In an industry dominated by plastic, metal cards stand out. Their distinctive look, feel, and even sound have drawn in an emerging customer base that sees them as powerful symbols of status and stability. While often associated with affluent consumers, metal cards represent more than just a luxury novelty.
In a recent PaymentsJournal webinar, Amanda Gourbault, Chief Revenue Officer at CompoSecure, Vibhav Hathi, Co-Founder and Business Officer at FPL, and Brian Riley, Director of Credit and Co-Head of Payments at Javelin Strategy & Research, examined the trends shaping metal cards, their diverse use cases across global markets, and the pivotal role they are poised to play in the future payments landscape.
A Dose of Dopamine
To better understand metal card trends, CompoSecure surveyed over 21,000 consumers across 17 markets. One key finding was that metal cards often make a profound psychological impact on consumers.
“People using a metal card feel valued when they use it,” Gourbault said. “They feel noticed, they feel respected, and those are fundamental human needs. Every time you pay with a metal card, you get another little dose of dopamine which makes you want to keep doing it again. That is one of the reasons why we found that—across all geographies, all segments—87% of respondents would prefer to have a metal card over a plastic card.”
Another reason consumers are drawn to metal cards is that they engage the senses, creating a more memorable and emotionally charged experience. The sleekness, heft, and even sound of a metal card can’t be replicated by plastic cards or mobile payments.
As the world becomes increasingly virtual, a metal card represents security, solidity and durability—qualities consumers have come to value.
This preference for metal cards makes customers more likely to engage with and stay loyal to metal card issuers. In a rapidly shifting industry where e-commerce and digital banking dominate, this can be a powerful advantage.
“As you get away from the retail bank, the credit card becomes your institution’s calling card,” Riley said. “That’s the foundation for a relationship. Establishing that relationship with the metal card adds that cachet and brings it through the whole relationship. Once you get that hook in, people get used to using it and they don’t want to give it up.”
Oftentimes, once consumers start using a metal card, their loyalty deepens and they evolve into brand advocates.
“We have had customers who have taken their metal card and sliced a birthday cake with it,” Hathi said. “They are bringing the card into every aspect of their life. We have so many of our consumers who will unbox the metal card and put it on social media and drive organic traffic to us.”
Tailoring Messaging to Distinct Consumer Segments
Even though there is a strong attraction to metal cards across the board, CompoSecure identified three segments where 90% of respondents said they would choose a metal card over a plastic card: elites, innovators, and up and coming.
A commonality among these segments is that they all prioritize the payment experience over functionality. While there are additional similarities, organizations should tailor their marketing messages to each group.
“When we talk about the elites, it’s not just the ultra-high net worth, although it’s certainly people with a certain wealth and social status,” Gourbault said. “But it also tends to be those who are interested in the arts, interested in social causes, it’s that group. And they respond to messaging around exclusivity, around prestige, and around scarcity.”
Innovators tend to be Gen Z or millennial consumers. Although these younger adults are digital natives, they are increasingly drawn to unique experiences—such as paying with a metal card. To reach innovators, organizations should craft messaging around themes such as trendsetting or even accessorizing.
The third segment consists of up-and-coming consumers, often referred to as HENRYs: High Earners, Not Rich Yet. Their priorities are desirability and aspiration, so companies should adjust their marketing efforts accordingly.
“Each of these three segments has differentiations, but the way they perceive and how they accept the metal card form factor as a differentiator for themselves is unique to them,” Hathi said. “All three feel that the metal elevates the credit card from an aspirational product to something well beyond that—from a rational transaction product to an emotional connection product.”
A Metal Card Pioneer
Just as metal cards can have different meanings for various segments of the population, premium cards can also be perceived differently across markets.
In the U.S., where there are roughly 660 million cards, metal cards are a compelling niche product. In a market like India, where much of the population lacks access to credit, the prestige of a metal card is far more pronounced.
“When we started working with banks to do something different in the credit card market, India was the country where—post the entire UPI and digital revolution—digital payments were the core,” Hathi said. “Consumption became the focus for a young Indian and therefore consumer credit. You add the lure of digital, and it was whatever you do as an innovator should only be virtual. Now, here comes an organization called FPL, and we’ll do a physical metal card.”
Although the company’s flagship product is a metal card, FPL is still a digital-first financial services company. Its goal was simply to bring a tangible experience to a mobile-first card. After an initial foray into a metal card with a high annual fee—a la Chase or American Express—FPL shifted course and offered a free metal card.
This strategy paid dividends and underscored a key aspect of the digital experience: even though consumers need the convenience and efficiency of digital payments, they still crave real world experiences. FPL leveraged this demand to stand out from a large pack.
“There are 45 cards in the industry. If I’m the 46th card enabler, how do I differentiate myself?” Hathi said. “I can go and compete with the large banks through my bank partners and say here’s a 25% discount, but that doesn’t make sense. Getting a metal card was an innovation, and even our detractors tell us, ‘Do not touch the metal card proposition.’ Metal is now a brand association for us across the entire segment.”
The Warship Card
Along with the payments experience, many metal card users increasingly look for purpose and sustainability in these products.
“What is the story behind it?” Hathi said. “There was a motorbike and cycle manufacturer, and there was a very prominent and large warship which was being retired after its time was done in the navy. What they did is they took the metal out of that ship, and they created their bike using that metal, and that became a collectible. What is the story behind my metal card versus your metal card?”
In addition to a card’s backstory, the type of metal can also entice some consumers. For example, Robinhood recently released metal cards made from 10-karat gold as an exclusive for certain members.
Alternatively, many consumers seek cards that are linked to charitable causes or sustainability initiatives, or that are created from recycled materials.
“It plays to a card that we made for American Express with Delta, where we made a card out of a retired 747,” Gourbault said. “In terms of recycling, we stripped off the fuselage and made it into something that we could create into a collectible.”
A Material That Resonates
Whatever its origins, metal has long resonated with consumers. For centuries, it has been used to forge tools, craft works of art, and both adorn and protect the human body.
Beyond its practical and aesthetic uses, metals have also served as one of the most widely recognized forms of currency across cultures worldwide. For these reasons, metal cards naturally convey value and prestige to consumers—making them a compelling differentiator for card issuers.
“It’s very important in conveying the brand and I’m sure it produces brand loyalty, but it’s not just about the perks, it’s about how the card makes you feel,” Gourbault said. “The experience of these customers where they’re unboxing and they’re cutting their birthday cake, it’s all about how you make them feel. When you do that well, it produces a great return on investment.”
