Changing Attitude of Indian Customer’s Towards Credit Cards
Changing Attitude of Indian Customer’s towards Credit Cards
*Dr. Saraju Prasad
Abstract: In recent years, economic pressures, heightened competition, rapid technological developments, and a decline in consumer purchasing power are paving the way for the change in global market for the credit card business. The aforementioned changes and transformations are also affecting credit card business and card issuers and users in developing countries as well. Despite the recent developments in technology and impediments to credit card usage in developed countries, one still observes the spread of credit card ownership and usage in advanced developing countries of Asia, Africa, Middle East, and Latin America. In recent years, as the demand for upscale and middle income markets has saturated there has been a scope for penetration of credit cards into less wealthy markets of these countries. Country like India faces the similar problem of acceptance of different brands of credit cards because of innovative features. Consumers’ attitude towards different brands of credit cards is being studied during the two periods (2002-05 & 2006-09) because of changing features. The number of dimensions considered for the first factor analysis was 14 (14 variables) during the period of 2002-05 and for second factor is 54 (54 variables) during the period of 2006-09. The demographic profile is different because of two sets of data has taken during two different timings. The changing attitude of Indian Customers can be thoroughly known through the factor analysis.
Key Words: Factor, Demographic, Likert Scale Introduction: The credit card culture in India was formally introduced almost 25 years ago. The Indian credit card market witnessed a rapid growth in the late eighties and the early nineties with an increasing number of banks offering credit card facility. The wave of credit cards entry set the banking industry, a vital sector of a society to expand the market by boosting the sales
*Dr. Saraju Prasad
Abstract: In recent years, economic pressures, heightened competition, rapid technological developments, and a decline in consumer purchasing power are paving the way for the change in global market for the credit card business. The aforementioned changes and transformations are also affecting credit card business and card issuers and users in developing countries as well. Despite the recent developments in technology and impediments to credit card usage in developed countries, one still observes the spread of credit card ownership and usage in advanced developing countries of Asia, Africa, Middle East, and Latin America. In recent years, as the demand for upscale and middle income markets has saturated there has been a scope for penetration of credit cards into less wealthy markets of these countries. Country like India faces the similar problem of acceptance of different brands of credit cards because of innovative features. Consumers’ attitude towards different brands of credit cards is being studied during the two periods (2002-05 & 2006-09) because of changing features. The number of dimensions considered for the first factor analysis was 14 (14 variables) during the period of 2002-05 and for second factor is 54 (54 variables) during the period of 2006-09. The demographic profile is different because of two sets of data has taken during two different timings. The changing attitude of Indian Customers can be thoroughly known through the factor analysis.
Key Words: Factor, Demographic, Likert Scale Introduction: The credit card culture in India was formally introduced almost 25 years ago. The Indian credit card market witnessed a rapid growth in the late eighties and the early nineties with an increasing number of banks offering credit card facility. The wave of credit cards entry set the banking industry, a vital sector of a society to expand the market by boosting the sales
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