Review of Professional Management- A Journal of New Delhi Institute of Management

Open Access Open Access  Restricted Access Subscription Access

Role of Demographic Variables in Credit Card Selection Criteria-An Empirical Study in NCR of Delhi


Affiliations
1 Jamia Millia Islamia, New Delhi, India
 

The payment industry in India is rapidly revolutionizing. Economic growth has enabled India's 1.2 billion population to avail superior financial services compare to to their previous generations. There is availability of plethora of electronic payment services like credit cards, debit cards, net banking, e-wallets which consumer can use for payment. This growth of electronic and cash less payment has also led to the increased use of the credit cards. The credit card offers consumers the convenience of purchasing without paying cash and removes the need of carrying cash. Also, the credit card offers consumers access to credit without detailed paper work as in a loan. The purpose of the research paper is to study the role of demographic variables in credit card selection criteria. Variables are adopted from a study conducted by Gan, Maysami, and Koh (2008). For this study, six factors namely Convenience, Protection, Economics, Flexibility, Reward Program and Reputation are selected. The sample was selected from the National Capital Region of Delhi as consumers have greater exposure to credit cards. This study based in emerging economy like India has relevance because of changing consumers' preferences and usage behaviour.

Keywords

Credit Cards, Demographic Variables, Credit Cards Usage.
User
Notifications
Font Size

  • Abdul-Muhmin, A.G. & Umar, Y. A. (2007). Credit Card Ownership and Usage Behaviour in Saudi Arabia:The Impact of Demographics and Attitudes toward Debt. Journal of Financial Services Marketing, 12(3).

  • Barker, T., & Sekerkaya, A. (1992). Globalisation of Credit Card Usage: The Case Study of Developing Economy. International Journal of Bank Marketing, 10 (6). http://dx.doi.org/10.1108/02652329210017299 . (Accessed on 30 August 2016).

  • Canner, G. B., & Luckett, C. A. (1992). Development in Pricing of Credit Card Services. Federal Reserve Bulletin. 78.

  • Danes, S. M., & Hira, T. K. (1990). Knowledge, Beliefs and Practice in the use of Credit Cards. Home Economics Research Journal. 18.

  • Devlin, J. F., Worthington, S., & Gerrard, P. (2007). An Analysis of Main and Subsidiary Credit Card Holding and Spending. International Journal of Bank Marketing, 25 (2)

  • Gan, L. L., Maysami, R. G., & Koh, H. G. (2008). Singapore credit cardholders: ownership, usage patterns, and perception. Journal of Services Marketing , 22 (4), http://dx.doi.org/10.1108/08876040810881678 . (Accessed on 12 September 2015).

  • Ismail, S. et al. (2014). Determinants of Attitudes towards credit card usage. Jurnal pengurusan, Malaysia. 41. 145-154.

  • Kaynak, E., & Ugur, K. (1984). A cross –Cultural Study of Credit Card Usage Behaviours: Canadian and American credit Card Users Contrasted. International Journal of Bank Marketing, 2(2), 113-133. http://dx.doi.org/10.1108/eb010739. (Accessed on 10 August 2016).

  • Kaynak, E. Kucukemiroglu, O., & Ozmen, A. (1995). Correlates of Credit Card acceptance in an advanced delveloping Middle Eastern Country. Journal of Services Marketing. 9 (40). http://dx.doi.org/10.1108/08876049510094496 . (Accessed on 10 September 2016).

  • Kaynak, E., & Harcar, T. (2001). Consumers’ Attitudes and Intentions Towards Credit Card Usage in an Advanced Developing Country. Journal of Financial Services Marketing , 6 (1), 24-39. http://dx.doi.org/10.1108/08876049510094496. (Accessed on 12 September 2016).

  • Khare, A., & Singh, S. (2012). Factors Affecting Credit Card Use in India. Asia Pacific Journal of Marketing and Logistics, 24(2). http://dx.doi.org/10.1108/13555851211218048. (Accessed on 24 August 2016).

  • Kinsey, J. (1981). Determinants of Credit Card Accounts: An Application of Tobit Analysis. Journal of Consumer Research , 8 (2).

  • Lee, J., & Hogarthe, J. M. (2000). Relationships among information search activities when shopping for a Credit Card. Journal of Consumer Affairs. 34 (2), 330-360.

  • Mazzotta, B. D. et al. (Dec, 2014). The Cost of Cash in India. Report: Institute For Business in the Global Context. The Fletcher School. Tufts University.

  • Ramayah, T., Nasurdin, A. M., & Choo, L. H. (2002). Cardholder’s attitude and Bank Credit Card Usage in Malaysia. Asian Academy of Management Journal, 7(1).

  • Sharpe, D. L., Yao, R., & Liao, L. (2012). Correlates of Credit Card Adoption in Urban China. Journal of Family and Economic Issues. http://dx.doi.org/10.1007/s10834-012-9309-0. (Accessed on 27 August 2016).

  • Thomas, F., Maloles III. C., & Swoboda, B. (2010). Debit and credit card usage and satisfaction: Who uses which and why-evidence from Austria. International Journal of Bank Marketing, 28(2).

  • Tumedi, C.B.& Themba, G (2012). Credit Card Ownership and Usage behaviour in Botswana. International Journal of Business Administration. 3 (6).

  • Wasburg, C. A., Hira, T. K., & Fanslow, A. M. (1992). Credit Card Usage and Consumer Debt of Households. Journal of Consumer Studies and Home Economics , 16.

  • Wickramsinghe, V., & Gurugamage, A. (2009). Consumer credit card ownership and usage practices: empirical evidence from Sri Lanka. International Journal of Consumer Studies, 33. http://dx.doi.org/10.1111/j.1470-6431.2009.00779.x (Accessed on 24 August 2016).

  • Worthington, S., Stewart, D., & Lu, X. (2007). The adoption and usage of credit cards by urban-affluent consumers in China. International Journal of Bank Marketing , 25 (4).


Abstract Views: 551

PDF Views: 166




  • Role of Demographic Variables in Credit Card Selection Criteria-An Empirical Study in NCR of Delhi

Abstract Views: 551  |  PDF Views: 166

Authors

Rashi Banerji
Jamia Millia Islamia, New Delhi, India
Rahela Farooqi
Jamia Millia Islamia, New Delhi, India

Abstract


The payment industry in India is rapidly revolutionizing. Economic growth has enabled India's 1.2 billion population to avail superior financial services compare to to their previous generations. There is availability of plethora of electronic payment services like credit cards, debit cards, net banking, e-wallets which consumer can use for payment. This growth of electronic and cash less payment has also led to the increased use of the credit cards. The credit card offers consumers the convenience of purchasing without paying cash and removes the need of carrying cash. Also, the credit card offers consumers access to credit without detailed paper work as in a loan. The purpose of the research paper is to study the role of demographic variables in credit card selection criteria. Variables are adopted from a study conducted by Gan, Maysami, and Koh (2008). For this study, six factors namely Convenience, Protection, Economics, Flexibility, Reward Program and Reputation are selected. The sample was selected from the National Capital Region of Delhi as consumers have greater exposure to credit cards. This study based in emerging economy like India has relevance because of changing consumers' preferences and usage behaviour.

Keywords


Credit Cards, Demographic Variables, Credit Cards Usage.

References





DOI: https://doi.org/10.20968/rpm%2F2016%2Fv14%2Fi2%2F130981