Rewarding financial discipline: How CRED is turning payments into lifestyle perks

Akshay Aedula, who oversees Product and Growth at CRED, provided an in-depth look at how the platform differentiates its rewards programme, ensures data privacy, and overcomes engineering challenges to deliver a seamless member experience in an exclusive conversation with Tech Today.

Distinguishing CRED’s Rewards and Value Proposition

When asked how CRED sets itself apart from competitors targeting a similar affluent demographic, Akshay emphasised the unique value placed on financial responsibility. “At CRED, we reward and recognise financial prudence because it drives real progress,” he explained. With over 14 million monthly active users, the platform enhances credit scores, uncovers hidden charges, and helps members avoid late fees through consistent payment reminders and incentives. The reward system, spanning cashback to exclusive experiences, is engineered to encourage positive financial habits, creating a feedback loop that benefits users’ lifestyles and financial health.

The Reward Redemption Journey

Akshay detailed CRED’s straightforward yet engaging process for redeeming rewards. “On CRED, every transaction is a step towards better financial habits. Members earn coins that unlock rewards like cashback, vouchers, lifestyle products, and experiences, turning financial discipline into tangible benefits,” he noted. He shared that over half a million members redeem vouchers each month, and cashback can be applied to reduce next month’s credit card bills—directly translating into savings and incentivising responsible spending.

CRED’s offerings are expansive:

    •    Vouchers and Deals: “Since 2021, merchants have rewarded over 11 million members with 1.5 billion vouchers,” Akshay mentioned, highlighting the massive scale of CRED’s impact on consumer spending across groceries, dining, and more. Members spent 315 billion CRED coins in just three months on vouchers for popular brands such as Swiggy, Myntra, and Uber, underscoring the platform’s resonance with users’ daily needs.
    •    Lifestyle Experiences and Jackpots: CRED members with over 1 million coins can unlock perks that transcend typical rewards programs. Akshay shared, “These members enjoy exclusive access to lifestyle upgrades—100 room nights at Marriott hotels, Starbucks coffee, cocktail mixers, and premium electronics, all without any conditions.” Additionally, users have won coveted items such as Dyson appliances, luxury fashion from Dior and Balenciaga, and even MG Hector cars.

Prioritising Privacy and Data Security

In an era where data security is paramount, Akshay assured that CRED places immense importance on protecting member data. “Recently, we received in-principle approval from the Reserve Bank of India to operate as a payment aggregator (PA), which allows us to handle transactions efficiently while maintaining top-tier security,” he explained. CRED’s triple certification in global security standards includes ISO 27001, ISO 27701, and PCI DSS v4.0. These achievements, coupled with approval from the RBI, highlight CRED’s comprehensive approach to data governance and security.

Gamification: Making Financial Management Rewarding

CRED’s innovative use of gamification is designed to inject a sense of excitement and achievement into financial activities that are typically seen as mundane. “CRED rewards members for timely bill payments and responsible credit behaviour, gamifying a usually tedious task,” Akshay said. The platform’s approach is multifaceted:

    •    Reward-Based Engagement: Earning coins for timely actions motivates members to maintain good habits.
    •    Anticipation and Joy: The anticipation of unlocking rewards turns financial management into an enjoyable experience.
    •    Surprise and Delight: Occasionally, members receive unexpected perks, ensuring that engagement remains dynamic.
    •    Challenges and Goals: Members achieving milestones—such as accumulating a million coins—can access unique rewards, adding an element of challenge that promotes continued positive behaviour.

Tackling Technical Challenges with a ‘Born Adults’ Approach

CRED’s journey has not been without its technical hurdles. “One of the biggest challenges we faced was managing scale from the outset,” Akshay shared. The ‘born adults’ approach meant anticipating rapid growth and building robust systems capable of handling that expansion seamlessly. The engineering team also focused on resilience, ensuring service continuity through smart fallback systems and proactive data governance. This strategy allows CRED to process millions of credit card statements daily, predict user behaviour, personalise experiences, and prevent fraud, all while maintaining cost efficiency.

Despite operating with a relatively lean team, CRED remains committed to quality and user experience. “We prioritise pixel-perfect designs and fast, secure, and reliable payment products to ensure a premium experience for our members,” Akshay stated.

The Future of Rewards at CRED

Looking ahead, CRED aims to continue redefining the concept of rewards with initiatives like “Only Fridays,” which feature exclusive, high-end giveaways and experiences. “For instance, three lucky members recently had VIP access to top cocktail bars in Delhi, experiencing a curated bar-hopping adventure,” Akshay shared. Other notable rewards have included PS5 bundles and gourmet dining experiences. Additionally, CRED’s introduction of the Claw machine, a physical manifestation of its digital rewards system has further blended online engagement with real-world interaction, proving that CRED’s vision for rewards extends beyond the screen.

As rewards programs continue to evolve, CRED is positioning itself as a leader in delivering innovative, meaningful, and personalised financial incentives. “We will keep rewarding members for financially prudent decisions, with even more exciting rewards tied to their individual financial journeys,” Akshay affirmed.