Payback makes major acquisition in India
German coalition programme buys country’s biggest loyalty card provider
German coalition loyalty programme Payback has bought a majority stake in i-Mint, India’s largest loyalty card scheme.
Payback is the card business operation of Loyalty Partner, which provides loyalty management solutions through the Payback rewards programme.
Speaking at a press conference in Mumbai, Payback’s CEO Alexander Rittweger said the acquisition will help it provide “cutting-edge new services to Indian shoppers and retailers through Payback’s international expertise with i-Mint’s local know-how and pan-India market presence.”
He added that the partnership will enable Payback to tap into the loyalty solutions market in India.
Payback along with Indian private equity firm, Peepul Capital, owns an 86% stake in i-Mint which it bought from the Ventures unit of Indian bank ICICI.
Rittweiger said: “India is a very dynamic market with tremendous growth in banking, food retail and telecom. It is also a very price sensitive market. We want to tap the potential and build a world-class customer retention and direct marketing platform to support the retail revolution in the country.”
When asked about the company’s future plans and investment in India, Rittweiger said that Payback would be investing significantly in technology, back-end solutions and retail network. He declined to give any further details.
I-Mint has a customer base of 1,500 companies in India including ICICI Bank, HPCL, Air India and MakeMyTrip.Com. It says the merger will expand its base globally by bringing in more international and national brands.
The I-Mint rewards programme gives members points for fuel purchases, mobile phone use, travelling, shopping, eating out and watching movies. The points can be redeemed against an extensive reward catalogue with a variety of gifts or vouchers.
In December last year Payback announced it was expanding its management team ahead of an international expansion plan.