{"id":4689,"date":"2019-09-04T18:43:50","date_gmt":"2019-09-04T18:43:50","guid":{"rendered":"https:\/\/www.paymentfacilitator.com\/?p=4689"},"modified":"2021-06-15T16:21:09","modified_gmt":"2021-06-15T16:21:09","slug":"pf-mobikwik-reports-a-profit-notching-a-win-for-its-strategy","status":"publish","type":"post","link":"http:\/\/infinicept.com\/payment-facilitator\/archive\/pf-mobikwik-reports-a-profit-notching-a-win-for-its-strategy\/","title":{"rendered":"PF MobiKwik Reports a Profit, Notching a Win for Its Strategy"},"content":{"rendered":"\n

As providers battle for dominance in the rapidly growing payments space in India, they continue to rely on different strategies to carve out their own footholds in the market.<\/strong><\/p>\n\n\n\n

This week, payment facilitator MobiKwik announced that it has turned a profit (excluding interest, taxes, depreciation and amortization) for the first time, a landmark that still awaits some of its competitors, <\/strong>according to TechCrunch<\/strong><\/a>.<\/strong><\/p>\n\n\n\n

To reach this point, the company said, it has pivoted away from pursuing a direct, head-to-head competition with the likes of fellow PF Paytm to attract users with promotions such as cashback deals to do so. <\/p>\n\n\n\n

\u201cWe have been in an ecosystem where we have seen a lot of high-growth and several regulatory changes in the payments domain. But what we realized was that payments alone is likely not going to be a very profitable business,\u201d Bipin Singh, co-founder and CEO of MobiKwik, told TechCrunch.<\/p>\n\n\n\n

Instead, MobiKwik said, it has turned to adding other financial services \u2013 such as insurance and lending \u2013 to its app to increase value for its users and bring in more revenue. The company\u2019s core business \u2013 mobile wallet and payments processing \u2013 pulls in about 75% of its revenue, with the added financial services accounting for the rest.<\/p>\n\n\n\n

Paytm, which reported<\/a> 350 million users earlier this year compared to MobiKwik\u2019s 110 million, is not profitable at this point, the article said. <\/p>\n\n\n\n

For its part, Paytm is pursuing an aggressive growth strategy that includes expanding into different markets. <\/p>\n\n\n\n

Last week, the company announced that it was planning to increase its\u00a0educational services offerings<\/a> to include insurance for tuition fees and a co-branded debit card for educational institutions, looking to double or triple its gross merchandise value from this space to $2-3 billion, according to Livemint.<\/p>\n\n\n\n

 And just a couple of days earlier, the same publication reported<\/a> that Paytm was looking to increase its user base within healthcare payments, enabling doctors to receive fees through Paytm.<\/p>\n\n\n\n

\u201cPaytm has to create more use cases for its customers and get more people on its platform. It\u2019s not just about doctors. It could soon create something for handy men such as carpenters. This seems to be the right way to go forward,” Harish H.V., managing partner for ECube, an environmental, social and governance fund, told Livemint.<\/p>\n","protected":false},"excerpt":{"rendered":"

This week, payment facilitator MobiKwik announced that it has turned a profit (excluding interest, taxes, depreciation and amortization) for the first time, a landmark that still awaits some of its competitors.<\/p>\n","protected":false},"author":7,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","_FSMCFIC_featured_image_caption":"","_FSMCFIC_featured_image_nocaption":"","_FSMCFIC_featured_image_hide":"","footnotes":""},"categories":[1015],"tags":[541,643,666,876,877],"class_list":["post-4689","post","type-post","status-publish","format-standard","hentry","category-archive","tag-mobikwik","tag-payment-facilitator","tag-paytm","tag-the-payment-facilitator-landscape","tag-the-payment-facilitator-model"],"acf":[],"_links":{"self":[{"href":"http:\/\/infinicept.com\/payment-facilitator\/wp-json\/wp\/v2\/posts\/4689","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/infinicept.com\/payment-facilitator\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/infinicept.com\/payment-facilitator\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/infinicept.com\/payment-facilitator\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"http:\/\/infinicept.com\/payment-facilitator\/wp-json\/wp\/v2\/comments?post=4689"}],"version-history":[{"count":1,"href":"http:\/\/infinicept.com\/payment-facilitator\/wp-json\/wp\/v2\/posts\/4689\/revisions"}],"predecessor-version":[{"id":6880,"href":"http:\/\/infinicept.com\/payment-facilitator\/wp-json\/wp\/v2\/posts\/4689\/revisions\/6880"}],"wp:attachment":[{"href":"http:\/\/infinicept.com\/payment-facilitator\/wp-json\/wp\/v2\/media?parent=4689"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/infinicept.com\/payment-facilitator\/wp-json\/wp\/v2\/categories?post=4689"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/infinicept.com\/payment-facilitator\/wp-json\/wp\/v2\/tags?post=4689"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}