Confirmed: Zomato to shut down “Piggybank”, its customer loyalty rewards programme
The app confirms that they are currently working on a massive upgrade to their loyalty programme, hence this decision to shut down Piggybank.
The company said that the programme will close down on August 12th. The customers can keep using their collected points for rewards until then.
Piggybank was launched last year and offered 10% cash-back to Zomato customers using Z coins that were collected in the in-app Piggybank.
Gurgaon based food delivery aggregator Zomato confirms that it is shutting down its customer loyalty rewards programme that has been running for almost a year. The app confirms that they are currently working on a massive upgrade to their loyalty programme, hence this decision to shut down Piggybank.
The company notified its users via email, thanking them for being an inseparable part of the “Piggybank” journey. They further confirmed that the programme will close down onAugust 12th. The customers can keep using their collected points for rewards until then. The users can avail 10% off at restaurants using the same. If not used until 12th August, the coins will expire and won’t be any further use.
Piggybank was launched last year and offered 10% cash-back to Zomato customers using Z coins that were collected in the in-app Piggybank. This feature was first available to 10,000 Zomato users on Android. These users were selected on the bases of their loyalty and the geographic availability of restaurant partners in their area. Apart from Piggybank, the food delivery app’s other loyalty program Include Gold and Treats, both of which were launched last year. Of these, Treats was shut down in the last year itself.
The food delivery company claims to have attracted a total of 1 million Piggybank users. Of these number, 30% of the customers came through referrals. The company further says that over 2 million orders were placed via Piggybank. Plans were set in motion to convert this service into a paid one starting at 299 per year. However, this doesn’t seem to have materialized.
Apart from this, Zomato has doubled down on “Zomato Gold”, its subscription-based programme. This service was launched in November 2017 and helped customers get free drinks and food at selected restaurants. The company expects this programme to bring in a revenue of $20-25 million by the end of 2019.
Zomato Gold along with Piggybank and other subscription services offered by the food delivery app had become a major source of revenue for it. Together these services raked in over 60% of the total revenue of Zomato.
Following the launch of Piggybank last year, Zomato rival Swiggy launched a similar service called “Swiggy SUPER”, last year. This service enables Swiggy customers to avail free delivery irrespective of the day, time and distance. Other benefits offered by the service include no surge fees and fast-paced problem resolution by the help of a dedicated customer service team. This subscription plan was offered in a one and three months plans. It is a paid service and charges ₹99 for a one month subscription.
Furthermore, Zomato raked in a revenue of ₹466 Crore in Fy18, witnessing a growth of 40%. The firm also brought down its losses by 73% at ₹106 crore in the same year. It netted a loss of ₹390 crore in Fy17 as per the documents filed to the Registrar of companies.
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