The travel credit card industry in India is experiencing significant growth and consumer preference for travel-focused credit cards is on the rise, according to a report by Visa and ZET. In response to this trend, India’s largest bank State Bank of India (SBI) has launched its first travel-focused credit card called ‘SBI Card MILES’ in three variants to cater to different types of travelers. The CEO of SBI Card, Abhijit Chakravorty, highlighted that Indian travelers are increasingly seeking curated benefits to enhance their travel experiences.
Various brands in India have also introduced travel credit cards in collaboration with banks and companies. Marriott launched India’s first co-branded hotel credit card with HDFC Bank, while SBI offers seven co-branded travel credit cards with partners such as IRCTC, Air India, and Yatra. Other companies like IndiGo, EaseMyTrip, and Mahindra Holidays have also entered the market with their own co-branded credit cards. The demand for travel credit cards in India has seen a significant year-on-year increase, showcasing the growing popularity of such offerings among consumers.
Mahindra Holidays and Resorts reported its highest-ever performance in the fiscal year 2023-24, with a 12% increase in total income. The company added nearly 400 keys to its inventory in locations such as Sikkim, Assam, Turkey, Thailand, and Georgia, and aims to double its inventory to 10,000 rooms by 2030 with an investment of up to INR 45 billion. IHG Hotels and Resorts also announced plans to double its operational hotel portfolio in India to 100 properties over the next five years, with a focus on high-growth secondary markets like Amritsar and Lucknow.
ITC Hotels made its international debut with the opening of ITC Ratnadipa in Colombo, Sri Lanka, marking the company’s first property outside India. With 352 keys, it is the biggest hotel in Sri Lanka and represents the largest investment by an Indian company in the country. ITC Hotels plans to expand further internationally, focusing on neighboring countries and the Middle East region, while also aiming to add 70 hotels in the domestic market over the next five years. The company’s chairman, Sanjiv Puri, highlighted the importance of diversifying the hotel portfolio to drive growth.
Policybazaar reported a 100% increase in Indian senior citizens traveling to Schengen countries, attributing the rise to the updated visa norms allowing for longer-term, multi-entry Schengen visas. Travelers are increasingly opting for travel insurance policies with add-ons such as pre-existing disease coverage, baggage loss, and trip cancellation. In response to this trend, Radisson Hotel Group signed Svelte Delhi as a member of its Radisson Individuals brand, adding to its portfolio of hotels in the Delhi national capital region. The company is expanding its presence in India, including debuting the luxury lifestyle brand Radisson Collection in the country. Executive Vice President of Radisson Hotel Group, Elie Younes, emphasized the company’s plans to open multiple hotels under the brand in the next five years.
