This trend of “premium” products has now moved to credit cards, where issuing banks offer a fancy metal card to their select customers as a way to differentiate themselves. In fact, financial institutions began to offer metal credit cards or hybrid versions of them, realizing the impact of prestige products in a market that promises significant potential for expansion. Metal cards have gained notoriety with demand, sometimes outstripping existing stocks, according to Bloomberg. Many issuers have launched metal card programs beginning in the United States and now show strong growth potential internationally, including in Latin America.
Issued by a trusted brand, metal cards convey attributes generally associated with “premium” products, such as high quality, superior design and style. Today, metal credit cards are still in the early stages of adoption.
According to a survey, 63% of the world’s consumers were unaware of metal credit cards.
This lack of information represents an extraordinary opportunity for market development.
Card issuers can use metal cards as a visible part of their robust rewards and benefits package to differentiate their brand and capture market segments asking for a “premium” or prestige product. This is particularly true for companies looking to attract and retain millennials.