In India, the concept of shareholder rewards is gaining traction as more companies look beyond dividends and stock price appreciation to attract and retain investors. Several well-known brands are now offering unique perks such as discount coupons, goodies, or even complimentary products to their shareholders. These incentives not only help in creating brand loyalty but also encourage small investors to stay invested in the long run. Let’s take a detailed look at the shareholder rewards being offered by some prominent companies in the country.
Discounts Across Sectors
Bata India: The footwear giant offers a 20% discount coupon on its entire footwear range. With the stock trading at ₹1,876.60, this comes as a practical benefit for retail shareholders who regularly shop for footwear. Over the last five years, Bata India has delivered a CAGR return of 20.28%.
Hawkins Cookers: A household name in kitchen appliances, Hawkins provides a 20% discount on its cookware range. The stock price is currently at ₹5,819.7 with a five-year CAGR of 16.13%.
Indian Hotels Company (IHCL): Owners of premium hospitality brands such as Taj and Vivanta, IHCL extends a 25% discount on its hotels to shareholders. With a stock price of ₹325.95 and a solid CAGR of 26.99%, investors not only enjoy portfolio growth but also luxury at a lower price.
Metro Brands: Known for its footwear brands like Metro, Mochi, and Crocs, the company gives a 15% discount to shareholders. Metro’s stock trades at ₹863.55 and has shown a stellar CAGR of 74.97% since its listing.
Retail, Apparel, and Lifestyle
Raymond: The textile and apparel major offers a 15% discount on its products. With shares priced at ₹1,126.75 and a modest CAGR of 5.51%, the rewards provide additional value to investors who prefer shopping for Raymond products.
Relaxo Footwears: A strong name in affordable footwear, Relaxo offers a 30% discount coupon on its products. Its stock price is ₹1,076.45, with a CAGR of 32.66%, making it an attractive option for both investors and customers.
Titan: The TATA-backed jewelry and lifestyle company gives a 10% discount on its wide range of jewellery items. Titan’s stock is currently trading at ₹2,665.15 with a strong CAGR of 33.93%.
Trident: The home textiles player rewards its shareholders with an additional 25% discount on its products. Its share price is just ₹37.7, while the five-year CAGR stands at 29.86%, making it a popular stock among retail investors.
Special Rewards and Unique Benefits
Reliance Industries: Apart from being one of India’s largest conglomerates, Reliance also provides a 15% discount coupon for services at the Reliance Foundation Hospital. Its stock trades at ₹2,509.25, with a CAGR of 24.43%.
Restaurant Brands Asia (Burger King India): The company offers a 50% discount on any two King’s Collection burgers at Burger King outlets. Its stock trades at ₹123.75, but the CAGR return since listing is -13.67%.
Ugar Sugar: A unique perk from this sugar company is sending 1 kg of sugar to shareholders along with its annual report. With a share price of just ₹68.25, and a CAGR of 23.04%, this adds a sweet touch to shareholder engagement.
Value of Rewards – Real-Life Examples
A 25% discount at Taj Hotels could save a shareholder as much as ₹2,500 on a ₹10,000 room booking. Interestingly, the discount availed is about 767% of the price of one share of IHCL.
At Burger King, the 50% discount on King Collection Burgers means a saving of ₹200 on a bill of ₹400. This benefit is worth 161% of the price of a single Restaurant Brands Asia share.
Buying a ₹2,000 bedsheet set from Trident with a 25% discount saves ₹500, which equals 13 times the value of a single Trident share.
The Bigger Picture
These shareholder rewards may seem like small gestures, but they add real value to investors, especially in sectors where customers frequently engage with the brand. While stock price appreciation and dividends remain the primary reasons for investing, these perks provide additional tangible benefits. Companies also benefit by turning shareholders into loyal customers, thereby creating a stronger brand ecosystem.
As Indian retail participation in the stock market continues to rise, such innovative shareholder benefits may become a more common practice, making investing not only profitable but also rewarding in everyday life.
