MobiKwik thrives on targeting Bharat, witnesses 2X jump in revenue growth in FY19

MobiKwik’s annual report for FY19 says it’s building financial services for Bharat. The angle here, as elaborated by Founder and CEO Bipin Preet Singh in a blog post, is to not count on the unbanked, but the underbanked users.

What is this underbanked user? These are the 750 million banks accounts out of the total 900 million that are enrolled in Public Sector Unit (PSU) banks where the account holders are mostly from lower middle class. Why? Because they have access to lesser quality tech assistance, wealth management and other financial services provided by PSUs.

And Mobikwik within the last very year has gone from being an e-wallet to a horizontal fintech platform with launch of services like UPI, credit card payment, loans and credit line, insurance, mutual funds, digital gold investment, and instant redemption of mutual funds.

All we had wondered at the launch of these services was how much dent it would create in the market, or in the company’s performance. Seems like we’ve got our surface answers in the least.

MobiScore – the company’s indigenous credit score based on AI algorithms, saw 64 million users consenting to sharing the data required to generate a score and loans were disbursed in a completely digital manner with sizes ranging between Rs 2,000 to R 2 lakhs.

May 2019 saw MobiKwik giving away 70,000 loans and claims are being made that 1 lakh applications are received every month. Almost Rs 1,500 crore worth loans have been distributed to about 1.2 million customers in FY20 but just 3.5 lakh loans in FY19 with a $24 million loan book so far.

Apparently, credit scoring and loan disbursement made for a customer more loyal than a regular one.

Insurance numbers, however, remain yet to be disclosed. The deadline of the aim announced at the time of flaunch last year – to complete 15 lakh loans by end of FY19 – now seems to have been extended to end of 2019. For Bharat, these policies – accident and/or term – are cheap with prices as low assas Rs s20 giving a cover of Rs 1 lakh.

Wealth Management is all about helping the Bharat achieve their financial goals and manage their funds in a better way than savings at a low of cost of Rs 100, for which the company had acquired ClearFunds and launched KwikSave.

But what about that B2B business Magic? No idea.

This Nobelesse Oblige agenda has somehow stabilized the overall revenue growth rate of the company to 2X year-on-year taking the Rs 86.5 crore figure in FY18 to Rs 186.4 crore mark in FY19.

At the same time, claims illustarte that the company’s Contribution margin – Revenue apart from banking cost and marketing services – has gone up. And “in the right way” by increasing revenue.

But there is still no light being thrown on expenses, that could go on to postulate the true nature of this growth achieved by MobiKwik.

All there is, is the hype around MobiKwik being the second most preferred application for merchant payments and wallet to bank fund transfers (Umm? Hello Paytm, PhonePe, Google Pay), the 4th largest bill payments platform and some numbers key figures.

The monthly active user (MAU) count has reportedly increased by 90% with 40 million users in a year, 11% of overall UPI handles in India being issued under MobiKwik, and $3 billion in total payment volume under payment gateway (by how many of those 40 million people?).

It looks like a great picture on surface, but there are still a lot of grey areas to be explored most important one being how much of this penetration has actually been into the target market – Bharat?

wallet

As E Wallet plays a mighty role in today’s business world, Roamsoft developed a digital wallet solution, RPay with mobile friendly features, well documented API s, plug-ins that suits all major Ecommerce platforms.

Source: https://entrackr.com/2019/05/mobikwik-fy19/

Xiaomi launches UPI-powered Mi Pay in beta

Unified Payment Interface

Unified Payment Interface (UPI) has turned out to be a battleground for global and local heavyweights. Besides Paytm, Google, PhonePe, TrueCaller and MobiKwik, likes of WhatsApp, Jio, Amazon among several others want a slice of fledgling digital payments market that set to grow to $1 trillion by 2023.

Xiaomi (Mi)

Xiaomi is no exception. Joining the league of aforementioned firms, smartphone brand Xiaomi is also tapping into consumer payment space in India with UPI. The company is getting closer to launch Mi Pay for masses as it received approval from NPCI.

Currently, Xiaomi is testing Mi Pay in beta (link) with ICICI and PayU. “NPCI has cleared Mi Pay for large group usage, due to which its beta testing is going live, and soon it will be available for all MIUI users,” mentioned a community post in Mi forum.

National Payments Corporation of India (NPCI)

Unlike WhatsApp (restricted to one million users), NPCI has given nod to Xiaomi for large group usage. Mi Pay will let users transfer fund, execute payments for several use cases including bill/recharge, water, and electricity bill using UPI framework.

It’s worth noting that Xiaomi is also planning to launch NBFC ‘Xiaomi Financial Services India’ and seeking RBI licence for it. The company also leveraged its investee KrazyBee to launch micro-lending platform – CreditBee.

UPI has been growing at a fast pace ever since its launch in November 2016. Last month, NPCI-owned digital payments railroad had crossed 500 million transactionmark.

At present, Paytm dominates the UPI ecosystem followed by PhonePe and Google Pay. In October, the SoftBank-backed firm had claimed 37 per cent of overall UPI transaction.

Meanwhile, Jio is also awaiting approval from NPCI for UPI service. Its entry along with WhatsApp will heat up competition in the segment.

With several behemoths have been competing in UPI ecosystem while some are awaiting regulator clearance, the road for Mi Pay won’t be smooth. Going forward, it would be interesting to watch how stalwarts fight for supremacy in the digital payments landscape.

wallet script - rpay

As E Wallet assumes a forceful job in the present business world, Roamsoft built up a digital wallet platform, RPay with mobile amicable highlights, very much archived API s, modules that suits all major Ecommerce platforms.

Source : https://entrackr.com/2018/12/xiaomi-upi-mi-pay/

How wallet companies like Paytm, MobiKwik, Oxigen Wallet are annoying to avoid false mobile transactions?

With headway in innovation, things around us have changed radically. Innovation takes into account man’s solace and accommodation. With the assistance of your smart phone, you can do everything. Be it requesting nourishment or basic supplies, booking a taxi or motion picture tickets, and so on.

With the presentation of Mobile Wallet, it has turned out to be to a great degree helpful for a man to make cashless exchanges. Also, despite the fact that various organizations have sprung up in India, offering purchasers this item called ‘mobile wallet’, there is as yet an absence of mindfulness among individuals about the idea and its utility.

What is a mobile wallet?

Mobile wallet is the digital equivalent to the physical wallet in which we carry money. It is an online platform which allows a user to keep money in it, just like a bank account.

Continue reading How wallet companies like Paytm, MobiKwik, Oxigen Wallet are annoying to avoid false mobile transactions?

Top 10 Digital wallets in India – Rpay

What is a Digital Wallet?

Digital Wallet is a like a financial balance where one can stack cash and utilize it to pay for different offline and online services. Dissimilar to Bank accounts, these wallets don’t offer any enthusiasm on the cash kept in the wallet however are more for simplicity of computerized exchanges and benefiting a few offers on utilizing their services. Paytm is a standout amongst the most mainstream digital wallets right now.

Benefits of digital wallet

  • Allows you to go cashless without the need to go through the process of acquiring credit cards.
  • Makes transactions trackable and easier to manage
  • Get offers, benefits and rewards for using digital wallets
  • Allows you to do multiple things like – Transfer to friends, Online Shopping, Pay at offline merchants or even pay your Bills
  • Is instant and free (for users)

Is Digital Wallet same as BHIM/UPI?

Digital Wallets are not same as the BHIM application or UPI service is essentially a payment interface enabling simple shared exchanges. Google Pay utilizes this innovation thus will Whatsapp. Some computerized wallets do support UPI cash exchanges however they give far greater usefulness to the clients.

Continue reading Top 10 Digital wallets in India – Rpay