Indians Buy 185 Kg Of National Gold Coin In First Year fileGold Coin over regular, unbranded coins....
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ithin a year since its launch, the Indian Gold Coin, the country’s first sovereign gold coin, has become a favoured channel for investment in the yellow metal among consumers, according to a detailed study commissioned by the Metals and Minerals Trading Corporation of India (MMTC) and the World Gold Council (WGC). e Indian Gold Coin is a key initiative of the gold monetisation programme launched by Prime Minister Narendra Modi on November 5, 2015. e report titled ‘India’s gold investment evolution, Indian Gold Coin: An introduction to branded gold coins’ highlights consumer preferences mapped against a wide range of parameters like awareness, relevance, uniqueness, size and accessibility. e report is based on a survey conducted by Nielsen India amongst 1,180 respondents from eight top-tier Indian cities – Mumbai, Delhi, Kolkata, Chennai, Bangalore, Hyderabad, Ahmedabad and Kochi. e report said there was marked enthusiasm for a branded coin as almost two-thirds of respondents said they were likely or extremely likely to purchase an Indian Gold Coin and only 2% said W they were not at all likely to purchase. Encouragingly too, 76% said the coin was relevant to them and 72% felt it was unique. Among respondents, 87% said that guaranteed purity was relevant or extremely relevant to them, with 85% stating that national manufacture and the Government of India backing were relevant or extremely relevant. e hallmarking and the standardisation of the coin scored highly too, with 84% of respondents citing them as relevant or highly relevant. Overall 56% said they would buy the coin on the first day of Diwali, Dhanteras, and throughout that festival, while 47% said they would buy it to commemorate an occasion. Festivals and giſts top the list for men and women, but 40% of men are likely to buy the Indian Gold Coin as an investment at any time of the year, compared to 32% of women. Some key findings of the research: • ere is a clear preference for an Indian Gold Coin over regular, unbranded coins. • More than 60% of respondents were likely to purchase the Indian Gold Coin and more than 70% believed it was unique and relevant. • e most appealing characteristics of the Indian Gold Coin are its guaranteed purity, its standard features, Government backing and the Make in India imprimatur. • Banks and branded jewellers are the preferred channels to purchase the coin. • Consumers are most likely to buy the coin during Diwali or as giſts for birthdays, marriages and other special occasions. • e two sections of the population for whom the Indian Gold Coin has most appeal are women and experienced gold investors. Indians Buy 185 Kg Of National Gold Coin In First Year 66 SOLITAIRE INTERNATIONAL NOVEMBER 2016 Festivals and gifts top the list for men and women, but 40% of men are likely to buy the Indian Gold Coin as an investment at any time of the year, compared to 32% of women.”
Transcript of Indians Buy 185 Kg Of National Gold Coin In First Year fileGold Coin over regular, unbranded coins....
ithin a year since its launch, the Indian Gold Coin, the country’s first sovereign gold
coin, has become a favoured channel for investment in the yellow metal among consumers, according to a detailed study commissioned by the Metals and Minerals Trading Corporation of India (MMTC) and the World Gold Council (WGC).
The Indian Gold Coin is a key initiative of the gold monetisation programme launched by Prime Minister Narendra Modi on November 5, 2015.
The report titled ‘India’s gold investment evolution, Indian Gold Coin: An introduction to branded gold coins’ highlights consumer preferences mapped against a wide range of parameters like awareness, relevance, uniqueness, size and accessibility. The report is based on a survey conducted by Nielsen India amongst 1,180 respondents from eight top-tier Indian cities – Mumbai, Delhi, Kolkata, Chennai, Bangalore, Hyderabad, Ahmedabad and Kochi.
The report said there was marked enthusiasm for a branded coin as almost two-thirds of respondents said they were likely or extremely likely to purchase an Indian Gold Coin and only 2% said
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they were not at all likely to purchase. Encouragingly too, 76% said the coin was relevant to them and 72% felt it was unique.
Among respondents, 87% said that guaranteed purity was relevant or extremely relevant to them, with 85% stating that national manufacture and the Government of India backing were relevant or extremely relevant. The hallmarking and the standardisation of the coin scored highly too, with 84% of respondents citing them as relevant or highly relevant. Overall 56% said they would buy the coin on the first day of Diwali, Dhanteras, and throughout that festival, while 47% said they would buy it to commemorate an occasion.
Festivals and gifts top the list for men and women, but 40% of men are likely to buy the Indian Gold Coin as an investment at any time of the year, compared to 32% of women.
Some key findings of the research:• There is a clear preference for an Indian
Gold Coin over regular, unbranded coins.• More than 60% of respondents were
likely to purchase the Indian Gold Coin and more than 70% believed it was unique and relevant.
• The most appealing characteristics of the Indian Gold Coin are its guaranteed purity, its standard features, Government backing and the Make in India imprimatur.
• Banks and branded jewellers are the preferred channels to purchase the coin.
• Consumers are most likely to buy the coin during Diwali or as gifts for birthdays, marriages and other special occasions.
• The two sections of the population for whom the Indian Gold Coin has most appeal are women and experienced gold investors.
Indians Buy 185 Kg Of National Gold Coin In First Year
66 solitaire INTERNATIONAL NOVEMBER 2016
Festivals and gifts top the list for men and women, but 40% of men are likely to buy the Indian Gold Coin as an investment at any time of the year, compared to 32% of women.”
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solitaire INTERNATIONAL NOvEmbER 2016 67
• It will address an unmet need and should curb the trust deficit around gold products in India.
According to the report, the Indian Gold Coin will unlock latent demand, increase transparency, assist in recycling and encourage the development of an organised market, across the value chain. In so doing, the Indian Gold Coin is expected to benefit stakeholders across the gold market. For the government, coins will catalyse the gold recycling industry thereby reducing imports, driving monetisation along with employment and moving value-added services from overseas to India, it added.
the Indian Gold Coin will emerge as the preferred form of investment in gold in India as well as for purchases during festivals and for gifting on special occasions. The Indian Gold Coin also fills a gap in the international basket of national gold coins.”
The Indian Gold Coin is currently available in denominations of 5g and 10g coins and a 20g bar. The coins have Ashoka Chakra engraved on one side and the face of Mahatma Gandhi on the other.
The coins of 24-karat purity and 999 fineness are minted by the Security Printing and Minting Corporation of India Limited (SPMCIL) and hallmarked by the Bureau of Indian Standards (BIS). The WGC is the marketing associate in this venture to create awareness about the coin. n
Ved Prakash, chairman and managing director, MMTC, said, “We have successfully sold Indian Gold Coins to the tune of 185 kg since its launch. The research echoes consumers’ preference for the Indian Gold Coin as it is backed by the government and is a quality product.”
Apart from 20 MMTC outlets, the Indian Gold Coin is currently available at four banks – Indian Overseas Bank, Federal Bank, Vijaya Bank and Yes Bank. “The total number of outlets is close to 200 and in the near future, our focus is to strengthen distribution by signing up more banks and India Post to ensure it’s available to consumers across the length and breadth of the nation,” Prakash noted.
Somasundaram P.R., managing director, India, WGC, said, “As distribution expands,
