The Two Plans Will Enable Paytm To Expand Its Gold Offering
Digital payments player Paytm has announced the launch of two new services – Gold Gifting and Gold Savings Plan as a part of its wealth management offering Paytm Gold. Through these services, customers can now send 24K 999.9 Purity Gold to each other instantly.
Nitin Misra, Senior Vice President Paytm said, “Paytm Gold has been successful is drawing consumers to save Gold digitally in a cost-effective manner. We are excited to launch two truly differentiated wealth management products for our customers – Gold Gifting, which would address the need for gold gifting and Gold Savings Plan – a trusted and affordable means to save pure Gold regularly for long-term wealth creation. This year, we would focus on introducing these offerings to more customers, bringing a certain discipline to their savings habits and helping them achieve their financial goals.”
The Gold Savings Plan would help customers to conveniently and regularly save in gold as per their budget and requirement by entering the duration, frequency and amount of gold they want to save. There is no requisite minimum amount for investment. They can easily keep track of all transactions done using their Gold Passbook with the added convenience of no lock-in period.
The customer’s gold will be stored in MMTC PAMP’s secure and 100% insured lockers for free and they can get delivery of this gold at any time. This would eliminate additional fees associated with offline gold purchase like making and locker charges.
The two wealth management plans come as the company endeavours to offer customers access to trusted and affordable gold savings for the long-term. It was last April when the digital payments player had collaborated with MMTC-PAMP to launch Digital Gold, enabling users to buy gold online and store it in MMTC-PAMP’s vault free of charge. Flipkart-owned digital payments platform PhonePe followed in its footsteps as well, forging a partnership with SafeGold to launch a digital gold product last December.
As per the company’s claims, more than 60% of Paytm Gold purchases are from tier 2 and 3 cities with millennial constituting the majority. The platform also claims to have witnessed repeat purchases of Paytm Gold worth up to $7.7 (INR 500) at regular intervals, pointing at an increasing trend of consumers choosing Paytm Gold.
In this respect, the new Gold Gifting and Gold Savings Plan will hopefully further Paytm to augment demand for digital gold, at the same time boosting its wealth management services. In January this year, Paytm also set up its financial products arm Paytm Money Ltd. Paytm Money is set to focus on building investment and wealth management products for its users.