This is to integrate its payment gateway. Paytm already has two deals with IRCTC to book tickets and pay for meals through its wallet. With this integration, Paytm will be able to process payments through wallet, debit and credit cards, and netbanking.
The eKYC uses mobile-based biometric details to verify an account. KYC, otherwise, takes a few days to process and requires applicants to submit their identity and address proof. Paytm plans to launch payment bank services in the next couple of months and Aadhar-based eKYC is likely to make customer verification much faster.
This includes flights, hotels, and bus tickets booking. It claims to have completed over 1 mn flight and bus bookings combined, while the company claims that its bus tickets business recently broke-even. Paytm entered the travel business with the introduction of hotel booking in October last year with over 20,000 hotel listings initially.
The company is looking to raise Rs 2000 Cr, the rest of which is expected to be raised through Alibaba and SAIF Partners. The funding more than doubles Paytm’s valuation to $4.8 bn. The company will use the funding across verticals, including for its payments bank. Paytm had previously raised an undisclosed amount in funding from Alibaba and Ant Financial in September last year.
The platform lists over 2250 screens where tickets can be booked online, and plans to increase this number to 3000 soon. BookMyShow said that it sold over 30 mn tickets in Q1 FY17 compared to 22 mn in the same quarter last year, registering a growth of 38%. Paytm ties up with Wave, Mraj, MovieTime, Gold Cinemas and other chains and single screen theaters for ticket booking.
This will be used for developing its technology and build physical branches in rural areas. Paytm had borrowed close to Rs 300 Cr from private sector lender ICICI Bank in working capital loans in March 2016. This was for treasury management and that the company was adequately funded.
Paytm and Uber had earlier in May announced, through a strategic tie-up with Alipay, it would allow Indian travelers to pay for Uber rides abroad in local currency. Paytm had said that this would be closely tied with the company’s yet-to-commence payments bank operations.
It will help small and medium businesses as well as bigger brands to set up online shops on its platform. Paytm aims to facilitate monthly sales of about 2.1 Cr items through its platform by the end of this fiscal in the fashion category. Currently, 30% of the sales volume comes from the branded players, while the remaining comes from the unstructured segment.
This will happen possibly in the next 3 months. Paytm is receiving 2 Mn orders monthly and was expecting to grow to 5 Mn orders by March 2017. It claims a GMV of Rs 20,000 Cr of which 40% came from the e-commerce marketplace. Paytm currently claims to have 125,000 merchants on the marketplace, which it would like to grow to double by the next financial year.
For Cinepolis, Paytm users can book their movie tickets with over 236 screens the company operates. In March 2016, Paytm partnered with PVR Cinemas and INOX for movies tickets. The new initiative will also let users pay for food and other value-added services through their wallet. For Mother Diary, users will now be able to make payments through their wallets across 100+ Mother Dairy milk booths.