Riding on Amazon Prime subscription, Amazon has been able to drive sales in India and with Flipkart Plus, Flipkart wants to increase its lead over Amazon in India’s $18 billion e-commerce market. Photo: Mint
The rivalry between e-commerce players, Flipkart and Amazon, has heated up with the desi e-tailer launching its own loyalty programme called Flipkart Plus to compete with Amazon Prime in the Indian market.
Global giant Amazon has a rich multimedia library of videos, movies, web originals and even music to lure customers towards its paid membership programme. Flipkart Plus offers none of these features. But Amazon Prime comes at an annual membership fee of Rs 999 while Flipkart Plus is free.
The model of Flipkart Plus is very different from that of Amazon Prime with both having its own set of benefits.
Is Flipkart Plus really free?
Flipkart Plus is a pure loyalty programme which is meant to reward customers who buy products from Flipkart regularly. Several other major retailers have similar programmes.
Flipkart says it is offering the annual Plus membership for free to all its customers. However, there is a catch. You need 50 coins in your Flipkart account to secure membership. These coins, which are like points, accrue in your account only when you buy something on Flipkart.
Also read: Flipkart outpaces Amazon in sales growth
It takes an order worth at least Rs 250, to earn 1 coin. You can earn a maximum of 10 coins from a single order. Even if your order is worth more than Rs 2,500 you still earn only 10 coins.
You can place 50 orders each worth Rs 250 to become a Flipkart Plus member or make 5 orders worth Rs 2,500 each or other permutations and combinations. In all such cases, your total purchase on Flipkart has to be worth Rs 12,500 at least.
Is Flipkart Plus worth it?
Flipkart Plus promises these 4 benefits:
1. Flipkart Plus members get free delivery of over 3 crore products.
2. Members get early access to sales.
3. Amazon Prime also offers the above two services for its members. Flipkart has a new one. Flipkart Plus coins can be redeemed for vouchers on third-party platforms like Hotstar, Zomato, Makemytrip and Café Coffee Day. The more you shop the more coins you earn.
4. A priority helpline for Amazon Prime members.
Riding on its Prime subscription, Amazon has been able to drive sales and with Plus, Flipkart wants to increase its lead over Amazon in India’s $18 billion e-commerce market.
Also read: Flipkart eyes up to $1.7 billion from Big Billion Day sales