Why Your Brand’s Payment Strategy Matters The Most Today

India’s consumption story is changing — not necessarily because people are earning more but because people are financing more.

Across cities, classes, and income groups, the aspiration to look successful has become more powerful than being financially secure.

Today, optics are survival.

Here’s the hard reality:

1.  79% of new car sales in India are financed — compared to ~60% globally.
2.  Credit card spending crossed ₹1.5 lakh crore/month in 2024 — up nearly 50% since pre-pandemic levels.
3.  BNPL (Buy Now, Pay Later) has over 100 million active users, a majority under the age of 35.
4.  1 in 3 smartphones in Tier 2 and Tier 3 cities is bought on EMI.
5.  62% of Indian weddings (an average ₹15– ₹25 lakh spend) are partially or fully debt-financed.
6.  Household debt-to-GDP ratio rose from 32% in 2019 to 40% in 2024, the fastest among large emerging markets.
7.  40% of Indians in the 25–35 age group now carry multiple active loans (personal, credit card, education, BNPL).
8.  Consumer durable loans (for electronics, appliances, and furniture) grew by nearly 80% between 2020 and 2024.
9.  Average EMI tenure for discretionary spending has increased from 6 months to 12–18 months across top lending apps.
10.  Average Indian urban consumer debt now equals 7–9 months of their annual income, up from 4–5 months five years ago.
11.  Personal loan ticket sizes have shrunk — from an average of ₹2.5 lakh in 2019 to under ₹1 lakh today — signalling micro-loans are now mainstream even for lifestyle purchases.

What’s happening?

Younger Indians aren't reckless — they are overexposed, under-rewarded, and constantly algorithmically reminded of what they don't have. They earn in a slow economy but scroll through a fast one.

So, they borrow not just to consume — but to participate.

When validation becomes the product and debt becomes the distribution channel, it changes the game for brands.

Not adapting to this new reality means losing relevance at the point of purchase.

Why Your Brand’s Payment Strategy Is Now Business Strategy

In today's India, payment is no longer the last step — it's the first sales tool.

Here’s how brands must rethink:

1. Make Pricing Instantly Digestible

Break down large numbers into easy monthly costs.
Highlight affordability in per day or per month terms — right at the first touchpoint.
Frame offers around access rather than ownership.
Example: Instead of ₹24,000 outright → "Own it for just ₹68/day."

2. Embed Financing Deep Into the Buying Journey

Offer instant EMI approvals and zero-cost EMI options at checkout.
Integrate BNPL or easy-credit partnerships inside your website, app, and stores.
Let consumers feel emotionally lighter while clicking "Buy."
Remember: If you don't offer frictionless financing, someone else will — and get the sale.

3. Focus on Emotional Trust Post-Purchase
Faster delivery, clear EMI terms, no hidden charges = happy, repeat customers.
Post-purchase validation matters as much as pre-purchase persuasion.
Loyalty will belong to brands that help consumers feel smart, not trapped.

4. Build Narratives of Smart Access, Not Dumb Luxury
Sell access to better lifestyles, not guilt for wanting them.
Show how choosing financing is an intelligent, progressive decision, not desperation.
Especially appeal to the aspirational Tier 2/3 youth who want quality but need emotional reassurance.

In India today, a smart payment strategy is the fastest way to close a sale, create loyalty, and build emotional equity.

You’re not just selling a product anymore —

You’re selling a financial experience that feels easy, smart, and validating.

In the new India, trust is not built by flashy ads — it’s built by how easy you make it for people to say yes.

Brands that understand this will dominate the next decade of Indian consumption.

Here’s a crisp list of the top 30 brands in India with their smart payment strategies and implementations:

1. Tata CLiQ Luxury

• Strategy: EMI & BNPL on electronics, fashion, and home goods.
• Implementation: Partnerships with Simpl, ZestMoney, and HDFC for easy, flexible payments.

2. Bajaj Finserv

• Strategy: Instant EMI on a wide range of products.
• Implementation: Offers Zero-interest EMIs via various partner platforms.

3. Amazon Pay India

• Strategy: EMI & BNPL on consumer electronics, books, and more.
• Implementation: Partnership with EMI providers like ICICI and ZestMoney.

4. Flipkart

• Strategy: EMI & BNPL, especially for electronics.
• Implementation: Integrated payment solutions with ICICI and Simpl.

5. Myntra

• Strategy: EMI & BNPL for fashion purchases.
• Implementation: Partners with Simpl, ZestMoney, and HDFC for flexible payments.

6. RBL Bank

• Strategy: Offers EMI and buy-now-pay-later (BNPL) options.
• Implementation: Integrated into both online and offline shopping experiences.

7. Paytm

• Strategy: Paytm Postpaid and EMI on all purchases.
• Implementation: Direct BNPL services, in collaboration with Paytm Payments Bank.

8. PhonePe

• Strategy: BNPL and EMI solutions.
• Implementation: PhonePe Postpaid lets users pay later for a range of purchases.

9. Croma

• Strategy: EMI for electronics.
• Implementation: Tie-ups with banks for easy EMI options for tech products.

10. Nykaa

• Strategy: EMI & BNPL for beauty products.
• Implementation: Offers Zero-interest EMI through ZestMoney and Simpl.

11. Urban Company

• Strategy: EMI on services like cleaning and home repairs.
• Implementation: Integrated with ZestMoney for easy, flexible payments.

12. bigbasket

• Strategy: EMI and BNPL on grocery orders.
• Implementation: Enables easy monthly payments for large grocery purchases.

13. Lenskart.com

• Strategy: EMI and BNPL for eyewear.
• Implementation: Facilitates eyewear purchases through ZestMoney and Simpl.

14. GoMechanic.in

• Strategy: EMI & Pay-later options for car services.
• Implementation: Makes automotive services accessible to a larger audience through financing.

15. apple India

• Strategy: EMI on premium products.
• Implementation: Ties up with banks for Apple Financing programs.

16. Goibibo

• Strategy: EMI on flight bookings, hotels, and holiday packages.
• Implementation: Provides EMI and BNPL options for users across travel services.

17. ZestMoney

• Strategy: BNPL and EMI solutions.
• Implementation: Offers AI-driven credit scoring for easier access to financing.

18. MUTHOOT FINANCE LTD

• Strategy: EMI for gold loans and jewelry.
• Implementation: Provides flexible financing on gold-related purchases.

19. ZARA INDIA 

• Strategy: EMI on high-value fashion items.
• Implementation: Zara allows instalment-based payments through digital financing partners.

20. Sbi Cards

• Strategy: EMI conversion for high-value purchases.
• Implementation: Provides EMI and Flexipay options for credit cardholders.

21. OYO ROOMS

• Strategy: EMI and BNPL for hotel stays.
• Implementation: Facilitates easy monthly payments for bookings made on the platform.

22. Sony India

• Strategy: EMI on electronics like TVs and sound systems.
• Implementation: Offers Zero-cost EMI options across leading banks.

23. Nike marketing india

• Strategy: EMI & BNPL on premium sportswear.
• Implementation: Integrates EMI and Zero-cost EMI options with HDFC and Simpl.

24. Samsung India

• Strategy: EMI on mobile phones, TVs, and electronics.
• Implementation: Offers EMI options via Samsung Financing and other partner banks.

25. Fynd (Shopsense Retail Technologies Ltd.)

• Strategy: EMI & BNPL on fashion items.
• Implementation: Makes premium fashion purchases more accessible with flexible payments.

26. HDFC Bank

• Strategy: EMI and BNPL for a wide range of services.
• Implementation: Allows EMI conversion for purchases across online retailers.

27. SUGAR Cosmetics

• Strategy: EMI & BNPL on cosmetic products.
• Implementation: Partners with ZestMoney to offer easy installment-based payments.

28. TANISHQ JEWLLERYS

• Strategy: EMI on jewelry purchases.
• Implementation: Provides flexible payment options for high-value jewelry via EMI and buy-now-pay-later solutions.

29. CARS24

• Strategy: EMI and BNPL on second-hand car purchases.
• Implementation: Makes used cars more accessible by offering flexible financing.

30. Bira 91

• Strategy: EMI for beer purchases.
• Implementation: Provides EMI and BNPL options through Paytm and other platforms.

These brands have leveraged smart payment strategies to enhance accessibility, attract a larger customer base, and cater to the increasing demand for affordable ownership in India.

This blog was originally published on: Ranjan Das - LinkedIn