How did Paytm benefit from the Demonetisation, what is their marketing strategy?
- Do not directly copy any part of this PPT, remember to do your own research!
- Don Bosco Institute of Management & Research (DBIMR)
Micro-Choices, Max Impact Personalizing Your Journey, One Moment at a Time.pdf
Paytm: Marketing Mix | Pros & Cons
1.
2. Introduction
• Paytm is one of the largest and fastest growing Indian e-commerce shopping
websites launched in 2010 and is headquartered in Noida
• It was founded by Vijay Shekar Sharma
• Paytm means ‘Pay through Mobile’
• Initially it focused on mobile and DTH recharging
• In 2014, the company launched Paytm Wallet, India’s largest mobile payment
service platform with over 40 million wallets.
• It has over 122 million active users
• It handles around 7 million transactions worth about Rs 120 crore
4. Product Mix
• Paytm is a payment system via the electronic-commerce medium
• It started it’s operations as a B2B organisation but then realised the
importance of customer participation and hence opened up a B2C option
• Paytm offers various products & services like online shopping, e-wallet, etc
• Customers can access Paytm through their computer and as an app on their
smartphones for making and receiving payments, mobile recharging, paying
various bills and DTH, etc
• QR Codes scanning makes it easier for faster transactions to be made
5.
6. Price Mix
• PayTM is a free to use service and is a medium through which customers can
make payments for goods and services
• The PayTM Wallet is free to download and allows customers to make and
receive payments quickly and efficiently and the money in the PayTM Wallets
can be transferred to the customers bank accounts
• PayTM also gives discounts and offers on products to customers and
sometimes even gives them free services
• PayTM earns it’s revenue from commissions on transactions
• Paytm also offers Cashbacks
7. Place Mix
• Paytm like any other app or website, is accessible everywhere through a
smartphone or laptop that has an internet connectivity
• Paytm is widely accepted as a mode of payment across various industries,
sectors and geographies
• Several restaurants, groceries, supermarkets and hotels accept Paytm as a
payment method
• These show he extensive reach of the service, which is widely accepted by
vendors and customers alike
8. Promotion Mix
• Paytm was able to scale up its business
quickly after demonetization
• Ad campaigns have been showcased through
TV commercials, online ad banners, billboards,
print media like newspapers, magazines, etc
• The catchy phrase, ’Paytm karo’ has also
helped them to become a household name
• They also rely heavily on word-of-mouth
publicity
10. Promotion Mix
• It was preferred by many people as it was
convenient and quick for making and receiving
payments
• In October 2016 they started a railway and
flight booking service
• 93% of their rail bookings comes from the app
• More than 3 million passes were booked on Paytm in May 2017, many of which
had come from Tier 1 & Tier 2 cities
• Paytm is the title sponsor for every cricket series in India hosted by BCCI since the
year 2015
11. Promotion Mix
• Paytm Gold launched in April 2017, has
been successful in drawing in a customer
base to save Gold digitally in a cost effective
manner
• 60% of purchases were from Tier 1 & Tier 2
cities
• People can send 24k Gold as a gift by using
their Gold Passbook
Paytm Gold
15. • No proper grievance redressal system
• No stringent legal process to prevent online frauds
• Challenging for tech unfriendly people
• Majority consider cash as primary currency
• Lack of internet availability in certain parts of the country
17. • Tapping the untapped market
• Payment through wallets using NFC, tokenization, biometrics – Because
Mobile devices will be a mainstream option for person-to-person or person-to-
business payments
• Exponential growth in online shopping (online retail sales surpassed almost 40
billion USD in end 2016)
• Developing solutions that are not payment solutions, but are touch payments –
solutions for merchant, gift, loyalty, data analytics, etc
• Financial Inclusion
• Analytics solutions
• Remittances
19. • They are under the constant threat of being hacked
• Network and server issues can give rise to huge problems
• The E-wallet market is highly saturated with substitutes like Whatsapp Pay,
Mobikwik, PayUmoney, FreeCharge, etc