Today, mobile banking has made our life easier and faster by allowing banking transactions to occur just with a few clicks. It has removed an obligation to visit banks for important banking transactions and has offered us great comfort to perform these just by sitting at home. Today, we have so many smart financial applications that help us to calculate our EMIs and Insurance premiums, etc.
Fintech firms have thus brought a revolutionary change in the nation’s economy by allowing unconventional payment options for personal as well as business purposes. The initiation of the Digital India program played an indigenous role in the digital transformation of payment procedures. Today, India is one of the chief fintech start-ups available all around the world after the countries like UK, Singapore, and Germany.
Few Business Models for Indian Fintech Companies
The budding FinTech environment in India has led to some innovative business models used by some chief FinTech firms. These pioneering approaches have helped a lot in reducing the financial pressure from the head of individuals by allowing them to have instant financial solutions on their financial app.
Few brilliant business models implemented by major Indian FinTech companies are as follows-
- Starting the digital wallets in the ecosystem
- Digital insurance for health, travel, etc.
- Simplification of banking with digital banking solutions
- Substitute credit scoring for individuals to have better lending decisions
Top Indian FinTech Start-ups and Companies
Here are the top five FinTech start-ups and companies in India playing a major role in expanding the digital payment markets in the country-
- Policy Bazar
Paytm is one of the most prevalent payment apps that is widely used by the masses today. This app has got major recognition soon after demonetization in 2016 that has raised its user-base to 185 million from 125 million.
Founded by Vijay Shekhar Sharma in 2010, Paytm is occupying a substantial portion of Indian Financial markets being India’s chief digital wallet company. It has been predicted that this Fintech startup is going to double its transaction volume to 12 billion by the end of FY’20. The app allows many beneficial features such as you can perform bank transfers, phone recharge, pay bills, DTH recharge, Metro card recharge, UPI recharge, etc.
Being based in Bangalore, PhonePe is India’s chief fintech startup that gives tough competition to its competitors among the breakthrough competition prevailing in the sector. This e-commerce payment system and digital wallet company were founded in December 2015. This incredible digital wallet is available in 11 Indian languages and individuals use it for money transfer, recharge, pay bills, online shopping, and buying from local vendors. It has partnerships with the companies like RedBus, Ola, Goibibo, FreshMenu, etc.
MobiKwik is another digital payment and wallet company that allows users to perform transactions on various platforms with their MobiKwik accounts on their mobile phones. There has been seen around 90% growth in monthly active users in FY 2019 in Mobikwik. It was also regarded as the second largest platform for merchant payments.
PayU is a fintech company based in the Netherlands that plundered its digital payment services in the Indian marketplace in the year 2011. The company has existence in over seventeen countries all around the world. The company saw around 92% of the hike in its revenues in the last two years. PayU operates around Europe, Latin America, Africa, and India.
5. Policy Bazaar
Policy Bazaar was initiated in the year 2008 by Yashish Dahiya and Alok Bansal. It is an insurance aggregator platform that was founded basically for offering precise information to the customers along with accuracy and transparency. After the initiation of Policy Bazaar, the public became so much aware with more awakening for buying anticipated insurance on their own by showing a solid comparative analysis of multiple insurances at a single platform for customer ease.
In the world of finance, Indian Fintech companies have dominated the marketplace. Fintech startups have a strong impact over the other finance domains, it may be savings, insurance, or financial planning, majorly starting with banking. Fintech companies have played a vital role in the post-COVID era after quick adaption to the new world.