NEW DELHI: Digital payments giant Paytm has enabled conversion of digital gold into gold jewellery for its users from a host of its partner jewellery stores across India. The move is part of Paytm Mall’s online-to-offline strategy.
Paytm has collaborated with Kalyan Jewellers, Malabar Gold & Diamonds, PC Jeweller, Senco Gold & Diamonds and Caratlane, where consumers can buy jewellery by redeeming their accumulated gold. Additionally, it is offering up to 5 per cent goldback or cashback on offline transactions as part of its inaugural as well as Diwali offer. This facility is now live in more than 100 stores and the plan is to add another 250 stores in the next 20 days.
During the festive season, Paytm is aiming for 3x growth in the sale of Paytm Gold, while also expanding the industry size of digital gold in India. Within two years of launch, more than 30 million customers have transacted more than 4.2 tonnes of Paytm Gold, it claimed.
The platform leads the digital gold market with 70 per cent share. The company is also engaging with many other jewellery chains to offer this service in all major cities and towns. Paytm Gold offers free insured lockers, real-time market-linked prices, delivery across 25,000 PIN codes, Gold Savings Plan and Gold Gifting.
“We are overwhelmed with the growth we have witnessed in the last two years. Our partnership with leading jewellers is an important landmark as our customers can now conveniently redeem their gold savings at nearby jewellery stores,” said Narendra Yadav, vice-president at Paytm. Going forward, Yadav said, the company will continue expanding partnerships and offerings to make savings in Paytm Gold a habit.
The tier 2 and cities beyond have contributed to a staggering 70 per cent of the total sales and the company expects this trend to increase during the run-up to the upcoming festive season. “Millennials, working professionals and housewives are leading the surge in demand for Paytm Gold. As per our customers’ feedback, they prefer saving in Paytm Gold for their long-term wealth creation, which can be later used during celebrations and emergencies as well,” Yadav said.