With Vicky Kaushal as its face, here is how Visa aims to woo the affluent India

India's burgeoning affluent consumer market has become the battleground for global payment networks, as the country's premium spending segment prepares for unprecedented expansion.

With multiple players vying for market dominance, the stakes have never been higher in capturing what industry experts describe as one of the world's most promising consumer demographics.

The affluent consumer cohort in India, broadly defined as households earning upwards of Rs 8-10 lakh annually, currently comprises between 50-60 million consumers. However, this figure is projected to reach 100 million within the next three to four years, as per a Goldman Sachs report from last year, creating a market opportunity that has intensified competition amongst payment networks seeking to establish premium positioning.

What Visa makes of this

Visa, which according to industry estimates commands over 50% market share in India's payment card ecosystem, has positioned itself strategically to capture both established affluent consumers and the emerging aspirational segment.

The network's approach recognises the dual nature of India's wealth expansion, catering simultaneously to existing high-net-worth individuals and the rapidly growing middle-to-upper-middle class.

"We want to be a fuel to the growing aspirations of these consumers," explains Ramakrishnan Gopalan, head of product for Visa India and South Asia.

"The most dominant form factor in the Visa network is a card. As we sit in India and look at this 50 going to 100 million target market, we want to provide the most relevant affluent value proposition to these consumers."

The company's competitive strategy centres around a sophisticated two-tier approach: Visa Signature for emerging affluent consumers and Visa Infinite for super-affluent and high-net-worth individuals. This segmentation allows Visa to capture consumers across different stages of their wealth journey whilst differentiating from competitors through targeted value propositions.

Premium services and competitive differentiation

Competing with major players in the category such as Mastercard and RuPay, Visa has moved beyond traditional reward structures to embrace experiential benefits that resonate with India's aspirational consumer mindset. 

The network has strategically partnered across three discretionary spending categories: travel, dining, and hospitality.

"We've looked at the spend of our consumers. We know where they're spending the most and we're trying to give benefits which are curated to it," Gopalan notes.

"On Visa Infinite, we've added exclusive benefits across the three large discretionary categories: travel, dining, and hotels."

The travel-centric offerings exemplify this experiential approach. Visa Infinite cardholders receive preferential treatment at ITC Hotels, including second nights a 50% discount and complimentary third nights across ITC properties globally.

For international travellers, the network provides complimentary meet-and-assist services at major airports, addressing the pain points of increasingly sophisticated Indian consumers.

"We've tied up with players and we are providing a complimentary meet and assist if you're spending well on your cross-border card, which means the airport experience can be hassle-free for you and your family," Gopalan explains.

For the Signature tier, targeting emerging affluent consumers, Visa has partnered with MakeMyTrip to provide complimentary seat selections, a benefit that addresses the growing frustration with airline ancillary charges. 

The network also offers curated OTT consumption packages through Times Prime, recognising the digital entertainment consumption patterns of affluent Indians.

Celebrity endorsements and brand ambassador strategy

While the exclusive benefits help the brand stand out, Visa also employs a comprehensive advertising and marketing strategy to reach out to its target audience, especially with popular celebrities as its ambassadors. Visa's celebrity endorsement strategy is aimed at achieving pan-Indian appeal across diverse demographic and geographic segments. The brand has a long-standing partnership with Bollywood actor Vicky Kaushal, complementing its sports ambassador portfolio, which includes Olympic javelin champion Neeraj Chopra and badminton star PV Sindhu.

"We wanted to look at a face that could work across multiple segments and multiple locations," Gopalan explains.

"Whether you are in tier-one or tier-two, tier-three city, whether you are affluent or an emerging affluent, we felt Vicky kind of ticked most of the boxes, which is why we worked with him extensively on the rebranding of the Visa Infinite proposition in the market."

Media strategy and influencer marketing evolution

Visa's marketing approach has evolved significantly, shifting from traditional media dominance towards a balanced 50-50 split between conventional and digital channels. 

"In the past, we relied more on traditional channels, but now with the nuanced messaging that we need to do, we feel that digital lends itself more to some of these consumers," Gopalan notes.

"Digital platforms now provide the flexibility needed to educate consumers effectively. For example, travelers often require reminders about ensuring their payment cards function internationally, securing their cards, and using card control features, such as enabling or disabling cards for foreign transactions. These are critical security steps, but not all consumers are aware of them. To bridge this knowledge gap, we’re leveraging influencers and digital channels to communicate essential technical guidance in an accessible way."

Behavioural segmentation over geographic targeting

Visa's consumer targeting philosophy challenges traditional geographic assumptions about affluence distribution. Rather than focusing primarily on metropolitan markets, the network employs behavioural segmentation to identify and serve affluent consumers regardless of location.

"The way we look at our consumers is not necessarily based on where they're from, because we are a B2B2C company, we look at more behavioural segmentation," Gopalan explains.

"We have segmentation of who's a digital persona, who's a non-digital persona, and who's a cross-border travelling persona. All our programmes are actually based on behavioural segmentation as opposed to geographical or location-based classifications."

This approach recognises that aspirational levels remain consistent across India's urban landscape. "For somebody who's sitting in a city like Asansol in Bengal, to somebody who sits in Andheri in Mumbai, we don't see a lot of difference between them," Gopalan observes.

"They have a strong need to consume content digitally. And they feel the need to satisfy their hunger with Swiggy and Zomato orders. There's a lot of commonality."

The behavioural similarities between metropolitan and non-metropolitan affluent consumers represent one of the most significant insights from Visa's data analytics.

Consumption patterns across tier-two and tier-three cities demonstrate sophistication levels that mirror traditional affluent markets, challenging conventional wisdom about geographic wealth distribution.

Visa's recent whitepaper substantiates this trend, revealing that credit card spending in smaller cities has grown fourfold between 2019 and 2024, outpacing metropolitan growth rates. 

International travel: India's aspirational barometer

Cross-border spending patterns serve as perhaps the most telling indicator of India's evolving aspirations, with international travel emerging as a key differentiator between traditional and aspirational affluent segments.

Visa's transaction data reveals unprecedented growth in international spending, driven by multiple secular trends.

"I definitely think travel and the number of Indian consumers travelling abroad is going to be on a rise," Gopalan predicts. 

"More and more countries are becoming visa-free now. Philippines, Vietnam, Malaysia, Thailand, and Indonesia have all become visa-free. As more countries become visa-free, that's another big tailwind."

Beyond travel, e-commerce represents another significant growth driver for premium card usage, with the category encompassing traditional online shopping, ride-hailing services, food delivery, and business expense management.

The growth of digital payments in tier-two and tier-three cities particularly benefits card products due to inherent security features.

The trend towards out-of-home consumption has accelerated post-pandemic as well, with Indians increasingly seeking experiential spending opportunities. "More people are going and wanting experiences outside, which is why concerts, music events, and these kinds of activities represent a big trend that's playing out," says Gopalan.

As India's affluent consumer base prepares for its projected doubling, multiple macroeconomic factors support sustained growth in premium spending categories.

The combination of rising incomes, improved infrastructure, visa-free destinations, and digital adoption creates a compelling backdrop for payment networks competing in this space.