls the Samsung Axis Bank Credit Card. Consumers who purchase Samsung products and services through either card will receive 10% cash back “all year round”, company executives said at an event in New York. Delhi. (Cashback is capped annually at 10,000 Indian rupees ($123) on the Signature card and 20,000 Indian rupees ($246) on the Infinite card.)
Samsung, India’s second-largest smartphone vendor, said it would also offer customers “exciting” financing options on credit cards. The cards are specifically aimed at consumers in small Indian towns, the executives said.
Even though the space Samsung is entering is crowded, the opportunity is undoubtedly great. Indian banks have issued more than a billion debit cards to customers in the country, but fewer than 25 million unique people in the country have a credit card, according to industry estimates.
Customers will earn rewards for spending through their cards and gain access to offers from local businesses including food delivery service Zomato, fashion e-commerce Myntra, online pharmacy Tata’s 1mg, grocer Bigbasket and Urban Company.
Monday’s announcement underscores the growing push by smartphone makers to expand their services. Chinese giant Xiaomi, which dominates the country’s smartphone market, launched a UPI-powered payment service in India in 2019 and began lending to customers last year. (Samsung launched its UPI-powered Samsung Pay payment service in India in 2017.)
Co-branded cards are generally a “win-win for the bank, the partner brand and the customers” because they allow experienced users of a brand to gain greater benefits as they spend more with the brand. .
“The brand gets more loyalty from its users, while the bank obviously benefits from access to a different set of customer base, customer acquisition itself coming from the brand or from loyal users of the brand “A Bengaluru-based fintech executive told TechCrunch, requesting anonymity when commenting on other companies’ products.
The annual fee on the Signature card is $6.13 before taxes, while the Infinite card charges 10 times the fee. The company said it will soon begin accepting customer applications for the cards.
“At Samsung, we believe in transforming the lives of our consumers through the power of innovation. The Samsung Axis Bank Credit Card, powered by Visa, is our next big India-specific innovation that will change the way our customers buy Samsung products and spend on services with a series of industry-leading features. We are thrilled to be able to put control in the hands of our consumers,” Ken Kang, President and CEO of Samsung Southwest Asia, said in a statement.