IndianOil launches loyalty card for cash customers
IndianOil has launched its new loyalty programme, called XtraRewards, which takes the form of an 'online loyalty card' that offers rewards to the company's cash customers.
The XtraRewards programme was set up specifically to reward customers who pay with cash, according to Mr G C Daga, director of marketing for IndianOil: "In many countries it is assumed that plastic money or credit and debit cards are the most popular means of purchase but, even today, about 90% of the people who drive to petrol pumps in India pay with cash."
Rewarding plastic as well However, while the XtraRewards programme allows cash customers to add value to their purchases by earning loyalty points, the programme does also reward those paying by credit or debit card.
Each transaction is confirmed online through a charge slip. The programme can track and communicate sales promotion offers at the point of purchase (through the charge slip, or through text messages sent to the cardholder's registered mobile phone number).
Points and partners While customers can earn points on fuel and lubricant purchases at participating IndianOil outlets, additional points-earning opportunities outside the IndianOil network are being added through various national and regional partnerships in the fmcg, food, automobile, travel, entertainment, apparel and hospitality sectors.
In Bangalore, the programme's partners already include Domino's Pizza, JK Tyres, Rediff Shopping, MTR Foods, and Gulf Car Care Products. The online part of the programme was specifically designed to reduce breakage (unredeemed points) by encouraging redemptions at every opportunity. The web site runs tailor-made sales promotions at both the macro and micro levels, with customers and merchant partners being given online access to the programme through a 24/7 IVRS helpline, SMS platform, web site and the programme's call centre, as well as through POS terminals at the retail outlets.
In the first phase of the programme's launch in Bangalore, XtraRewards is being launched at 60 of IndianOil's retail outlets.
Technology platform The loyalty card and programme is backed by Tata Indicom's CDMA (Code Division Multiple Access) based PDSN (Packet Data Switching Node) technology, which acts as the communications backbone. For transaction processing, HDFC Bank provided the point of sale (POS) terminals. Axalto developed the necessary host communication protocol as well as the application for the POS terminals. The back-end loyalty programme manager is One to One Marketing Solutions, while the middleware was developed by NCST (formerly known as CDAC).
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