‘PHONEPE’ POISED TO COMPETE WITH ‘PAYTM’, ‘GOOGLE PAY’, ‘AMAZON PAY’ AND THE LIKES
‘PHONEPE’ POISED TO COMPETE WITH ‘PAYTM’, ‘GOOGLE PAY’, ‘AMAZON PAY’ AND THE LIKES
Posted on October 2, 2018 by entrefeed
Acquired by Flipkart in April 2016, PhonePe is poised and all set to compete with rivals like ‘Paytm’, ‘Google Pay’, ‘Amazon Pay’ et. al.
Licensed by the Reserve Bank of India for issuance and operation of a Semi Closed Prepaid Payment system, started in 2015.
With great push for digital payments and Fintech startups (Startup India), and the launch of open source UPI platform by GoI, the startup ecosystem has gained immense competition and also attracting big players to grab their pie in India and APAC.
With more than ₹15B funding, PhonePe striving hard to penetrate the market. IOCL has installed its POS machine, local vendors and shops installing its POS, several tie-ups etc.
PhonePe, backed by Flipkart (and Walmart), is going to make it big with planned expansion by Walmart in India [ https://tinyurl.com/yaq8hjtu ]. While Paytm (backed by Alibaba [Ali Pay is a huge success in China and expanding in Asia], Warren buffet), Amazon and Google are charting out plans in the board room for strategic steps.
Google tried to invest in PhonePe but was rejected, being a rival in the ecosystem. Google is now planning to go solo in the India E-commerce market. While Google and Amazon have the advantage of Technology and expertise, PhonePe has the deep pocket and supply chain expertise of Walmart & Flipkart.
On the other hand, Paytm is in talk to acquire majority stake in ‘BigBasket’.
PhonePe has hit $20 billion annualised gross transaction run rate. [ https://tinyurl.com/ybzg74sn ]
Data privacy, storage localization, compliance, security are some of the intriguing things to look beyond aggressive market penetration strategy for PhonePe and the rivals.
Hyper-local, Hyper-competitive!
– Sanjay Mehta
Disclaimer: Data collected from diff. news media feeds and websites. Author and Entrefeed cannot be held liable for information included in this post.