Gold has traditionally been an asset class for all seasons, with approximately 700 tonnesof the yellow metal being sold annually. The modern-day investor finds it a steady investment for a diversified portfolio - something relatively safer to invest in for the long term. However, a deeper look at Gold buying trends depicts another story - our reverence for Gold is rooted in age old tradition, in sentiments of love, joy and the hope for good fortune.
Gold is sold in multiple forms in India, such as jewellery, coins and bars, catering to different needs. With its ability to hold its value as well as generate returns over the longer term, the attractiveness of Gold as an asset for investment continues to increase in the country.
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Customers across the country though, continue face the challenge of getting the right product in a widely unstructured industry. These include:
a) Trust and reliability of the product they buy: Customers worry about the purity/quality of the product they are buying.
b) Access: Most major offline jewelers are only present in larger cities and customers in tier-2+ locations do not have easy access to them.
c) Convenience of buying/storing: Offline buying involves travel to a store, at only certain hours of the day. Storage of Gold also poses the risk of theft or involves high bank locker charges.
PhonePe has revolutionized the Gold buying process in India. With over 360 Mn registered users, one in four Indians are now on PhonePe. The app has also seen Gold purchases from over 99% pin codes in the country.
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Gold bought on PhonePe comes with:
● Assured purity and transparency: Partners on PhonePe offer customers Gold with the highest purity and quality, (24K purity, 9999 fineness)that is independently assay certified and backed by a purity certificate issued to the customer. This ensures that customers have trust in the product they have bought along with peace of mind. For each of the transactions, the partner also issues an invoice to the customer, and subsequently fulfills the transaction.
● Convenience and accessibility: The Gold on PhonePe is accessible at everyone’s fingertips. Gold can be bought 24x7, 365 days a year at real time market prices. Gold can be purchased digitally for as low as Re 1.
● Storage in insured bank grade lockers: Customers can opt to store their Gold in a secure insured locker and also get doorstep delivery of the product whenever they desire.
Options for customer to buy Gold digitally
Just like a customer's Gold buying journey on the app is simple, convenient and user-friendly. Here are some options on they can do with the Gold bought on the PhonePe app:
1. Opt for delivery of the product: Customers can choose to place an order for purchase and delivery of Gold with the partner by making a payment on PhonePe platform. The product gets delivered to the customer’s doorstep in 7-10 working days.
2. Accumulate in the locker: Customers can choose to place an order for accumulating Gold in the locker provided by the partners by making a payment on the PhonePe platform. They can do that over a single transaction or continue accumulating over multiple transactions. Post accumulation of Gold, a customer has the following options:
a. Opt for delivery: Whenever a customer chooses, they can request for delivery of their Gold by paying a small minting and delivery charge
b. Sell without delivery: The customer can choose to sell the accumulated Gold digitally, without needing to have it delivered. Gold will be sold back to the partner at live sell rates and proceeds from the sale will be credited back to the customer’s bank account within 48 hours.
There are multiple reasons why we buy Gold. Some of us buy Gold to build our savings with small purchases worth Rs. 100, 1,000 or more, while others invest in it for achieving their financial goals, yet many others buy it to mark a family celebration. Whatever the reason, Gold is perhaps one of our oldest traditions, and now it’s available on everyone’s fingertips!
