Two years after test-marketing its loyalty card with students, the Amity Group has made a full-fledged foray into discount loyalty cards. Encompassing sectors such as healthcare, hospitality chains and retailers, Synergy cards and discount coupons plan to spread across verticals like electronics and accessories among others.

“Loyalty programmes and discount coupons are witnessing a boom in India. Currently, most companies are focussing on a single category. We started with discount cards two years ago for students of our university. It was a value added programme then,” Mr Ajit Chauhan, Managing Director, Synergy Promotions and Marketing Services said.

Mr Chauhan claimed that the card has already garnered a membership base of over three lakh and offered discounts ranging from 15-90 per cent.

“Almost 3,000 outlets in 61 cities are using our programme,” he said. The company is eyeing a membership base of nine lakh by the end of this fiscal, he added.

Revenue

Mr Chauhan said a bulk of its revenue is expected to come from corporates. “Sectors like IT, telecom and banking have a reward system and primarily use it for their employees benefit schemes. We are in talks with them to promote the usage of cards,” he said, adding if an individual customer wants to buy the card, they can procure it online by paying Rs 750.

Synergy is targeting consumers between 18-40 in metros and Tier-II cities. “Our aim is to get more number of merchants into our portfolio.”

According to Internet & Mobile Association of India, the e-commerce industry is expected to grow by about 50 per cent to reach Rs 46,000 crore in 2011 and e-retail is estimated to contribute about 6 per cent or Rs 2,700 crore by the end of 2011 to the overall e-commerce market.

Published on July 19, 2011