Flipkart Introduce "Flipkart Plus" To Take On Amazon Prime

In August, Flipkart, India's largest e-commerce company, will once again attempt to implement a customer loyalty program to challenge the Amazon subscription service, which has become popular with customers. Flipkart Plus, which will be launched on August 15th, will be a free point-based program for regular Flipkart customers (customers will earn points or coins with every purchase).

In addition to the benefits on its own platform, the company will offer more discounts, free and faster product shipments and other rewards to Flipkart Plus subscribers on platforms such as Hotstar, Zomato, MakeMyTrip and Coffee Coffee Day. For example, if customers earn enough coins, they can unlock an annual subscription to Hotstar. Flipkart plans to add more Internet and mainstream brand partners to the program.

"Every time a customer makes a purchase on our platform, the customer earns a certain number of Plus points." When you buy more, you earn more Plus points, and with more points, you unlock rewards and benefits. key, "said Shoumyan Biswas, Advertising, Marketing and Plus Manager at Flipkart.

Mint announced in October that Flipkart planned to relaunch its loyalty program to take Amazon Prime.

Flipkart Plus is Flipkart's second effort in a loyalty service after its Flipkart First program stopped working because the company did not push it aggressively.

"It's different from the previous initiative (Flipkart First), as with every initiative we have some learning," Biswas said in an interview.


"If you see some of the design choices we've made, like keeping the currency in the center, it's not just to provide benefits that are on the platform, but also off the platform. Also, we decided to shave the dues, these are some changes we made, "he said.

The Flipkart program is an effort to improve customer loyalty and increase spending on its existing customer platform.

Plus will compete with Amazon Prime, the annual 9999 subscription program that offers free and fast product shipments, larger discounts, video content, and music.

Prime has become an important differentiator for Amazon in its battle against Flipkart, comprising 30% of all orders on Amazon in India. Prime has been particularly popular with the affluent in India, who continue to account for most of the spending on e-commerce platforms.

The Flipkart program will aim to reduce Amazon's growing dominance in urban areas. If Plus becomes popular, this will allow Flipkart, which agreed to sell a controlling stake in Walmart in May, to increase its lead over Amazon to the top of the $ 18 billion e-commerce market in India.

After an 18-month break-in period that began in 2015, when it gave ground to Amazon, a rejuvenated Flipkart under the leadership of Kalyan Krishnamurthy has consistently had higher sales than its main rival.

Walmart's entry as a controlling shareholder should give Flipkart long-term funds to compete with Amazon and allow it to focus all its energies on expanding sales.