1. BAPUJI INSTITUTE OF ENGINEERING AND
TECNOLOGY
Subject : STRATEGIC MANAGEMENT(20MBA25)
Topic : Paytm Business Model
Submitted by,
SUSHANTH KUMAR H R
Under the guidance,
Prof. Muhammed Muntaqheem G
Bapuji B Schools
2.
3. Business model is usually composed of five
elements
Who it serves?
What it provides?
How it makes money?
How it differentiates and sustains
competitive advantage ?
How it provides its product/ service ?
4. INTRODUCTION
➢ Paytm is an Indian electronic and E-commerce brand based out of Delhi NCR,
India.
➢ It was founded in 2010 by Vijay Shekhar Sharma. Paytm is owned by One97
communications Ltd.
➢ Paytm is one single place for all your bill payment requirements Such as Mobile
Bill Payments Post-Paid / Pre-Paid Landline / Internet Bills DTH
6. Bill Payment
➢ In addition to the recharge facilities the customers can even pay their electricity, telephone,
water, mobiles, broadband, gas etc, bills on Paytm. Apart from these, Paytm has also partnered
with several education and financial organisations and act as a portal to accept education fees
and insurance instalments.
➢ Revenue, jus like recharge services, is generated by charging commissions from these providers.
7. Recharge services
➢ Paytm’s initial purpose was to serve as an online recharge service. Though, Business model of
Paytm includes several activities; The online recharge service remains one of the key activities.
Recharge is available for all the telecom service providers.
➢ The company, just like other recharge providers, charge commissions from these operators.
➢ Paytm charges a commission of 2-3% on each recharge. The services are efficient and
exemplary, which has helped Paytm to expand and grow exponentially .
8. Payment Solutions
Paytm offers smart payment
solutions for online businesses.
The payment solutions allow
them to accept online payments
through Paytm.
9. Paytm Bank
Paytm wallet is no more just a semi-closed wallet. The company has revamped itself as a
payments bank.
A payments bank is a digital bank which can accept deposits and give out interests on the
deposits but can’t offer loans to its customers.
10. Digital Gold
Paytm has partnered with gold refiner MMTC-PAMP to launch ‘Digital Gold’ that will
allow its users to buy, sell, and store gold digitally without any additional cost. Users
can also get the gold delivered to their house with just paying a minimal delivery
charge.
11. Paytm wallet
Paytm wallet is one of Paytm’s most effective services that form a link between the bank and the
retailers. This semi-closed wallet enables you to pay your bills, pay for your tickets or pay anybody
for that matter. Paytm wallet apart from its earnings, as authorized by the RBI, has the benefit of
receiving interest in a consumer store, just like any other Payment Gateways.
When you store a certain amount of money in your Paytm wallet, it will then save that money in
another bank from which it will earn interest at some point. It is the Paytm wallet’s main function.
12. Paytm Marketplace(Paytm Mall)
Paytm was the first company who took the step of being a mobile-only marketplace
in India. Today, with over 120 million buyers and 2 million daily transactions(and
90% prepaid offer), Paytm is the most beneficial marketplace for sellers.
Revenue from this subcategory is generated as fees and commissions from the
sellers, which differ for different category of products.
