Wednesday, October 4

Flipkart To Launch Its Loyalty Programme ‘Flipkart First’ To Take On Amazon Prime

India’s Ecommerce Unicorn Flipkart is planning to relaunch its loyalty programme to compete with Amazon Prime that has become a key differentiator for the American internet giant.

The online retailer is in talks with online travel portal MakeMyTrip and event and tickets booking platform BookMyShow and cab aggregator Ola to provide its consumers more value-added services through Flipkart First.

Earlier when Flipkart launched its loyalty programme- Flipkart First, but later didn’t worked much to make it work; and the service fizzled out.

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Flipkart, which has so far raised nearly $3 billion in two separate tranches this year, also plans to leverage its payments arm, PhonePe, for this new programme, as per the source Mint.

“What Flipkart wants to ensure is that they don’t miss out in an area where there is potential to grow a huge base of loyal customers—and now is a good time to cash in, given the recent funding and also a successful festive season battle against Amazon,” said a Flipkart person.

When Amazon launched its Amazon Prime loyalty programme in July 2016, Flipkart executives privately believed that a loyalty programme was unlikely to be a major win in India. Flipkart believed that people were disinclined to pay for delivery and convenience or content. The people cited above said Flipkart still won’t produce original content like Amazon but the company’s plans to launch a revamped loyalty service marks a strategic shift.

Flipkart’s cofounder Sachin Bansal has also joined hands with MMT, Ola to set-up a desi lobby group to encourage Indian startups and lobby on policy matters pertaining to Indian startups.


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