April 11 2016, 10.24 AM IST || Pocket News Alert
With utility vertical comprising electricity, water, telephone and gas bill payments, Paytm, the largest mobile payment and commerce platform will do a GMV of Rs 12,000-13,000 crore by tapping this lucrative space. The recently launched utilities and bill payments segment of Paytm is already witnessing a massive growth of 200 per cent month on month. The overall addressable size of this market is Rs. 75,000 crore.
The company has tie-ups with around 30 power & water distribution companies and by the end of the next quarter it seeks to double this number. The expansion will also cover state water distribution and piped gas boards so that an increased number of customers pan-India can enjoy the convenience of paying their bills quickly on Paytm app & website.
Kiran Vasireddy, Senior Vice President, Paytm, said, “Our aim is to revolutionize digital bill payments in this country and we want to be one stop destination for all such payment needs. We are already witnessing high repeat usage considering the convenience that this service offers.We will soon offer features like automatic bill reminders and one touch payment options. This will not only help people save late fee charges, but at the same time will improve cash flows of the utility companies”.
By creating a new digital payments eco-system, Paytm is looking to expand its customer base from the present 120 mn to 500 mn by 2020. Last month, the company clocked around 2.5 million transactions in this segment and expects to have massive growth in the next few months.