1. Effect Of Demonetization On
Marketing Strategies of e-
wallets
Group 3
Siddhartha G001
Kamlesh G009
Vikram G013
Anshul G020
Navnita G035
Anand G055
2. DEMONETIZATION
On 8 November 2016, the Government of India announced the demonitisation of all ₹500 (US$7.40)
and ₹1,000 (US$15) banknotes of the Mahatma Gandhi Series.
The government claimed that the action would curtail the shadow economy and crack down on the use
of illicit cash to fund illegal activity and terrorism.
The sudden nature of the announcement—and the prolonged cash shortages in the weeks that
followed—created significant disruption throughout the economy, threatening economic output.
People had to wait in long ques outside ATM’s and that caused a lot of problem.
3. • The recent demonetisation gave a huge fillip to the digi-wallet industry and their
players have been extremely aggressive
• From running full-page ads in newspaper to making their presence felt on TV and
digital, Paytm, FreeCharge and Mobikwik are concentrating on educating the
consumers, expanding their user base and promoting cashless transactions
• Paytm and mobile payments are now an obligation, and not just a choice, but the
best choice
5. Marketing Strategy Focus
Low bank transfers charges
Full marketplace to consumers
Getting into movie tickets as a category
Heavy CashBacks
Bargain and Shop
Tie Ups
7. • From recurring front-page ads in major national dailies to a blitzkrieg on
television and radio, the wallet players have loosened their purse strings to
ensure that cash-strapped consumers are hooked to electronic modes of
payment
• Common man as the new brand ambassador
• No Bank transfer charges for both consumers and merchants
• Reached out to all kinds of small and big merchants
• Mobile wallet player MobiKwik increased its marketing budget a whopping 10
times: from Rs 3 crore to Rs 30 crore for November and December
The Shift
8. New Communication strategy
Urged people not to panic:
These e-wallet majors took charge of the situation and
urged people not to panic and go cashless through their
witty posts on social media
9. New Communication strategy
Laud PM’s initiative& educate consumers:
• Full page advertisements in major publications
across the country
• Pledged support to the policy
• Educated consumers about the ease of cashless
transactions
Taglines used by various wallets:
• Ab ATM nahin, #Paytm Karo
• Khatam Karo ATM Shaytm. Switch to MobiKwik
wallet
• Cash is not feeling accepted anymore- freecharge
10. New Communication strategy
Tap non-internet user base:
• Also invested heavily to come up with new features
to reduce the hassles of the consumers during this
time
• MobiKwik immediately sensed an opportunity and
launched their new feature ‘MobiKwik Lite’ for
consumers who don’t have access to proper
internet connection
• Within few days, Paytm even got back with a toll-
free number to enable consumers and merchants to
pay and receive money and even recharge mobile
phone without internet.
11. RESULTS
Paytm:
• The mobile wallet is now four months ahead of its target and crossed $5
billion GMV sales
• Within 12 days, Paytm has witnessed over 7 million transactions worth Rs
120 crores a day
• From 3,000-4,000 sign-ups a day (before the announcement) to signing up
25,000 merchants a day, with the highest number of merchants in tier-II
towns, not so many in tier-I towns
• The average transaction value has increased by 200%
• The number of mobile app downloads went up by 300%.
12. Mobikwik :
• Since November 8, MobiKwik has added 1.5 lakh merchants, seen over
7,000% jump in peer to peer and bank transfers
• Noticed 100x increase in overall traffic
• Witnessed a 200% jump in app downloads.
• 18x surge in overall transactions
• 2000% spike in money added to the wallet
• Up to 5 times rise in transaction value of offline payments.
“We have seen unprecedented growth,” says Bipin Preet Singh, co-founder of
MobiKwik. “Earlier mobile wallet was an option, now it’s a necessity.”
RESULTS
