COMPANY PROFILE -One97 Communications(Paytm)
Business Sector :Financial Services
Operating Geography :India, Asia, Global
About One97 Communications(Paytm) :
One97 Communications (OCL) is the parent company of Paytm, a leading Indian mobile payments and financial services company based in Noida, India. Vijay Shekhar Sharma founded it in 2000. In July 2021, the company filed the offer document for India's largest ever initial public offering (IPO). On November 8, 2021, it was listed on Indian stock exchanges. The company provides a variety of digital payment and financial services to Indian consumers and merchants through its network of subsidiaries and businesses. It also offers merchants mobile advertising, marketing, and payments. One97 Communications was named Emerging Company of the Year at the 10th Annual Voice&Data Award 2009 in August 2009 for its contribution to the VAS space. One97 was named the Most Innovative Company of the Year 2014 at the Business Standard Awards in March 2014. In 2017, the company was ranked #309 on the Fortune Next 500 list. On May 21, 2022, One97 Communications announced the formation of a joint venture general insurance company in which it has committed to investing Rs 950 crore over a 10-year period. The board approved the proposal to form a joint venture company called Paytm General Insurance Limited (PGIL).
The USP of One97 Communications (Paytm) lies in it being the largest mobile payment and financial service company in India. One97’s mission is “to bring half a billion Indians into the mainstream economy through payments, commerce, banking, investments, and financial services.”
One97 Communications(Paytm) Revenue :
INR 41,754 million - FY ending 31st March 2022
INR 30,420 million - FY ending 31st March 2021
Competitive Analysis of One97 Communications(Paytm)
The SWOT analysis for One97 Communications (Paytm) is presented below in a matrix followed by the detailed analysis report:
Strengths | Weaknesses |
1. Diversified portfolio of products and services offered
2. Large user base of the company
3. Large number of merchants to sell products on Paytm’s ecommerce platform
| 1. Strong competition from banks and other financial institutions
2. Value erosion for investors post IPO
3. Payment processing fees and promotions being a major cost-head
4. Incremental business is not generating revenue
|
Opportunities | Threats |
1. Growth of digital payments companies post demonetization
2. Increasing internet penetration may provide more users for digital payments
3. Rise in ecommerce sales due to COVID in India
| 1. RBI regulations on digital payments restrict the growth of the company
2. Security and privacy concerns for using the Paytm app for loss of user data
|
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Detailed SWOT Analysis of One97 Communications(Paytm)
Strength
This section is available only in the 'Complete Report' on purchase.
Weakness
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Opportunity
1. Growth of digital payments companies post demonetization: The Narendra Modi-led government banned high-value currency notes of the 500 and 1000 denominations, or 86 percent of the currency in circulation, on November 8, 2016, in an effort to combat black money that was present in the system. The government then claimed that by taking money out of circulation, digital payments would increase, making purchases more convenient and transparent. The fusion of modern technology and established banking practises has benefited everyone in the financial ecosystem. The demonetization led to a significant increase in digital payments. The government's and the banking regulator's efforts to transform India into a "less-cash economy" also contributed to this growth. The government's decision to abolish cash and promote digital payments allowed startups like Paytm and Mobiquik to expand significantly. However, following the note ban, there was a sharp increase in debit card payments at businesses. Previously, debit cards were primarily used to withdraw cash from ATMs.
The remaining section under "Opportunity" is available only in the 'Complete Report' on purchase.
Threat
This section is available only in the 'Complete Report' on purchase.
The PESTLE analysis for One97 Communications (Paytm) is presented below in a table followed by the detailed analysis report:
Political | Economical |
1. Demonetisation paved way for the growth of Paytm | 1. Impact of the COVID-19 outbreak on digital payments |
Social | Technological |
1. Substandard internet quality affects the spread of use of digital payments
2. Increasing internet penetration will drive digital payments growth
3. Rapid growth of the e-commerce businesses due to the pandemic | 1. Use of AI and ML in digital payments industry in India
2. Need for cybersecurity measures to be implemented into the payments app |
Legal | Environmental |
1. Digital payments companies need to adhere to data privacy laws
2. Digital Payments companies need to follow RBI guidelines for security measures in their apps
| 1. Impact of climate change on ecommerce industry in India |
One97 Communications (Paytm) SWOT and PESTLE Analysis PDF Report is a custom report and will be delivered to your email inbox within 2 business days from purchase.
Detailed Pestle Analysis of One97 Communications(Paytm)
Political
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Economic
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Social
This section is available only in the 'Complete Report' on purchase.
Technological
1. Use of AI and ML in digital payments industry in India: In India, financial services for MSMEs and the rural population are frequently provided using AI and ML. The Indian banking landscape is undergoing a significant change as a result of the RBI's introduction of financial inclusion. A cashless society is being promoted by the government. Digital payment options have increased as a result, including plans, apps, and services like small savings accounts. Predictive modelling and machine learning algorithms can be used to create credit scores and credit-worthiness scores using data from various centrally governed social security numbers, farming turnover, affordability, social networks, travel information, and other similar features in rural India where there is little credit history of the people and MSMEs for prospects for small loans. In the future, these ML algorithms might be used to create credit profiles for people who have never dealt with the banking system. Businesses like Monsoon Credit Tech use AI to assess the creditworthiness of MSMEs before making loans to them, and many nations have started providing cash flow-based loans to MSMEs through the use of AI by learning patterns from various unstructured data sources.
The remaining section under "Technological" is available only in the 'Complete Report' on purchase.
Legal
This section is available only in the 'Complete Report' on purchase.
Environmental
This section is available only in the 'Complete Report' on purchase.
Major Competitors :
- PhonePe
- Google Pay
- Amazon
- Mobiquik
One97 Communications (Paytm) SWOT and PESTLE Analysis PDF Report is a custom report and will be delivered to your email inbox within 2 business days from purchase.
TABLE OF CONTENTS
DELIVERY AND FORMAT
WHY CHOOSE US?
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Check Out Analysis of Other Relevant Companies
References used in One97 Communications(Paytm) SWOT & PESTLE Analysis Report
1. Annual Report - https://paytm.com/documents/annual-reports/annual-report-2021-22.pdf
2. About Us - https://paytm.com/about-us/
3. Fintech: Digital payments got a Covid boost in 2020 - https://www.thehindubusinessline.com/money-and-banking/digital-payments-got-a-covid-boost-in-2020/article33419349.ece
4. Active internet users in India likely to reach 900 mn by 2025: IAMAI - https://www.business-standard.com/article/technology/active-internet-users-in-india-likely-to-reach-900-mn-by-2025-iamai-121060300710_1.html
The detailed complete set of references are available on request in the 'Complete report' on purchase.
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One97 Communications(Paytm) SWOT and PESTLE analysis has been conducted by Amit Kabi and reviewed by senior analysts from Barakaat Consulting.
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