New Delhi: Following Ola and Paytm’s recent announcement in May, Flipkart on Thursday announced the launch of its first credit card in partnership with Axis Bank and Mastercard. The new credit card will provide five percent unlimited cashback on purchases made on Flipkart, Myntra and 2GUD.
The Wallmart-owned e-commerce platform had earlier partnered with Axis Bank in 2016 for the launch of Axis Bank Buzz credit card which offered a five percent discount on Flipkart purchases.
The new Flipkart-Axis Bank Credit Card will be offered to select users in July and then it will give access to customers nationwide in the following weeks.
Apart from the discount, the Credit Card will also include welcome offers, like up to 20 percent discount at over 4,000 restaurants, airport lounge access, and a fuel surcharge waiver of up to Rs 500 per month.
Meanwhile, Ola, Paytm and Amazon had also launched similar credit cards in partnership with Visa and Mastercard.
The launch primarily intends at boosting cashless payments by giving the customers access to credit. Majority of the credit card market in India focuses on salaried customers in the above 30 age group.
However, with the launch of tie-ups like such, the online wallet, cab-hailing, food delivery and e-commerce companies are now going after younger users who also form their primary user base.
As per RBI reports, India had around 49 million credit cards in operation in May whereas debit cards stood at close to 824 million.