i-Mint - An Innovative Coalition Loyalty and Consumer Rewards Program in India


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Case Details:

Case Code : MKTG238
Case Length : 14 Pages
Period : 2006-2009
Pub Date : 2010
Teaching Note :Not Available
Organization : Loyalty Solutions and Research Limited, ICICI Venture
Industry : Retailing
Countries : India

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Please note:

This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Introduction Contd...

Before the i-mint program, only single retailer rewards program had been prevalent in India. i-mint for the first time conceptualized a multiple partnership rewards program.

Multiple partnership programs offered customers the dual benefit of purchases across multiple categories and earning rewards across program partners.

Commenting on the benefits of such programs, Bobba said, "A single-player loyalty program can never have a large base or offer as many rewards as one like i-mint which works by aggregating spends across various categories and the rewards under one umbrella."7

However, some marketing experts opined that there was only limited evidence regarding the benefits that the partner brands had received from the i-mint program either from joint promotions of multiple brands relative to individual promotions, or from effects of promotions across vendors (i.e. cross-selling effects).

Moreover, critics questioned whether the i-mint program had really helped the partnering companies in developing long-term customer relationships to increase corporate profitability. They also raised questions regarding the cost effectiveness of the program.

 Excerpts >>

7] "i-mint on Growth Trajectory; Poised to Double Membership, Turnover, and Network, Within a Year," www.indiaretailbiz.com, March 28, 2008.

  

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