A STUDY OF USAGE PATTERN
OF CREDIT CARD
PRESENTED BY:
ANU GOYAL
HARDEEP SINGH
JIMMY JOSHI
INTRODUCTION
Trust to receive their purchases on time
Credit card is a system of payment
A credit card is different from a debit card
Cater to the needs of retail segment
HISTORY
1950, the time when 'Diners Club' was
established.
Arrival of American Express in 1958
With only two players in domestic card
industry, HSBC and Citibank in the early
80s, the number swelled to over 25 in
the year 2001.
Types of Cards
Master Card Platinum Card
VISA Card Secured Card
Affinity Cards Travel Card
Standard Card Smart Card
Classic Card Charge Card
Gold Card/Executive Cash Card
Card
Titanium Card
MAJOR PLAYERS IN CREDIT CARD
INDUSTRY
HDFC CITI BANK
ICICI STANDARD
CHARTERED
SBI
HSBC
PNB
ELIGIBILITY CRITERIA
Income Proof
Minimum income level
21 years to 65 years of
age.
PARTIES OF CREDIT CARD
Issuer
Card Holders
Member Establishment
PROBLEMS IN INDIAN CREDIT CARD
MARKET
Lack of acceptance terminals.
frauds related to credit cards
lack of reliable internal and
external infrastructure including
technology
RESEARCH METHODOLOGY
The objectives of the study are as
follows:
To find out the application areas of credit
cards.
To find out the services/features
considered by individuals while choosing
the credit card.
To find out the relationship between the
usage pattern of credit cards among
males and females
OBSERVATION & ANALYSIS
Gender Composition
Male
73.9%
Female
26.1%
RESPONDENTS OF DIFFERENT CREDIT CARD COMPANIES
Family Annual Income
OCCUPATION OF RESPONDENTS
Professional
36.2%
Businessman
8.7%
Housewife
1.4%
Govt. service
4.3%
Private service Any other
20.3% 29.0%
Holding period of Credit Card
FEATURES OF CREDIT CARD
FEATURES
Acceptability
A/C with Bank 29
30 27
25
Interest rate
20 on EC, 16 Reward Point,
14
15 Interest rate
on CA, 9
10
Insurance, 3
5
0
Source Of Information
35
Sales
30
person, 35
25
20 Print Media, Friends, 16
17
15
T.V., 6
10 Banners, 5
Internet, 4
5
0
Purpose Of Using Credit Card
45
Departmenta
40 l Stores, 38
35 Hotels, 26
30 Travels, 26 Net
25 Shopping, 42
20
Petrol Pump,
15 40
10
5 Health, 1
0
Relationship Between Unplanned Buying And Gender
Analysis of Variance
Source Type III df Mean Squares F-ratio
SS
p-value
GENDE 2.22 1 2.22 1.63
R
0.206
Error 91.258 67 1.362
Interpretation:- Null hypothesis is that there is no significant relationship
between gender and unplanned buying pattern. As the p value is greater
than 0.05 significance level, so, we accept null hypothesis. Therefore, it
shows that there is no significant relationship between gender and
unplanned buying pattern.
Relationship Between Unplanned Buying And Gender
Analysis of Variance
Source Type III SS df Mean Squares F-ratio p-value
GENDER 9.978 1 9.978 6.514 0.013
Error 102.631 67 1.532
Interpretation:-
Null hypothesis is that there is no significant relationship between
gender and excessive buying. As p value is less than 0.05
significance level, so, we reject null hypothesis. Therefore, it shows
that there is significant relationship between gender and excessive
buying .
SATISFACTION LEVEL WITH
SATISFACTION LEVEL WITH VARIOUS BANKS
VARIOUS BANKS
Column1 HDFC ICICI SBI PNB CITI STANDARD HSBC
BANK CHARTERD
Arithmetic 0.928 0.725 1.087 0.275 0.826 0.145 0.348
Mean
Interpretation:
The arithmetic mean for STATE BANK OF INDIA is maximum (1.087), so it
means that customers are highly satisfied with this bank. After SBI comes HDFC
bank with arithmetic mean 0.928 and the customers are least satisfied with
STANDARD CHARTERD bank
Relationship Between Credit Card Limit And Income
Analysis of Variance
Source Type III df Mean F-ratio
SS Squares
p-value
FAMILY 4.47 3 1.49 1.389
INCOME
0.254
Error 69.733 65 1.073
Interpretation:- Null hypothesis is that there is no significant
relationship between annual family income and credit card limit. As
the p value is greater than .05 significance level, so, we accept null
hypothesis. Therefore, it shows that there is no significant
relationship between annual family income and credit card limit.
RELATIONSHIP BETWEEN UNPLANNED BUYING AND AGE
Analysis of Variance
Source Type III SS df Mean F-ratio
Squares
p-value
AGE 9.272 4 2.318 1.762
0.148
Error 84.206 64 1.316
Interpretation:- Null hypothesis is that there is no significant relationship
between unplanned buying and age of respondents. As the p value is
greater than 0.05 significance level, so, we accept null hypothesis.
Therefore, it shows that there is no significant relationship between
unplanned buying and age of respondents.
Relationship Between Unplanned Buying And
Income
Analysis of Variance
Source Type III df Mean F-ratio
SS Squares
p-value
FAMILY 18.015 3 6.005 5.172
INCOME
0.003
Interpretation:-
Null hypothesis is that there is no significant relationship between
unplanned buying and annual family income. As p value is less than
0.05 significance level, so, we reject null hypothesis. Therefore, it
shows that there is significant relationship between unplanned buying
and annual family income
RELATIONSHIP BETWEEN EXCESSIVE BUYING AND
ANNUAL INCOME
Analysis of Variance
Source Type III df Mean F-ratio
SS Square
p-value
s
INCOME 4.844 3 1.615 0.974 0.411
Error 107.765 65 1.658
Interpretation:- Null hypothesis is that there is no significant relationship
between excessive buying and annual family income. As the p value is
greater than 0.05 significance level, so, we accept null hypothesis. Therefore,
it shows that there is no significant relationship between excessive buying
and annual family income
RELATIONSHIP BETWEEN CREDIT CARD COMPANY AND
FREQUENCY OF USAGE
Analysis of Variance
Source Type III df Mean F-ratio
SS Squares
p-value
Q2 6.005 6 1.001 1.728 0.129
Error 35.908 62 0.579
Interpretation:- Null hypothesis is that there is no significant
relationship between Credit Card Company and frequency of credit
card usage. As the p value is greater than 0.05 significance level, so,
we accept null hypothesis. Therefore, it shows that there is no
significant relationship between Credit Card Company and frequency
of credit card usage.
RELATIONSHIP BETWEEN EXCESSIVE BUYING AND AGE
Analysis of Variance
Source Type III df Mean F-ratio
SS Squares
p-value
AGE 27.63 4 6.907 5.202
0.001
Error 84.979 64 1.328
Interpretation:-
Null hypothesis is that there is no significant relationship between age
and excessive buying. As p value is less than 0.05 significance level,
so, we reject null hypothesis. Therefore, it shows that there is
significant relationship between excessive buying and age of
respondents.
