Mumbai: SBI Card today announced that it has achieved a milestone of 4 million customers, thus strengthening its position as one of the leading card issuers in the country. In addition, the company has witnessed a growth of nearly 40% CAGR in spends between FY11-12 and FY15-16, well-above the industry growth of about 25% CAGR in the same period.
Speaking on the occasion, Mr Vijay Jasuja, CEO, SBI Card said, “We are delighted that 4 million customers have placed their trust in us. Our values of transparency and customer centricity and commitment to quality and innovation have resonated with customers. We are constantly innovating to develop payment solutions that meet changing consumer needs and provide a rewarding experience to our cardholders. We believe our consumer focused approach to business and ethos of trust, transparency and innovation in everything we do has driven our growth”
He added, “We look forward to extending industry leading, tailored payments solutions, which complement evolving needs and lifestyles, to many more consumers. In the past five years, we have grown at a CAGR of close to 40 per cent, well above the industry growth rate. With continued endorsement from our customers, we expect to sustain this growth and our target is to add over 1 million customers by September 2017.”
SBI Card has expanded its portfolio in the last two years with addition of new products like SBI SimplyCLICK Card, a unique card designed for today`s online generation, and SBI Card ELITE, the premium flagship card aimed at providing high net worth customers with benefits and privileges that complement and reward their premium lifestyle. The company has recently entered into a partnership with State Bank of India to offer SBI Card ELITE to eligible SME customers of SBI, thus accelerating expansion of premium customer base. The company has also partnered with banks such as Federal Bank, South Indian Bank and Lakshmi Vilas Bank among others to provide co-branded cards to customers.
E-commerce has also emerged as a key propeller of growth. SBI Card`s overall spends has been growing at a rate of 30-35% while growth of online spends stands at over 50%. The SimplyCLICK SBI card, which provides the most rewarding online shopping experience to consumers through a tie up with eight strategic e-commerce players i.e. Amazon India, BookMyShow, Cleartrip, FabFurnish, Food Panda, LensKart, Ola and Zoomcar, has become a significant contributor to the company`s overall portfolio. The company is also seeing a significant proportion of new accounts on SimplyCLICK SBI Card being added from Tier 2 and 3 cities, as consumers shift towards online shopping to access brands that do not have a physical presence in small cities.
Technology investments and technology-led initiatives, aimed at providing an enhanced usage experience, continue to underline SBI Card`s growth strategy. The company has been expanding its contactless portfolio with SBI Card ELITE and Simply CLICK SBI Card being the latest additions to the contactless cards base.