Myntra plans to launch a loyalty program; to tap repeat customers

Myntra, the online fashion marketplace owned by Flipkart, is planning to launch a new loyalty program as part of a broader strategy to get existing customers to shop more and to acquire new shoppers. Although the strategy seems to be a copy of Amazon Prime, the company leadership doesn’t feel so. Ananth Narayanan, CEO of Myntra, said that “We are actually thinking of innovating around a loyalty program, which you should see come out in a month and a half. It won’t be like Prime, but it makes sense to have a loyalty program. We’ve been working on it for two-three months”.

Although Flipkart also has its own loyalty approach in the form of Flipkart First, it isn’t prioritizing the service since the domestic market is not enticed by such program. However, Amazon Prime is a different story to tell. As per a latest study, ~30% of Amazon India’s overall orders are coming from Prime users only.

Myntra is also banking on its private labels to drive the sales and profitability in future. It currently boasts of private labels such as Roadster, HRX, Dressberry and Anouk which account for ~20% of overall sales as of now. With the aggressive push in private labels and higher profitability associated with it, the company has hold the flag high in an intense battle with other players.