How To Maximise Your Savings on Online Shopping with Credit Cards?

Over the last few years, shoppers have taken a significant shift towards online shopping. E-commerce giants like Flipkart, Amazon, Myntra, Yatra, MakeMyTrip, and more have joined hands with top banks in India to bring supreme co-branded cards with premium rewards and offers for all users. 

The credit card offers on online shopping websites are now the most common yet the most sought after feature. Such benefits have made card users more aware of how much they can save while spending via credit cards. If you’re new to co-branded online shopping credit cards or just getting more used to them, you need to understand how your credit cards can help you save more every time you shop online. 

Types of Credit Card Offers on Online Websites

There are four different types of Credit Card offers on online shopping websites.

• Cashback offers: The ones that give value back on the purchases made using a certain credit card. For example: Use Axis Buzz Credit Card on Flipkart and get 5% cashback.

• Instant discount offers: The ones that offer instant discounts on purchases. The discount is applied to your final cart value after you choose to pay using the specified credit card. For example: 
  • Get a 15% instant discount on flight bookings on Flipkart via Bank of Baroda Credit Cards
  • Get a 10% instant discount with ICICI Credit Cards on purchasing POCO M3 from Flipkart

• No Cost EMI: Some websites offer a no-cost EMI option with a particular credit card. Under a no-cost EMI offer, the users pay for a product or service in affordable monthly instalments with zero interest. This means that you are only paying for the total price of the product, with no extra charges, even when you opt to pay in EMIs. For example, Amazon offers no-cost EMI with HDFC Credit Cards.

• Product Specific discounts: These are the offers and discounts which apply to a specific product using a specific credit card. For example, Flipkart was offering a 10% instant discount on POCO M3 from Flipkart when purchased with ICICI credit cards. These offers are usually valid for a few days only. 

Credit Card Offers on Leading Websites

HDFC Bank Credit Card Offers

With HDFC Bank Credit Cards, you can avail discounts and deals across categories including shopping, dining, travel, entertainment, and so on.

• HDFC Millennia Credit Card: 5% cashback on Amazon, Flipkart, Flight & Hotel bookings on shopping via PayZapp and SmartBuy
• HDFC Platinum Times Card: 25% off on Movies on BookMyShow
• HDFC MoneyBack Credit Card: 2X Reward Points for every Rs. 150 on Online spends

To view more HDFC Credit Card Offers on varied online platforms, Click Here.

Axis Bank Credit Card Offers

Here are some Axis Bank Credit Card offers and benefits which can be availed on Flipkart, Amazon, and more leading websites.

• Flipkart Axis Bank Credit Card: Up to 5% cashback on Flipkart, Myntra and 2GUD and 4% on Flipkart’s partner merchants like MakeMyTrip, Uber, Goibibo and PVR
• Axis Bank Ace Credit Card: 4% cashback on Swiggy, Ola, and Zomato, and up to 5% cashback on bill payments, DTH, and mobile recharges via Google Pay
• Axis Bank Neo Credit Card: 10% discount on Myntra, Akbar Travels, BookMyShow movie tickets and mobile recharges

To view more Axis Bank Credit Card Offers, Click Here.

SBI Credit Card Offers

With SBI Credit Cards, you can get discounts on travel, dining, shopping, health and lifestyle spends and also convert big-ticket purchases into EMIs.

• SBI SimplyClick Credit Card: Up to Rs.5,000 instant discount on OnePlus products
• SBI SimplySave Credit Card: 5% cashback on all HP outlets
• Yatra SBI Card: Rs.1,000 off on domestic flights and Rs.4,000 off on international bookings

To view more SBI Credit Card Offers, Click Here.

ICICI Credit Card Offers

ICICI Bank Credit Card Offers are spread across various categories such as dining, shopping, travel and other popular categories. 

• Amazon Pay ICICI Bank Credit Card: 5% cashback for PRIME Customers when they shop at Amazon, 3% cashback for Non-PRIME Members for Amazon Spends, and 2% cashback on 100+ partner merchants of Amazon.
• ICICI Credit Cards: 10% instant discount on the purchase of products across fashion category on Flipkart.com

Top 10 Online Shopping Credit Cards 2021

Wondering which credit card would be best suited for your shop-and-save spree? Here are the best online shopping credit cards that can help you save on different categories:

To learn more about these online shopping credit cards, Click Here

Use Credit Cards and Enhance your Shopping Experience

When you make a purchase using your credit card, you get two-fold benefits: you get the ongoing discount and you get the rewards on your card. Now, let’s discuss how you can enhance your shopping experience:

• Use the Card at the Right Platform

Just like the ones mentioned above in the table, some co-branded credit cards offer dedicated rewards and discounts on specific shopping portals. For instance, Flipkart Axis Credit Card gives the best rewards on Flipkart, Myntra, and 2GUD. One should consider shopping from the respective online shopping website to maximize the rewards on the card. 

• Put Routine Purchases on Your Credit Card

The COVID lockdown brought many more people to online platforms. Even those who have never turned to the internet for groceries have been tempted to buy through online grocery portals such as Grofers (now Blinkit), Bigbasket, and Amazon Pantry. Although food-related costs are among the highest, other significant transactions have also shifted online, such as medications, home furnishings, clothing, at-home services, and other critical expenses. 

When it comes to routine purchases, credit cards not only make the transactions more convenient but also let you save money. It is best to use cards with a strong online rewards program or a flat cashback rate. As you put most of your day-to-day expenses on your credit card, you get used to cashless transactions and this eventually leads to a higher accumulation of credit card rewards. In the future, you can redeem these reward points and save more.

• Make good use of time-specific rewards and benefits

During different times of the year, credit cards often come with several advantageous offers in various categories. For a month or during a specific period, they may have a cashback on shopping or discounts on a couple of movie tickets, extra discount with a particular bank’s cards or cashback when buying through a particular card variant. For instance, Axis Buzz Credit Card offers a 10% instant discount on Flipkart from 1st to 5th of every month and a 5% instant discount on Flipkart from 6th to 31st of every month. Spending on these particular categories, at a particular time, will help you get more offers on credit cards and add loyalty points to your card as well.

• Enjoy sign-up benefits

Most credit cards offer exclusive joining benefits or sign-up benefits in the form of reward points, vouchers, coupons, etc. These sign-up offers, in a way, compensate for the joining fee charged against the credit card. The terms and conditions associated with such benefits may vary from one card to another. You should make the best use of these joining benefits. For example, Flipkart Axis Bank Credit Card comes with Rs. 2,900 worth of joining and activation benefits from Flipkart, MakeMyTrip, Goibibo, Gaana, and Myntra.

Points to be considered while getting a Credit Card for online shopping

There are some points that you should seek before applying for credit cards for online shopping. A card that satisfies all or most of these criteria can be a very good credit card for online shopping.

• Choose Cards with Comprehensive Benefits

As you may have noticed, some of these credit cards provide specific offers for specific online websites. Such rewards are too specific and make sense only for those who are loyal to the said platform. If you are not sure about your preference for a particular platform, avoid looking for credit cards that offer specific benefits; instead, try understanding the ways to make the most of your credit card advantages. Even if you do get a co-branded card, get one that offers all-around advantages that you can use for your various online expenses.

For instance, Amazon Pay ICICI Credit Card is a good option with comprehensive, multi-faceted benefits across categories. The card not only provides Amazon Prime users with 5% cash back for purchases on Amazon (3% for non-prime users) but also offers 1% flat cashback on all other expenses. You can also use Amazon Pay balance to make everyday payments for mobile recharges, DTH, utility bill payments, flight ticket bookings, insurance payments, and more. At several stores, it is also an accepted method of payment. All of this guarantees full use of the cashback that you’re earning.

• Make Good Use of Partner Store Discounts

The easiest type of reward a credit card can provide is a cashback and direct discount. Instead of earning rewards and redeeming them in the future, you make purchases with your credit card and get value back or get the same item at a reduced price. Also, if you buy a lot from a particular e-commerce site, you can certainly opt for a credit card that offers full rewards where you shop the most.

• Keep Offline Expenses in Mind

Most of the credit cards offer accelerated rewards on not just online purchases, but also on offline purchases. For instance, Axis Ace Credit Card gives 2% cashback on retail spends, which is quite a decent rewards rate. It should be understood that, while buying the right card to maximize your savings, both online and offline benefits should be taken into consideration. Look for a credit card that has a solid bonus point program.

• Consider Other rewards and benefits

On some sites, several credit card providers offer extra perks and bonuses. You get extra savings if you shop at these websites. For example, when you pay a certain amount per month, you get an extra discount on BookMyShow.

Other than the redeemable reward points, credit cards come with a lot of advantages, such as benefits on travel bookings, entertainment, fuel recharge waiver, etc. In the monthly statement, you can also track your shopping expenses, thus fitting any transaction into the budget category. 

Credit cards users who shop online to get extra rewards can be broadly categorised under two heads- the ones who are loyal customers of a specific website such as Flipkart or Amazon, and the ones who prefer shopping from the website that can fetch maximum savings. The former would choose a credit card that gives dedicated rewards and offers on the particular website of their choice such as Flipkart Axis Bank Card, AmazonPay ICICI Credit Card. The latter will choose a credit card that offers comprehensive offers across websites and categories such as HDFC Millennia and HSBC Cashback Credit Card. Next, it is imperative to analyse the categories covered by a credit card, the rewards rate, and other benefits. No matter which type of consumer you are, it is important to read all the specifications and study the features of a credit card carefully before applying. This will help you figure out the total discount or savings that you can achieve.