- Records 23% share in the total value of financial transactions through PPI Wallet in May 2024
- As per RedSeer Strategy Consultants, the Company had a 48% share of PPI Wallet by value excluding FASTag in May 2024
Chennai – July 11, 2024: MobiKwik (ONE MOBIKWIK SYSTEMS LIMITED), one of India’s largest digital financial products and services platforms[1], has achieved a significant milestone by recording the largest number of PPI Wallet transactions by value for the months of April and May 2024.
According to data published by the Reserve Bank of India (RBI), MobiKwik has gained its market share in financial transactions through PPI Wallet for purchasing goods and services, as well as for fund transfers. The Company saw its market share by value[2] grow from 11% in March 2024 to 20% in April, and further to 23% in May.
MobiKwik’s new product, Pocket UPI has played a significant role in expanding its reach and bringing ease of payment to the users. Pocket UPI offers users a seamless way to make instant payments through their Wallets across the UPI network without linking their bank account, further helping users manage their finances effectively.
Additionally, the Company attributes this growth to the widespread adoption of its platform in Tier II and Tier III cities. Its user-friendly app and transaction security measures are designed to assist consumers and merchants alike.
Commenting on the milestone, Upasana Taku, Co-founder & CFO of MobiKwik, said, “The Company’s growth in PPI Wallet market share is a testament to our focus on bringing innovative, secure, and user-centric financial products to the market. We remain committed to our goal of financial inclusion through technology-driven solutions.”
Elaborating on the market share, she added, “MobiKwik is not in the business of FASTag issuance. MobiKwik commanded a 48% market share for PPI Wallet transactions by value in May 2024, after excluding FASTag-related transaction value.[3]”
As per RedSeer, a strategy consulting firm, “On the like-to-like comparison, MobiKwik has ~48% share of the PPI wallet GMV in May 2024. MobiKwik does not offer FASTag services. As a result, the GMV of NETC FASTag has been excluded from the total PPI wallets GMV when compared, as most banks’ PPI wallets are primarily used for FASTag transactions. In this analysis, it is assumed that all FASTag transactions recorded on NETC are processed solely through Wallets.”
As the Digital India landscape evolves, MobiKwik aims to sustain its market position and aid in the future of digital finance in India.
About MobiKwik
MobiKwik is a digital financial services platform that serves as a comprehensive provider of financial products and services. Its products range from payments to digital credit, investments, and insurance products enabling users to meet all their financial needs.
The company founded in 2008 by Bipin Preet Singh and Upasana Taku, started as a digital wallet and has since expanded into additional financial services such as MobiKwik ZIP – its Buy Now Pay Later (BNPL) credit, ZIP EMI that provides personal loans, merchant cash advances, wealth management, and insurance distribution.
MobiKwik has grown to serve over 146.94 million registered users across India, with a merchant network of 3.81 million as of September 30, 2023. The company holds a high market share on digital loan disbursement in tier 3+ cities. The Company remains committed to financial inclusion and the evolving needs of diverse consumer segments.
Disclaimer
ONE MOBIKWIK SYSTEMS LIMITED is proposing, subject to receipt of requisite approvals, market conditions and other considerations, to make an initial public offer (“Issue”) of its equity shares (“Equity Shares”) and has filed a draft red herring prospectus dated January 4, 2024 (“DRHP”) on January 4, 2024 with the Securities and Exchange Board of India (“SEBI”). The DRHP is available on the website of the SEBI at www.sebi.gov.in as well as on the websites of the book running lead managers, SBI Capital Markets Limited at https://www.sbicaps.com/whatsnew/one-mobikwik-systems-limited and DAM Capital Advisors Limited at https://www.damcapital.in/static/offer-documents-or-prospectus.aspx.
For complete information in relation to risks in relation to the business of the Company, please see “Risk Factors” beginning on page 33 of the DRHP. Potential investors should not rely on the DRHP for any investment decision. Investors should note that investment in equity shares involves a high degree of risk and for details relating to such risk, please see the section titled “Risk Factors” of the red herring prospectus, when available.
The Equity Shares offered in the Issue have not been and will not be registered under the U.S. Securities Act, and shall not be offered or sold within the United States. Accordingly, the Equity Shares are being offered and sold outside the United States in ‘offshore transactions’ in reliance on Regulation S under the U.S. Securities Act and applicable laws of the jurisdictions where such offers and sales occur.
The Equity Shares have not been and will not be registered, listed, or otherwise qualified in any other jurisdiction outside India and may not be offered or sold, and Bids may not be made by persons in any such jurisdiction, except in compliance with the applicable laws of such jurisdiction.
RedSeer Disclaimer
This press note contains information from the industry report titled ‘Deep dive into India Fintech Market” dated January 2, 2024 (“Report”) prepared and issued by Redseer Strategy Consultants Private Limited (“Redseer”), has required us to include the following disclaimer in connection with the Report:
“The market information in the RedSeer Report is arrived at by employing an integrated research methodology which includes secondary and primary research. RedSeer’s primary research work includes surveys and in-depth interviews of consumers, customers and other relevant ecosystem participants, and consultations with market participants and experts. In addition to the primary research, quantitative market information is also derived based on data from trusted portals and industry publications. Therefore, the information is subject to limitations of, among others, secondary statistics and primary research, and accordingly the findings do not purport to be exhaustive. RedSeer’s estimates and assumptions are based on varying levels of quantitative and qualitative analyses from various sources, including industry journals, company reports and information in the public domain. RedSeer’s research has been conducted with a broad perspective on the industry and will not necessarily reflect the performance of individual companies in the industry. RedSeer shall not be liable for any loss suffered by any person on account of reliance on the information contained in this Report. While RedSeer has taken due care and caution in preparing the RedSeer Report based on information obtained from sources generally believed to be reliable, its accuracy, completeness and underlying assumptions are subject to limitations like interpretations of market scenarios across sources, data availability amongst others. Therefore, RedSeer does not guarantee the accuracy or completeness of the underlying data or the RedSeer Report. Forecasts, estimates and other forward-looking statements contained in the RedSeer Report are inherently uncertain and could fluctuate due to changes in factors underlying their assumptions, or events or combinations of events that cannot be reasonably foreseen. Additionally, the COVID-19 coronavirus pandemic has significantly affected economic activity in general and the food services sector in particular, and it is yet to be fully abated. The forecasts, estimates and other forward-looking statements in the RedSeer Report depend on factors like the recovery of the economy, evolution of consumer sentiments, the competitive environment, amongst others, leading to significant uncertainty, all of which cannot be reasonably and accurately accounted for. Actual results and future events could differ materially from such forecasts, estimates, or such statements. The RedSeer Report is not a recommendation to invest/disinvest in any entity covered in the RedSeer Report and the RedSeer Report should not be construed as investment advice within the meaning of any law or regulation. Without limiting the generality of the foregoing, nothing in the RedSeer Report should be construed as RedSeer providing or intending to provide any services in jurisdictions where it does not have the necessary permission and/or registration to carry out its business activities in this regard. No part of the RedSeer Report shall be reproduced or extracted or published in any form without RedSeer’s prior written approval.”
[1] By registered users in Fiscal 2023, as per RedSeer
[2] Data is derived from RBI – Entity wise PPI Statistics by considering the sum of value of purchase of goods and services and fund transfer of MobiKwik against the total value of purchase of goods and services and fund transfer of all entities.
[3] Data is derived from RBI – Entity wise PPI Statistics and NPCI – NETC FASTag Product Statistics by considering the sum of value of purchase of goods and services (excluding values related to FASTag per NETC) and fund transfer of MobiKwik against the total value of purchase of goods and services (excluding values related to FASTag per NETC) and fund transfer of all entities.