People comfortable using cards for fun categories
City: 

It seems customers are increasingly becoming comfortable using credit and debit cards while making payments for entertainment purposes. Movie theatres witnessed the highest growth in debit and credit card transactions in 2018, followed by liquor shops. Apparel and accessory stores, on the other hand, witnessed de-growth in card transactions.

Card payments at movie theatres grew 76.66 per cent in terms of volumes and 75.56 per cent in value terms, showed the data from payment processor Wordline. In case of debit cards, movie payments topped in growth with 77 per cent growth in terms of volume and value. Moviegoers also paid through credit cards 88 per cent more than last year.

Customers also preferred to use cards to pay for both packaged liquor as well as in liquor bars. Bars, cocktail lounges, discotheques, nightclubs, taverns and other drinking places of alcoholic beverages recorded 68 per cent growth in credit card transaction volumes and 76 per cent growth in debit card volumes. Packaged liquor saw 80 per cent growth in credit card payments and 53 per cent growth in debit card payments.
But as far as credit card usage is concerned, the highest growth was seen in payments made to travel agencies and tour operators – 124 per cent in volume terms and 245 per cent in value terms. But travel agencies didn’t figure among the high growth categories in terms of debit card spends as these are high value payments.

Supermarkets, grocery shops and confectionary stores were the other places were customers increasingly used both credit cards and debit cards.

“Our data shows that cards will continue to play a dominant role in India’s digital payment story. We have seen a phenomenal growth in credit card transactions in 2018 and not surprisingly the merchant category that saw the highest growth in credit card transactions, both value and volume, was the travel agency and tour operator sector – a category that has high value transactions. A merchant category that unsurprisingly saw a high rate of growth was the movie theatre category – a testament that Indian love their movies and popcorn and prefer using their cards to pay for both,” Deepak Chandnani, MD of Worldline South Asia & Middle East and MRL Posnet.

A few categories either witnessed flat growth or de-growth in 2018. Telecommunication equipments de-grew by 12 per cent in volumes and 7 per cent in value. Card payments at apparel and accessory stores de-grew by 11 per cent and clothing stores recorded a flat growth.

But, as a whole, card payments grew 19.66 per cent in volume and 19.94 per cent in amount in 2018. In terms of credit cards, a growth of 43.28 per cent was witnessed in transaction volume and 49.97 per cent in transaction amount. In terms of debit cards, a growth of 21.90 per cent was seen in  volume and 19.38 per cent in transaction amount.

Columnist: 
Sangeetha G.