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

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.