Paytm - NewNerve

Paytm Doubles Down on Payments and Distribution: A Return to Core Strengths

11Jun

By AnkitNo Comments

Payments, Fintech, Startups

Paytm Doubles Down on Payments and Distribution: A Return to Core Strengths

Paytm, the Indian fintech giant, is making a strategic shift, returning to its core strengths: payments and distribution. The company, which had ventured into various businesses like financial services, e-commerce, and grocery delivery, is now prioritizing its original offerings. This move comes after facing challenges in these newer ventures and a need to streamline operations. Back to Basics: A Strategic Shift Paytm's decision to refocus on its core competencies is a strategic move aimed at achieving greater efficiency and market share. This shift reflects the company's commitment to building a sustainable and profitable business. Here's a breakdown of Paytm's new strategy: Payments: Paytm's payments platform remains a key driver of revenue, encompassing mobile wallets, UPI pay...

Paytm’s Pivot: Job Cuts and a Focus on UPI to Navigate the Crisis

27May

By Ankit2 Comments

Fintech, Payments

Paytm’s Pivot: Job Cuts and a Focus on UPI to Navigate the Crisis

In the face of escalating losses, Paytm's parent company One97 Communications is taking decisive action to streamline its operations and chart a path towards recovery. In an effort to mitigate escalating losses, the company's parent, One97 Communications, is implementing significant cost-cutting measures. These include a potential reduction of 15-20% of its workforce, translating to a loss of 5,000-6,300 employees. This move aims to save approximately Rs 400-500 crore. The company's employee costs have risen considerably, with a 34% surge in FY23, reaching Rs 3,124 crore. This increase pushed the average cost per employee to Rs 10.6 lakh, up from Rs 7.87 lakh in the previous year. The cost-cutting initiative has already begun, with reports indicating that over 1,000 employees were...

Regulatory Shift Ahead: RBI Considers Licensing Framework for POS Players, Implications for Pine Labs, Paytm, and More, April’24

16Apr

By Ankit3 Comments

Fintech, Payments

Regulatory Shift Ahead: RBI Considers Licensing Framework for POS Players, Implications for Pine Labs, Paytm, and More, April’24

The Reserve Bank of India (RBI) is reportedly contemplating the implementation of a licensing framework for point-of-sale (POS) operators. This move is expected to have significant implications for major players in the industry, including Pine Labs, Paytm, MSwipe, and BharatPe. The objective behind this proposed measure is to ensure operational consistency and create a level playing field between online and offline payment operators. However, if licences become mandatory, it raises questions about the eligibility . Read more at: https://bfsi.economictimes.indiatimes.com/news/policy/rbi-may-bring-licensing-regime-for-pos-players-impact-pine-labs-paytm-among-others/109328779?utm_source=top_story&utm_medium=homepage Current Scenario While existing regulated entities such as ...

Paytm-Backed Pai Platforms Introduces PaiPai Shopping App on ONDC, 2024

5Apr

By Ankit1 Comment

Fintech, Payments

Paytm-Backed Pai Platforms Introduces PaiPai Shopping App on ONDC, 2024

Pai Platforms, a company backed by Paytm founder Vijay Shekhar Sharma, has recently launched a shopping app on the Open Network for Digital Commerce (ONDC). The app, named “PaiPai,” aims to provide a seamless shopping experience for users. Here are the key points about this development: ONDC Focus: The government-backed ONDC has become an important focus area for Paytm. The company sees it as the next big opportunity in the e-commerce space. Separation of Businesses from Paytm: Paytm has taken steps to clearly separate its fintech and e-commerce businesses. While Paytm does not own any shares in Pai Platforms, the ‘PaiPai’ app has been developed by the fintech major’s parent entity, One97 Communications. Merchant Sign-Ups: Vijay Shekhar Sharma stated,...

Paytm’s FY25E Revenue Likely to Decline by 24%: Challenges Ahead

27Mar

By Ankit1 Comment

Payments

Paytm’s FY25E Revenue Likely to Decline by 24%: Challenges Ahead

Introduction: In a rapidly evolving digital landscape, Paytm, one of India’s leading digital payment platforms, faces significant headwinds. A recent report by Motilal Oswal Financial Services sheds light on the company’s future prospects, highlighting potential revenue declines and competitive pressures. The Forecast: A 24% Revenue Drop Motilal Oswal estimates that Paytm’s FY25E revenue is expected to decline by a substantial 24%. This projection reflects the challenges the company is currently grappling with. Let’s delve into the key factors contributing to this anticipated decline: Business Transition: Paytm is undergoing a significant business transition. As it diversifies its offerings beyond payments, it faces the delicate task of retaining existing cus...

Paytm Stock Skyrockets 11% in 2 Sessions, Hits Upper Circuit at 389.20: Here’s Why

18Mar

By AnkitNo Comments

Fintech, Payments

Paytm Stock Skyrockets 11% in 2 Sessions, Hits Upper Circuit at 389.20: Here’s Why

Paytm, the parent company of One97 Communications, experienced a surge in its stock price, reaching the upper circuit for the second consecutive trading session. The stock price rose by 18.50 points or 4.99% to reach 389.20. This increase comes after Paytm received approval from the National Payments Corporation of India (NPCI) to join the Unified Payments Interface (UPI) as a third-party application provider under the multi-bank model. The move is viewed positively by Morgan Stanley, which maintained an Equal Weight stance and a target price of Rs 555. The approval marks an important milestone for Paytm as it ensures continuity in UPI transactions and AutoPay mandates for existing users and merchants. This development also signifies a potential shift in Paytm's business model towards clos...

Fintech Magic: Making Money Simple and Fast for Young Indians

1Feb

By Ankit4 Comments

Blog

Fintech Magic: Making Money Simple and Fast for Young Indians

Exploring the Charm of Fintech: A Tale for Our Young Desi Minds Ram Ram doston! Have you ever wondered about the enchanting world where paisa meets technology? Well, that's Fintech in literal terms! Today, let's embark on a journey to demystify the wonders of Fintech in simple words that even our youngest friends can understand. What is Fintech? Using the power of technology to make money matters simpler, fast, and more enjoyable! It's a fusion of "Finance" and "technology." Imagine your piggy bank having its own tez dimaag and superpowers – that's what Fintech is all about! How does it work? Think about how you receive your pocket money. Usually, it's a physical exchange – a few coins or notes handed over to you. Fintech changes this game by making money digital. It's like having...