Now, complimentary airport lounge access for UPI users, courtesy Kiwi

Kiwi users can now enjoy one complimentary airport lounge access for every ₹50,000 spent via Credit Card on UPI on the Kiwi platform.

Kiwi,a credit-on-UPI platform, has become India's first UPI app platform to offer airport lounge access at 22 airports in India. Betting on the travel surge in the country, Kiwi has introduced complimentary access for UPI users at 45 airport lounges across India.

 

For this, it has partnered with Collinson International, a global leader in the provision of airport experiences, loyalty and customer engagement solutions, to provide its UPI users access to over 45 premium airport lounges in India.  As part of this programme, Kiwi users can now enjoy one complimentary airport lounge access for every Rs 50,000 spent via Credit Card on UPI on the Kiwi platform.

 

 

How it works? 

• The process is fully digital: users can book lounge access through the Kiwi app, generate a pass or QR code, and simply scan it at the lounge entrance to avail of the service. 
• Whether for business or leisure, this feature transforms routine travel into a luxurious experience, bridging the gap between everyday financial activity and aspirational privileges.
• To further enhance the offering, Kiwi plans to launch an additional feature allowing users to extend this benefit to a friend, family member, or companion. 
• This lounge access benefit is now live and can be availed at major airports across the country. Users can check their eligibility, track their spending, and book their access directly via the Kiwi app.

 

As travel returns at pace in India, Indians are placing a heightened focus on tailored travel experiences that add value to their lives. A recent Collinson International research revealed that close to half of survey respondents in India (44%) rate airport lounge access as one of the most appealing travel related rewards – surpassing security fast-track (9%) and airport transfers (7%). 

"At Kiwi, our goal has always been to redefine what a payments platform can offer. With this pioneering feature, we aim to integrate premium travel privileges into everyday life while encouraging aspirational and responsible spending. As the first UPI app to offer lounge access, Kiwi is setting a new benchmark in delivering convenience, innovation, and lifestyle value to our users," said Mohit Bedi, Co-founder and Chief Business Officer of Kiwi. 

Data from the Finance Ministry shows that transactions through RuPay credit cards on UPI doubled in the first seven months of FY25 compared to FY24.

 

By October 2024, over 750 million transactions worth Rs 63,825.8 crore were processed. 

 

In FY24, UPI RuPay credit card transactions amounted to 362.8 million, with a total value of Rs 33,439.24 crore.

 

Users of UPI-enabled credit cards are averaging 40 transactions per month, eight times higher than traditional credit card users, Kiwi had said in its report last month.

 

The number of transactions made with UPI-enabled credit cards is growing at a rate of 20 per cent monthly, accompanied by a 5 per cent rise in average monthly spending. In 2024, the average monthly spending per user was Rs 40,000, data from Kiwi revealed.

 

Despite the increased frequency of use, the average transaction size for UPI-enabled credit cards in 2024 stood at Rs 1,125—around four times lower than the Rs 4,000 average transaction value for traditional credit cards.

 

Kiwi went live with UPI-enabled credit card offerings in June 2023.

 

The company's data shows that 75 per cent of UPI-enabled credit card transactions occur at smaller stores, including grocery shops and local retailers.   

Here are some key takeaways  from the Kiwi 2024 report:

 

Market impact

Rupay credit cards' market share grew from 3% in 2023 to 12% in 2024, driven by UPI-enabled credit cards

 

 Growth in UPI-enabled credit card usage

 

•Average of 40 transactions per month, 8x higher than traditional credit cards

•Transaction count growing by 20% monthly; average monthly spending up by 5%, now at ₹40,000 per user

 

Transaction characteristics

 

•Average transaction size is ₹1,125, compared to ₹4,000 for traditional credit cards

•75% of transactions occur at small stores, grocery shops, and local retailers

 

Adoption across cities

 

•Metro cities: Bengaluru leads, followed by Hyderabad, Delhi, and Mumbai

•Non-metro cities: Pune ranks first, followed by Ahmedabad, Jaipur, Indore, and Chandigarh

 

 Demographics of card users

 

•45% of users are under 30 years old

•30% aged 31-40; 20% aged 41-50

 

  Accessibility and financial inclusion

 

•UPI’s 320 million merchant touchpoints surpass the 9 million POS terminals of traditional credit cards

•50% of new credit cards issued in 2024 were virtual, highlighting the shift towards digital credit solutions