In a game-changing move, leading food delivery platform Swiggy is partnering with HDFC Bank to launch a co-branded credit card, promising a host of benefits to the loyal users of the service[1].
Swiggy is following the footsteps of several other e-commerce platforms who have branched into the financial services sector. This strategic move comes at a time when competition in the food delivery market is fiercer than ever. Despite Zomato, one of its chief competitors, exiting the credit card market, Swiggy sees a lucrative opportunity[1].
The co-branded credit card, powered by Mastercard, is part of Swiggy’s strategy to foster customer loyalty. Cardholders are set to enjoy a range of advantages, such as discounts on Swiggy’s hyperlocal delivery services and restaurant bill payments. The benefits also extend to Swiggy’s sister concern, Dineout, along with its Instamart grocery delivery service[1][5].
This partnership between Swiggy and HDFC Bank, India’s largest private sector bank, aims to generate additional revenue for Swiggy and offset losses from its Instamart business[1]. On the other hand, for HDFC Bank, this marks an expansion in its already diverse credit card portfolio, which includes several co-branded cards across various categories[5].
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Features of the Swiggy HDFC Bank Credit Card are set to include a promising 10% cashback on Swiggy, Dineout, and Instamart, along with a 5% cashback on online spends and 1% cashback on other offline and online food, dining, and grocery apps[5]. The final details, such as fees and other perks, are yet to be released.
A dedicated tech team is working to ensure a smooth launch and swift integration, signalling Swiggy’s commitment to creating a seamless user experience for its customers[4].
In conclusion, the co-branded credit card by Swiggy and HDFC Bank is not just a credit card, it’s a tool that has the potential to reshape the dynamics of the food delivery industry in India. As consumers eagerly await the card’s launch, this move is a clear reflection of Swiggy’s innovative spirit and HDFC Bank’s drive to diversify its offerings. Stay tuned for more updates.
