HDFC Bank Launches Co-branded Credit Cards with Swiggy, Stock Still Drops 2%

Despite launching two new co-branded credit cards in partnership with food delivery platform Swiggy, HDFC Bank's stock price experienced a slight decline. On Monday, HDFC Bank shares fell by 837.70 rupees, a decrease of 2.26%, closing at 857.05 rupees. Over the past five trading days, the stock has cumulatively dropped by 5.64%, remaining in a correction phase.

The two cards launched are the 'Swiggy BLCK HDFC Bank Credit Card' and the 'Swiggy Orange HDFC Bank Credit Card,' designed to cater to different consumer segments. These products are a segmented upgrade to the Swiggy co-branded card first launched in July 2023, focusing on high-spending individuals and entry-level users, respectively.

The BLCK card targets users who prioritize quality of life, offering up to 10% cashback on the Swiggy platform, covering food delivery, Instamart grocery shopping, Dineout restaurant reservations, and other scenarios. The Orange card, as a basic version, offers a 5% cashback rate, also applicable to spending within the Swiggy ecosystem. In addition, both cards offer 5% cashback on online spending outside the Swiggy platform. Vidya Pradeep, Head of Credit Card Products and Portfolio at HDFC Bank, stated that this deepened collaboration with Swiggy reflects the bank's strategic direction in creating differentiated products in segmented consumer scenarios. Through the dual-card parallel model, the bank hopes to provide users with more flexible reward mechanisms and substantial value in high-frequency consumption and high-end spending areas.