How was Paytm able to earn even after giving huge cashbacks and discounts...case study on Paytm.

Today let's do something new and talk about Paytm about a e-commerce site ...how Paytm is increasing its customers how it's earning profits even after giving huge discounts...

About Paytm:

Paytm -- which stands for Pay Through Mobile -- is India’s largest mobile commerce platform. Paytm Wallet has always been the pivot on which Paytm built first its recharges and payments business, followed by its full-fledged marketplace, all within two years.

 Paytm Wallet enables people to use their phones to pay for their shopping or services not just at Paytm, but at thousands of destinations outside Paytm. It is slowly becoming a way of life.

With this new campaign, Paytm used external media, as well as the Paytm platform itself to reach millions of customers coming each day since it is a great medium for advertising. 

Because of the campaign, there has been a direct positive impact on the brand, including new customer acquisition through traditional media and online media. 

To achieve this, it had to overcome several hurdles, the biggest of which is that the adoption of the Wallet as a way of keeping money online and transacting using mobile phones is a challenge for many people in India.

 The brand also had to figure out how to increase the number of Paytm Wallets, since success depends on volumes.

Paytm’s target market is all of India’s internet users and smart phone users. The Paytm mobile app is available on all possible platforms including Android, IOS and Windows.

Business Objective of paytm:

Paytm has tried its level best to popularize itself through various social/digital media platforms like Facebook, Twitter, Instagram etc. It has used the tag ”#Paytmkaro”. The #PaytmKaro campaign is led by TVC with an objective to depict Paytm as the most convenient and easy pezy simple solution to everyday transactions.

 They made sure that more and more people get engaged in using their E-wallets. #PaytmKaro became the new hashtag that started trending on Twitter.

 Not only this, on Facebook they started to post videos of people who have had awesome experience of using Paytm. Day by day new commercials were realized. All of these commercials had very catchy lines and tunes..

Creative Marketing Strategy of paytm:

The number of mobile phone connections in India is increasing. The mobile phone is seen to be a very convenient means of cashless transactions. 

Also the trust factor that Paytm has established through its recharge and bill payments services had already been increasing its daily transaction volumes going into the campaign. 

More importantly, its repeat user base was expanding and so Paytm was sitting on an opportunity.

The creative across offline and online media was based on the variety of products Paytm offers its customers, such as recharge, wallet, payments and online shopping. 

This encouraged new customers to sign up for the Paytm Wallet, and for existing customers to use it again.

The offline channels of communication were television, out-of-home, newspapers and transit media. Having tasted success with its TV campaign during the World Cup, Paytm released its new TV commercial during the Indian Premier League Season 8 and major cricketing events.

 It was also launched across other media like digital, print and radio. Paytm was an associate sponsor of IPL and got 120 seconds of airtime during each of the 60 matches of the tournament.

This was planned with Paytm’s target market in mind, since the brand needed to reach a mass audience. The strategy was to establish the brand image through offline and push the promotions through online. 

Paytm’s online advertising strategy is simple – bring visibility to Paytm everywhere, and motivate people to try the offers the brand runs.

Paytm allocated a budget of Rs 500 crore solely for marketing in the year 2015. The money was used to finance marketing campaigns via online and mobile as well as offline channels. Out of the budget, 70 percent of orders on Paytm come from mobile.

 Though Paytm has websites for its services, shopping using Paytm is a mobile first experience for sure.

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The Paytm campaign’s mobile component included: mobile banner advertising, app-install pushes, app notifications, SEM advertising and more promotion on Paytm properties as well as third party sites.

Paytm Care works on the brief of resolving issues at lightning speed. The way it communicates is also in sync with the Paytm personality.

 Every email carries a name and aspires to bring a resolution as quickly and as well as possible.

Where other marketing channels miss out is in prompting app-installs. In keeping with its “storming the market” strategy, Paytm has also been exploring co-branding opportunities.

 Such strategic partnerships with Uber Cabs, Meru Cabs and many more brands brought the brand a significant amount of new customers in cities and continuous loyalty to the Paytm Wallet.

Results of paytm's marketing strategy:

The campaign resulted in the following:

• Paytm was fairly established before this campaign, but its reach has gone up substantially ever since it launched this all-out visibility campaign. This helped Paytm deduce that its visibility has significantly improved.

• One hundred million people started using Paytm Wallet for transactions worth Rs 800 cr every month.