According to Vizury’s Mobile Commerce India-2015 report, a year ago, apps contributed to only 37% of the sale through mobile, while today, it has reached 80% for some of the major e-commerce players
With the app ecosystem evolving rapidly, it is estimated that 95% of people who download apps do not transact, while, roughly 80% of them remain static after a week or two. Hence, customer engagement and re-targeting ads have become crucial for the marketplace model. The idea is to re-engage or lure a potential customer who has strayed out of a site or app without completing a transaction.
In the late 2000s when the e-commerce industry was emerging in India, not many were focusing in this game changing space. Vizury, a Bengaluru-based startup by Chetan Kulkarni (CEO), Gourav Chindlur (COO) and Vikram Nayak (CTO), former employees of Texas-based software solutions firm ‘Trilogy’, came up with products-tailor-made consumer ads and target marketing concept based on analysing the consumer behaviour.
“We have moved too fast from a desktop web market to app based market in a span of 3-4 years. Out of 100 users who download the app, less than 5% come back within a week or two. So, our approach is to target such customers to re-engage and see how to get more transactions on the app,” Chindlur said. “The exponential drop in customer engagement on apps is true for even big players across geographies. But with Indian companies, the long-term vision on marketing and consumer re-engagement is still lacking.”
According to Vizury’s Mobile Commerce India-2015 report, a year ago, apps contributed to only 37% of the sale through mobile, while today, it has reached 80% for some of the major e-commerce players.
The company has raised $27 million in three rounds of funding from Intel Capital, Nokia Growth Partners, Inventus Capital Partners, Ojas Ventures and Ascent Capital. With more business deals in the pipeline, it plans to take its
employee count to 400 by end of this financial year, from the existing 280.
“We are hoping to close deals with HDFC and Payback in a month or two, and are hopeful of getting more business from the existing clients like Rakuten and Recruit Holdings. We will hire more people and also bring in lot of enhancement to our existing products,” Chindlur said. “We see huge potential in the app push notification space and we will drive more innovations to bring in better customer experience and engagement in the coming days,” he added.
Vizury has product offerings for offline businesses as well. They drive the customer engagement through e-mail promotions for such businesses. Vizury estimates that around 30% of online marketing spend is on mobile re-engagement, and with app ecosystem growing, it is only set to grow multi-fold.
The company which had Yahoo Small Business, the web hosting service, as its first client in India in 2009, has come a long way with major firms like Flipkart, Jabong, Ebay India, Urban Ladder, Sony, Walmart, Cleartrip and more are using its services.
The company now has operations in 40 countries. Etihad Airlines is its biggest client globally and a major part of its revenue comes from Japan followed by India.
Focused on data, marketing and technology, Vizury’s products are recognised as a leader in performance marketing and retargeting solutions in Argentina, Australia, Brazil, Japan, China, India, Korea, Middle-east & Africa, South-east Asia and Taiwan.