Germany-based Payback, one of the largest loyalty programme companies in Europe, together with domestic private equity company Peepul Capital, has acquired 86 per cent stake in i-mint, India’s leading loyalty programme company. The deal is valued at $30 million. Payback alone will have a little over 50 per cent stake in i-mint.
“The strong platform created by i-mint, coupled with Payback’s proven track record in delivering significant consumer and retail partner value, is a winning combination,” said Sandeep Reddy, MD, Peepul Capital. He added Peepul, instrumental in bringing all partners together, will leverage its wide network in India to support i-mint’s growth.
i-mint already has a vast customer base, well-known brands and a strong partner portfolio comprising 1,500 companies including HPCL, Megamart, Gitanjali Group, Ferns n Petals, Bookmyshow.com ,D’damas, Tantra, etc.
“Partnering with Payback turns i-mint into an even more powerful customer retention and business intelligence tool,” said Vijay Bobba, i-mint’s founding CEO, who continues in his role and expects to sign up more leading national brands soon.
“India’s booming consumer market provides tremendous opportunities for i-mint’s enhanced multi-partner loyalty programme. In addition, the rapid rise of modern retail increases the value of customer retention significantly,” said Vishakha Mulye, MD and CEO of ICICI Venture – i-mint’s founding investor, which continues to hold a minority stake in the company.
“The most difficult part in multi-brand loyalty is getting the coalition together and i-mint has done a very good job in India. We don't understand the Indian market that well, so their (i-mint's) expertise will be of great help to us,” said Payback founder Alexander Rittweger.
Payback, which had Euro 20-bn sales in Europe last fiscal, caters to a number of retail clients internationally, including Amazon.com, Ebay.com, Metro Group and Carrefour.
Source: India Retailing