Mobile wallet major Mobikwik has seen a 400% surge in transactions since the demonetisation of high-value currency by the Centre in November. According to co-founder Upasana Taku, the mobile wallet now has 4.5 crore users, which has grown from 3.5 crore users before demonetisation. Taku added that 43 lakh of these users are from Gujarat.
In Ahmedabad to launch the Mobikwik LITE mobile application in Gujarati, Taku said, “Gujarat is our third largest market after the Delhi region and Mumbai-Pune. We have certain features like ‘cash pick-up’, which we are launching in Gujarat’s cities like Surat, after cities like Delhi, Mumbai and Bengaluru, because of the massive demand from the state.”
Mobikwik LITE is 700 KB in size, which makes it easy to run on slower bandwidths as well. Responding to claims by other mobile wallets having 100 million users in India, Taku said, “That is not possible, because not more than 10% of India has been hit by mobile wallets. According to data for mobile wallet transactions released by the Reserve Bank of India (RBI), Mobikwik is number two. Of the 10% of India’s population hit by e-wallets, Mobikwik has a 45% share. Other companies have run a sticker campaign wherein an agency is posting stickers for the company on every shop out there. We are looking to expand aggressively now. We are setting up an office here, employing people for the office as well as for the sales force on the street. We are investing about R20 crore each month for acquiring new users, merchants and sales force for approaching the merchants.”
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The company has three tiers of businesses attached to it. With companies like Uber and the Indian Railways, Mobikwik sees 1 lakh transactions daily. Through its mid-size accounts of retail stores like Chroma and Groffers, Mobikwik sees about 300 users signing up daily, while the average ticket size is of R250.
The company sees 45% of its revenue from small-retail outlets, around 35% from its mid-sized accounts and only about 20% from large companies. Mobikwik expects the share from small businesses to grow to about 50% within the next eight months.