PayTm in talks with ICICI Group and Citibank
India: PayTm the prominent player
in mobile wallet and e-commerce marketplace space is talking to many leading
financial & banking players in the country.
PayTm is looking forward to
tie-up with ICICI Group companies named - ICICI Bank, ICICI Prudential and
ICICI Lombard for its insurance and banking divisions. Also, the company is in
talks with Citibank, Induslnd and few other small finance banking organizations
for banking tie-ups.
Apart from the banking sector,
PayTm is looking to tie-up with the mutual fund players -SBI mutual fund and
IIFL.
However, the company is not
willing to enter into many partnerships because technical integration is time
taking and challenging task.
In December 2015, the company
had entered into strategic partnership with ICICI Bank to offer virtual prepaid
cards which can be used for offline and online purchase by the user.
According to TechSci
Research, mobile wallet players are targeting higher revenue for the next
fiscal year. Recently, Snapdeal tripled its revenue target for FY2017. PayTm
through these tie-ups is strategically opening the new source of revenue.
The recent report on mobile
wallet by TechSci Research, “India
Mobile Wallet Market Forecast and Opportunities, 2020” mobile wallet market in
India is projected to reach US$ 6.6 billion by 2020. The mobile wallet market
in India is projected to exhibit exponential growth during the forecast period,
on account of growing usage of mobile wallet across various applications such
as money or banking transactions, mobile recharge & bill payments, ticket
bookings, utility applications, etc. In addition, approval of payment bank
licences of major companies such as Paytm, Vodafone, Airtel, etc. is projected
to drive growth in the number of banking transactions through mobile wallet
over the next five years.