Understanding how Indian cardholders use their credit cards can help you make smarter spending choices, find better rewards, and choose the right card for your needs. Kiwi—a key player in the UPI-linked credit card space—has shared new data on average spend and transaction size. This gives us a real look at how Indians swipe, tap, and pay with credit in 2024. In this article, we’ll break down Kiwi’s findings and explain what they mean for your wallet. We’ll also compare Kiwi trends with other cards, highlight key behaviors, and share tips to boost your card benefits.
Why Average Spend and Transaction Size Matter
When banks and card issuers study payment trends, two numbers matter most: average spend per cardholder (total spending divided by all active users) and average transaction size (the usual amount spent in a single swipe or tap). These figures tell us how people are using their cards—whether for daily bills, fuel, travel, or occasional big purchases. And for you, knowing these patterns can help you compare credit cards and match features to your lifestyle.
Kiwi’s Latest Data: How Indian Cardholders Really Spend
Kiwi’s platform, with its focus on UPI-powered RuPay credit cards, has revealed some key numbers for the past year:
- Average monthly spend per cardholder: ₹6,800
- Average transaction size: ₹1,350
- Average frequency: 5.1 transactions per active card per month
- Most common UPI-linked spends: Groceries, utility bills, dining, and local travel
- Peak spend periods: End of the month and major shopping festivals
These numbers are based on users with Kiwi-enabled credit cards, like the Kiwi RuPay Credit Card, who make UPI payments at both online and offline merchants.
How Kiwi Cardholders Differ From Traditional Credit Card Users
Compared to non-UPI credit card users—who typically see higher ticket sizes but fewer monthly transactions—Kiwi users swipe more often for essential, smaller-ticket purchases. This shift is fueled by two factors:
- UPI acceptance: Almost any merchant with a QR code can accept these cards, not just big brands.
- Cashback and reward incentives: Frequent, small purchases earn more flexible rewards and statement credits.
For example, Kiwi data shows a big jump in grocery store and local retail transactions—spends that might have happened in cash before. Traditional credit card stats from RBI reports typically show a higher average transaction size, closer to ₹3,000–₹4,000 in India, since they’re used more for electronics or high-value categories.
Where Indian Cardholders Spend Most: Top Merchants & Spending Categories
Let’s break down the most popular spending areas for Kiwi’s cardholders:
- Groceries and supermarkets: 32%
- Utilities (electricity, water, mobile recharge): 21%
- Dining and food delivery: 16%
- Travel (local transport, fuel): 13%
- Apparel, lifestyle, and other categories: 18%
UPI-enabled platforms are encouraging users to replace cash with small digital payments frequently. Monthly bills, bus and auto rides, and smaller online purchases are now done with cards, improving rewards earnings with each transaction.
Why Transaction Size Is Shrinking, Frequency Is Increasing
There’s a clear trend: Indian credit card users are spending in smaller, more regular amounts, especially as UPI-linked cards like Kiwi grow. Here’s why:
- Increased merchant reach: You can pay almost anywhere using UPI-linked credit cards.
- Convenience: Small purchases are more likely with QR code scanning than cash or debit cards.
- Better tracking: Every spend is easily tracked and categorized for budgeting.
For customers, that means it’s now possible to compare credit cards not just by annual fee or travel rewards, but by how well they fit with daily purchase habits.
How to Use This Data to Choose the Right Credit Card
If your average spend matches these numbers—or if you find your transaction size is consistently small—it makes sense to look for cards built around high-frequency use and low fees. Some features to seek:
- Good cashback on everyday categories: Cards like the SBI Cashback Credit Card or Kiwi RuPay Credit Card strike the right balance between reward rate and flexibility.
- Zero annual fee card options: For regular small spends, a no-fee or lifetime free card prevents rewards from being eaten up by yearly charges.
- UPI compatibility and instant approval: With cards like Kiwi, you can apply credit card online and start using the virtual card instantly for UPI payments.
Comparing Kiwi’s Average Spend With Other Popular Credit Cards
| Card | Avg. Monthly Spend (₹) | Avg. Transaction Size (₹) | Main Spending Category |
|---|---|---|---|
| Kiwi RuPay Credit Card | 6,800 | 1,350 | Groceries, utilities |
| HDFC Millennia Credit Card | 9,200 | 2,050 | Shopping, online spends |
| Amazon Pay ICICI Credit Card | 8,400 | 1,850 | Online shopping |
| Axis Bank Ace Credit Card | 7,600 | 1,950 | Online, utilities |
This comparison shows that UPI-linked Kiwi users transact more often but spend smaller amounts than those using traditional cashback or shopping-focused cards.
Tips For Maximizing Card Rewards Based on Your Spending Pattern
- Use UPI-linked credit cards for all eligible QR code payments to boost your transaction count and earn better cashback.
- Stick to cards with no or low annual fees if most of your spends are under ₹2,000 per transaction.
- Track your monthly spend to avoid overspending in small amounts, which can add up.
- Pick cards with instant credit card approval for quick, hassle-free usage.
Frequently Asked Questions
1. What is the typical average spend on a Kiwi RuPay Credit Card?
Based on Kiwi’s data, the average spend per cardholder is around ₹6,800 per month, with about 5 transactions monthly. This spend is spread across groceries, utilities, and daily essentials.
2. How does this compare to traditional credit card users in India?
Traditional credit card users typically have higher average spends per transaction (₹2,000–₹4,000), using cards mainly for big-ticket purchases or shopping. Kiwi’s UPI-credit card users spend more frequently but on smaller transactions, reflecting daily use cases.
3. Is it better to use a credit card or debit card for small transactions?
Credit cards—especially those offering cashback and rewards for small spends—can be more beneficial, provided you pay your bills on time and avoid interest charges. UPI-linked credit cards like Kiwi maximize rewards for everyday payments.
4. Can I apply for a Kiwi credit card online and use it instantly?
Yes, Kiwi offers a quick online application and instant virtual card activation so you can start making UPI payments immediately. Always verify all terms and eligibility before applying.
5. What other cards should I consider for high-frequency, small-sized spends?
Look at options like the IDFC FIRST Millennia Credit Card, Jupiter RuPay Card, or Amazon Pay ICICI Credit Card for lifetime free features and solid rewards on daily transactions.
Conclusion: How to Use Spending Data for Smarter Card Choices
Kiwi’s data reveals a clear pattern—Indians are getting more comfortable with small, frequent credit card purchases, thanks to UPI and QR code acceptance. By understanding where and how you spend, you can find your ideal card and avoid hidden fees. Check out our latest credit card reviews and guides on FinWitty.com, or use our tools to compare the best cards for your needs. Make your next credit card work for you—not the other way around.