Mutual fund houses are aggressively pushing gold ETFs to investors through online and offline promotional campaigns in the run-up to Akshaya Tritiya, which falls on April 24 and is considered an auspicious day to buy gold.

Most fund houses are focussing on the online platform to reach out to customers. “Online campaigns have seen a spike this year,” said Anjaneya Gautam, VP ? mutual fund group, Bajaj Capital. Added Jaideep Bhattarcharya, chief marketing officer, UTI AMC: ?We are using web banners and social media such as Facebook and Twitter to create awareness among investors about the advantages of purchasing gold ETFs.?

According to industry observers, fund houses are paying a higher commission to brokers, who act as intermediaries for buying and selling gold ETFs, which are traded on the exchanges. Some have joined hands with their distribution partners to promote gold ETFs, even going to the extent of sourcing contact details of investors from these distributors. Fund houses are getting in touch with customers through emails, SMS and even direct phone calls. ?We are trying to create visibility for the product mostly through below-the-line promotional activities,? said Lakshmi Iyer, head ? fixed income & products, Kotak Mutual Fund. UTI MF is using marketing collateral ? flyers, danglers, tent cards and brochures ? at its branches to market gold ETFs.

According to market participants, fund houses are eschewing mass advertising through television and print this year as they want to keep costs under control. ?The focus in on direct communication,? said Raghvendra Nath, managing director, Ladderup Wealth Management.

As an added incentive for investors, the National Stock Exchange (NSE) has decided to extend trading hours for gold ETFs till 8 pm on April 24 and waive off transaction charges for trading in the product on the day.

Brokers are also doing their bit. For instance, ICICIdirect.com is offering investors a discount of 50% on brokerage for investments into Gold ETFs on the day and a refund of brokerage on fortnightly and monthly SIPs in Gold ETF registered on the day.

The gross traded value in Gold ETFs on the NSE was R845 crore last Akshaya Tritiya compared with R345 crore on the same day in 2010. Market participants don?t expect volumes this festival to breach last year?s levels as gold prices are expected to be range-bound this year. Net inflows into gold ETFs for FY12 amounted to R3,646 crore, a 59% increase over the amount of R2,289 crore garnered in the previous fiscal, according to data from industry body Amfi. Assets under management (AUM) for the category in FY12 have more than doubled to R9,886 crore from R4,400 crore collected in the previous fiscal. Gold ETFs as a category gave returns of about 34% in FY12, according to data compiled by Value Research. Gold prices appreciated as much as 35% in the period, touching R28,040 on the last day of the year.