Instamojo Further Aims To Become The First Online Transactions Platform To Surpass 1 Mn Seller Base
Bengaluru-headquartered Instamojo, a micro products and digital payments platform for SMEs, has shared its annual performance report for FY 18.
In the latest blog post, Sampad Swain, CEO and Co-founder, Instamojo wrote, “The first half of FY18 was the toughest for team Instamojo. If not for an internal cost rationalization, while pushing the pedal for growth, we could very well have shut down.”
As the internal cost rationalisation helped the company keep the engines running, the company found funding support from AnyPay, a Japanese payments firm that wanted to explore the Indian MSME segment. With Pre Series-B funding from AnyPay, Beenext, Dream Incubator Japan and few others, Instamojo has raised $7 Mn in total. With this, the company is well capitalised for its core business for next 18-24 months, Swain shared.
However, despite the challenges of the year, Instamojo has recorded growth of 118%, 41%, and 52% in GMV, total seller addition, and net new active seller addition respectively vs FY17. A significant achievement here is the falling of customer acquisition cost by 11% on a blended basis. The company further utilised machine learning in many areas like assisted support and inside sales to focus on driving efficiency.
Here are some major numbers showcased by Instamojo in FY18:
Instamojo: Strategies And Goals Ahead For FY19
With an unprecedented growth in FY18, Instamojo is all set with its new strategies and goals for FY19. Instamojo will now transition from “just payments” to a “one-stop transactions platform” with the launch of VAS (value-added services) starting Q2FY19.
Furthermore, the company will also release at least four game-changing products in FY19, namely Smart Links (payments), Instant Payouts (credit & lending), Integrated logistics services (shipping & delivery) & 3rd party apps integration (taxes, emails, invoices etc.)
As shared by Sampad, the team has also put forward its goals for FY 19. This includes:
- The launch of a single integrated dashboard across mobile and desktop to start, manage and run your business
- Surpass a GMV run-rate of $ 923.7 Mn (INR 6000 Cr)
- Become the first online transactions platform to surpass 1 Mn seller base
- Add 100k new active sellers to become India’s largest online transactions platform.
Founded in 2012 by Akash Gehani, Harshad Sharma, and Sampad Swain, Instamojo allows users with a mobile device and a bank account to accept payments using credit and debit cards, e-wallets and via UPI. It helps merchants to create a digital footprint and manage their businesses online.
The Indian digital payments industry is projected to reach $500 Bn by 2020, contributing 15% to India’s GDP, as per a recent report by Google and Boston Consulting Group.
With players like PayPal, PayU India, Payswiff, CCAvenue and Oxigen in digital payments, the success Instamojo has recorded in FY18, the promises of future growth and products have to be kept an eye on.
