Today’s business environment demands strategic agility from companies, the power to think outside the box, thrive amid disruptions and stay ahead of the curve through constant innovation. This has ignited a technology revolution, with artificial intelligence (AI) and automation rapidly taking over various aspects of business operations.

However, the advantages of speed, flexibility and a fresh perception are mostly embraced by two categories – deep-pocketed design thinkers with a penchant for winning at any cost and the new kids on the block, young startups requiring business transformation for cost-cutting, scalability and success. 

For those in the middle – micro, small and medium businesses (MSMEs) – digitalisation, or any other tech advancement, brings a sense of uneasy familiarity. They continue to struggle with time-consuming manual processes due to their entrenched reliance on ‘that’s how it works’.

But the times are changing, and many SaaS (software-as-a-service) platforms have entered the fray to help improve the business performance of small and medium enterprises. 

“Our vision is to become the de-facto cloud-based system for the maximum number of MSMEs,” Unesync’s cofounder and CEO Rohan Chopra told Inc42 in a recent interview.

Unesync aims to do so “by becoming the go-to financial tool that completes the automation trifecta, including banking, accounting and compliance”, according to Chopra.

Set up in 2023 by Chopra and Ujjwal Agarwal, the Gurugram-based fintech SaaS platform offers a robust suite of accounting solutions, such as GST-compliant e-invoice and e-bill generation and developing insightful financial reports.

The startup further aims to digitalise India’s MSMEs, targeting an ecosystem featuring 63 Mn ventures or thereabouts.

“Today, nearly 50% of all GST-registered businesses are disconnected from the technology landscape,” said Chopra, underscoring the huge opportunity. “This is the market most fintech (SaaS) players are addressing now.”

Consequently, the fintech SaaS space shows promising growth potential in India. A report by Inc42 also estimates that the market is set to surge from $4.6 Bn in 2022 to $31 Bn in 2030, growing at a CAGR of 27%.

Chopra also thinks fintech SaaS should explore niche, specialised use cases to cater to the diverse requirements of small and medium businesses. As Unesync’s custom connectors function as gateways, allowing developers to build on top of the platform, the startup can develop solutions for different industry segments. 

Talking about use cases, Chopra said, “People have used them [custom connectors] to streamline BIS (Bureau of Indian Standards) registration or even automate e-waste recycling directly from their inventory, a crucial practice that is now mandatory.”

Can fintech SaaS solve the growth challenges of India’s SMEs/MSMEs? 

Watch Rohan Chopra of Unesync decode the potential of fintech SaaS, how one can tailor it for diverse requirements, its adoption challenges and more.

The post How Unesync Is Supercharging Small and Medium Businesses In India appeared first on Inc42 Media.

With over 1.2 Lakh startups and a vibrant community of institutional investors, India holds the title of the world’s third-largest startup ecosystem. According to a CII report, India’s startups contributed 10-15% to the country’s GDP growth between 2016 and 2023.

Angel investors, who support startups in their early stages of growth, play a critical role in the growth of the startup ecosystem. They not only provide crucial capital to startups but also champion unconventional and disruptive ideas. 

Angel investing also offers rewards beyond just financial returns. Through mentorship and guidance, investors can share the satisfaction of nurturing revolutionary solutions. Their involvement, particularly in the crucial pre-seed and seed funding stages, empowers startups with valuable wisdom and expertise, enabling them to flourish.

With the number of high-net-worth individuals (HNIs) on the rise in the country, angel investing presents a compelling avenue for portfolio diversification. However, it’s crucial to remember that startups are a risky asset class. Without a strategic approach to evaluating promising businesses, angel investing can be perilous.

Hence, to equip aspiring angel investors and HNIs with the secrets of strategic angel investing, Venture Catalysts++ (VCats++), India’s first multi-stage VC firm, is back with the fifth edition of its online programme ‘Angel School’, to be held on June 22 and 23.

Commenting on the latest edition, VCats++ and 100Unicorns cofounder Dr. Apoorva Ranjan Sharma said, “We aim to democratise angel investing for a broader audience. Traditionally, angel investing has been an exclusive domain, often limited to well-connected individuals.”

He added that by offering a condensed weekend course, VCats++ aims to lower the barrier to entry and provide essential knowledge and tools. 

The course is also designed to attract new investors who are interested in venture capital but lack formal education or experience.

Unlocking Investment Potential: Riding India’s Growth Wave

Over its previous iterations, Angel School has successfully trained over 300 angel investors, equipping them with the essential know-how for navigating the world of angel investing. 

The programme has featured renowned investors and experts like Dr. Sharma; Peak XV Partners and Surge managing director Rajan Anandan; FundEnable founder Vikrant Potnis; Sivasangari Chinnappa, head of startups, transactions and funds practise at Banshi Jain and Associates (BJAA); and VCats++ chief business and operations officer Ashank S. 

In its latest edition, Angel School will intensify its focus on enabling HNIs to leverage India’s remarkable growth trajectory by unlocking their investment potential. Over the course of two days, Angel School by VCats++ will empower participants with the knowledge required to capitalise on the potential of startups and enhance their wealth creation journey. 

“By educating more individuals on angel investing, Angel School aims to increase the flow of capital to startups. This will not only help individual investors grow their wealth but also stimulate innovation and economic growth by providing startups with the necessary funding to develop and scale their businesses,” said Dr Sharma. 

Angel School Curriculum

This year’s programme will once again feature leading angel investors, VCs, and funding experts. They will delve into crucial topics in angel investing: 

• Introduction To Angel Investment: Attendees will gain a comprehensive understanding of angel investment, capital allocation strategies, the startup lifecycle, and the differences between private and public markets.
• Building An Investment Thesis: Speakers will delve into the factors that investors should consider before investing in a venture and how they can create a winning investment thesis.
• Demystifying Deal Structures: Participants will gain insights into the intricacies of deal structuring, valuation, term sheets and exit & liquidation strategies.

In addition to mentor-led sessions, attendees will also participate in insightful panel discussions on navigating the due diligence process and the essential dos and don’ts of building a robust startup portfolio.

Attendees of Angel School will also get investment opportunities, a chance to become a member of VCats++, and exposure to exclusive pitch events which will help them build a diverse investment portfolio and gain exposure to high-potential startups.

“They can gain access to a robust network of top angel investors, founders and industry experts. This network is invaluable for sourcing investment opportunities, collaborating on deals, and sharing knowledge and experiences,” said Dr Sharma. 

Seed Investments Show Resilience Despite Funding Winter

While the funding winter has undoubtedly dampened overall investment activity in recent years, seed investments have largely remained resilient, witnessing only temporary dips. According to Inc42 data, seed stage investments surged to $808 Mn in 2023 from $43 Mn in 2014, clocking a CAGR of 34%.

This jump signifies a robust increase in angel investing activity. Even in the first quarter of 2024, Indian startups secured $179 Mn across 70 seed funding deals. Programmes like Angel School aim to prepare angel investors so that they can face the highs and lows of investing with resilience and contribute to India’s startup growth story.

The post VCats++ Returns With ‘Angel School’ To Help Investors Unlock The Secrets Of Strategic Angel Investing appeared first on Inc42 Media.

Electric vehicles (EVs) are pivotal in reducing air pollution, tackling planet warming and lowering fossil fuel dependency. Given these sustainable, eco-friendly advantages, the Indian EV market anticipates significant growth, with projections reaching $110.7 Bn by 2029. As the transition from ICE (internal combustion engine) vehicles to green mobility unfolds, data-driven strategies become critical for maximising EV benefits across the rapidly evolving industry landscape.

But how does data analytics help scale EV services and maximise vehicle performances? After live data is captured, advanced algorithms analyse crucial metrics such as battery efficiency, vehicle range, charging patterns and energy consumption to develop predictive models that can help eliminate operational challenges.

To understand and navigate the intricacies of a data-driven approach within the EV ecosystem, Inc42 and Qlik (a data analytics platform set up in Sweden and now based in the US) organised a panel discussion titled How EV Startups Can Leverage Data Analytics To Revolutionise $110 Bn+ Industry. 

The session covered a number of critical topics, including:

• The importance of data analytics in optimising EV performance & driving efficiency
• The benefits of data-driven fleet management for EV operations
• How data analytics ensures improved customer experience

Moderated by Himanshu Ghawri, Partner at PwC, the roundtable brought together leaders from various EV startups. Among them were Shashank Sathe, CTO at Magenta Mobility; Amitabh Saran, founder & CEO of Altigreen Propulsion Labs; Jaideep Dhok, head of data at Yulu; Ankit Mogra, director (insights & analytics) at Ather Energy; Kumar Prasad Telikepalli, cofounder & group CTO of Matter, and Rishi Beri, automotive sales head at Qlik India.

Data Is Steering The EV Market Forward

The future of electric vehicles is increasingly shaped by data-informed decision-making. A major source of this data is telematics systems embedded in EVs, turning them into mobile information hubs.

For instance, telematics data is a potent tool widely used across industries and applications, including automotive, logistics, transportation and fleet management, insurance and more. Vehicular telematics can collect a wealth of data, including usage, direction, current location, engine health, charge status and battery temperature. 

This comprehensive data is then analysed to identify anomalies, enhance battery performance through efficient charge cycles and mitigate degradation. Besides early detection of potential issues and the corrective measures that EV manufacturers can adopt, telematics data also helps fleet operators manage their resources efficiently and assess driving patterns and drivers’ behaviour. 

“Once we have telematics data, we can use it for proactive alerts. In fact, some of the most important vehicle control features are often managed [remotely] through the telematics dashboard,” explained Shashank Sathe of Magenta Mobility. “Think of fleet operations. In case there’s a driver misuse or one leaves the geofencing area of the commute, we receive a proactive alert. A remote immobilising feature gives us time to stop the vehicle anywhere, reach out to the driver and resolve issues.” 

Data insights not only ensure strategic decision-making in fleet operations but also play a crucial role in enhancing customer experience. Understanding customer preferences through data analytics helps manufacturers tailor their services, thus increasing customer satisfaction and brand loyalty. 

“Today, customer interaction with a brand/company has become very complicated,” said Ankit Mogra of Ather Energy. “If a person buys our vehicle from a big town and takes it to a small town, he is happy (maybe because it is an aspirational purchase). But another challenge comes up immediately. How will they get the servicing done? So, [alongside telematics], we use geospatial analytics to deliver a vehicle and plan for services even before the customer requires it at that location.” 

That’s the beauty of data in a digital-first era. Apart from best-possible operations at the vehicular level, many companies are now looking at data-driven intelligent charging networks (call it infrastructure planning, if you want) to do away with range anxiety for good. 

To better understand how data is shaping the future of green mobility, watch the Inc42-Qlik panel discussion – How EV Startups Can Leverage Data Analytics To Revolutionise $110 Bn+ Industry.

The post How EV Startups Can Leverage Data Analytics To Revolutionise $110 Bn+ Industry appeared first on Inc42 Media.

The discourse around the responsible and ethical use of artificial intelligence (AI) has become increasingly prominent. In an effort to bring this conversation to the centre, Inc42 and Microsoft co-hosted a one-a-kind AI-focused gathering, ‘The AI Connect’, on May 15 in Delhi. This exclusive event brought together 20+ startup founders and tech leaders from sectors like ecommerce, insurtech, SaaS, etc., to discuss ways of building responsible AI solutions.

The AI Connect was attended by the likes of Aashish Jindal, cofounder of Grip Invest; Ashwarya Garg, cofounder of HYPD; Ish Babbar, founder and CTO of InsuranceDekho; Snehil Khanor, cofounder and CEO of TrulyMadly; and Pranshu Gupta, founder and CEO of Track N Tell, among others.

At the event, tech leaders and government officials addressed key concerns surrounding AI adoption among startups and enterprises, including regulatory considerations and the government’s perspective on fostering responsible AI growth.

The forum also delved into a wide range of questions and anxieties surrounding AI, with speakers addressing its impact on the job market and employer expectations. Additionally, they discussed the necessity of dedicated AI teams and the potential use cases for GenAI.

Insights Into AI Adoption

The event kicked off with an engaging fireside chat on “The AI Renaissance: Building Businesses of Tomorrow.” The discussion featured Nitin Jain, cofounder and CBO, OfBusiness and Jaspreet Bindra, founder of The Tech Whisperer. Moderated by Vaibhav Vardhan, cofounder and CEO of Inc42, the conversation explored the speakers’ perspectives on the evolution of AI in business.

“Companies that don’t adapt will fall behind. It’s crucial to have dedicated teams focused on AI enablement,” Jain emphasized, highlighting the imperative of AI adoption. He elaborated on four key areas businesses should focus on: algorithms, machine learning, deep learning and Large Language Models (LLMs)/generative AI (GenAI). “It’s about delving into all elements, from the most cost-effective, which are algos, to the more advanced GenAI tools,” he explained.

Jain further shared examples of how his startup, OfBusiness, is leveraging GenAI to create real-world impact. He said that OfBusiness utilises an AI bot across hundreds of WhatsApp groups to inform traders about market trends such as pricing and demand.

“We feed customer sentiment data into our LLMs to gain deeper customer insights, which also empowers our customers to make informed decisions,” he said.

Bindra, who has previously held leadership positions at Mahindra Group and Microsoft, noted that AI technology, though not new, is now reaching its full potential in the hands of everyday users thanks to generative AI (GenAI).

“This has pushed AI to the top of every CEO’s agenda. However, there’s a lack of clarity on specific use cases, particularly with GenAI, leading to some impatience. Despite these challenges, everyone agrees that AI is here to stay and will be the most transformative technology of our generation.” He also likened the impact of GenAI to the Industrial Revolution and the dot com era.

The Importance Of Ethical And Responsible AI

At the event, the industry leaders highlighted the critical need for ethical and responsible development in AI. Mike Yeh, regional vice president of corporate, external and legal affairs for Microsoft Asia, addressed the audience, offering his insights on this crucial topic.

Yeh acknowledged that AI is transforming our world and will significantly impact various sectors, including law and government affairs. However, despite concerns about stricter regulations and government intervention, he expressed optimism for the Asian market.

“While the EU, especially with GDPR, has set a high bar for data protection regulations, even European AI companies acknowledge the risk of overregulation,” Yeh noted. He believes Asia and, particularly, India have significant opportunities in this domain.

Following Yeh’s address, Jeet Vijay, CEO of the MeitY Startup Hub, elaborated on the government’s perspective on AI regulations. He emphasized that while the government views AI as a valuable tool, ensuring data privacy remains a primary concern.

He said, “Our primary focus is data security, privacy and ownership. Also, we need to explore how AI can empower individuals, not replace them. To ensure sustainable and scalable AI development, collaboration between the government and private sector is essential.

During the fireside chat, Bindra also addressed the issue of AI replacing jobs. He said that AI will primarily impact specific tasks within jobs, ultimately transforming the nature of work and job roles.

“While some jobs will be replaced, new opportunities will emerge,” Bindra said. Meanwhile, he highlighted the need for India to consider its unique cultural and geographical context when formulating AI regulations, particularly regarding data privacy.

The post The AI Connect: Founders & Tech Leaders Get Together In Delhi To Decode The Future Of AI In India appeared first on Inc42 Media.

When people discuss holographic eyeliner or gradient/ombré lips, many may wonder if sci-fi has found its way into the make-up industry. For a long time, K-beauty, particularly Korean skincare, has been popular worldwide for its innovative product lines. But a wider range of colour cosmetics are emerging nowadays, and Indian consumers are part of that shift.

Aspirational buyers are willing to spend a little extra for vegan and cruelty-free products, while also seeking products that meet global quality standards. This has opened doors for new-age beauty and personal care (BPC) players who are striving to balance customer demands with relative affordability.

Long associated with general and modern trade in the cosmetics industry, brothers Amit and Mohit Goyal left their previous business in 2013 to launch Swiss Beauty, a brand offering long-wearing, comfortable and high-functioning tinted cosmetics and skincare that is also pocket-friendly. 

Although inspired by Swiss beauty standards from the outset, the name was not chosen arbitrarily. Unlike what the name suggests, the brand has developed diversified colour palettes, keeping in mind the different skin tones seen across India to complement unique features. The line boasts of being vegan, cruelty-free and free of parabens, phthalates and alcohol, according to the brand. All its products are dermatologically tested, FDA-approved and PETA-certified.

At a time when D2C (direct-to-consumer) and digital-first models were just emerging, Swiss Beauty took the bold step of choosing offline sales to reach a larger audience accustomed to buying products through traditional retail. This strategy has played a pivotal role in amplifying its presence across India.

It made a strategic online foray in 2019, well in sync with the ecommerce boom. And today, it boasts an omnichannel presence encompassing its own website, beauty-focussed marketplaces like Nykaa and Purplle, and over 25,000 physical touch points across 550+ cities, including Tier II and III locations. 

To do away with warehousing-related issues, the brand partnered with 3PL provider Emiza in 2022. This partnership has ensured a robust presence across various channels, a critical factor for a true omnichannel brand and also helped it manage  fluctuating demands (but more on this later). 

As it scaled, the brand has added more than 1.5K SKUs, including face and eye make-up, lip colours, and more. It also offers an extensive skincare range and has launched Craze, a vibrant line targeting the youth. 

Unlike its peers, Swiss Beauty is still bootstrapped and has no immediate plans to raise funding. It did not divulge the financials but claimed 100% YoY revenue growth in FY24. It will launch new collections and enter new markets to emerge as an INR 1K Cr brand in the next two to three years.

How Swiss Beauty Banks On Quality, R&D For Innovative Product Lines

When launching their venture, the brothers leveraged their expertise to focus on three key areas to grow the brand.

With his experience in brand launching and positioning, Amit took charge of the general trade market, while Mohit was in charge of the supply chain and operations for new product development. They also appointed Saahil Nayar as the company’s CEO to ensure the smooth running of the business.

Swiss Beauty has an in-house R&D team that benchmarks new products against industry-leading merchandise and finalises third-party manufacturers whose production procedures and quality parameters align well with the brand.  

To maintain its promise of ‘quality’, it imports a wide range of ingredients from Japan, Italy, Germany and Taiwan (ROC). All raw materials are quality-checked per the guidelines set by the Bureau of Indian Standards (BIS). They also undergo several tests for heavy metals, pH factor, odour, viscosity and stability to maximise product safety. 

Besides this, it directly supplies to retailers and marketplaces, eliminating intermediaries and further preventing margin dilution. 

How Swiss Beauty Is Mastering Omnichannel Play, Leveraging Datavantages

Swiss Beauty is present in metros and Tier I cities such as Delhi, Kolkata, Chennai, Bengaluru, Mumbai and more; in Tier II cities such as Jaipur and Indore (best performers in this category), and in Tier III locations such as Bareilly and Nellore. The brand has its retail footprint in 500+ cities across tiers.

Today, Swiss Beauty has easy access to comprehensive customer data and feedback gathered from GT, MT, GT-BA, marketplaces, the D2C website, social media channels and customer support. All these deliver crucial inputs for need-gap analyses through analytics tools, and the new product development team works on those to meet diverse requirements. 

For the record, 55% of the brand’s revenue comes from offline stores, 40% from online marketplaces and 5% from its website. Its Tier I and II markets account for 80% of its sales (40% each), while Tier III locations are catching up fast with 20%.

The inclusive approach has its challenges, though. “Think of a product launch that must happen simultaneously across all channels. Our distribution timelines must be in sync, but reaching 25K physical counters will be very different from introducing a product on multiple ecommerce platforms. Marketing for such a diverse region is also tricky, as requirements vary,” added Nayar.

However, Swiss Beauty’s strong offline footprint has helped it grow digital presence, and those ordering online appreciate the ease of access. The growing demand for its premium products, effective customer retention and positive product reviews boosted its sales on key marketplaces. Many of its products also win best-seller badges. The startup meets the rising sales demand with the help of its 3PL partner – Emiza. 

Swiss Beauty’s 3PL Edge

In the world of ecommerce, shoppers look for fast and efficient delivery, failing which brands tend to lose customers. Understanding the need for speedy deliveries, Swiss beauty has outsourced its order fulfilment to 3PL player Emiza that specialises in ecommerce inventory management and works with several other new age brands like Snitch, The Souled Store, Mamaearth and more.

“The team at Emiza has always been responsive and accessible. We chose the 3PL provider when we rapidly scaled because it has a reputation for helping brands scale seamlessly. We are in our second year of partnership. And Emiza has kept its promise by ensuring strong performance metrics across all marketplaces,” said Nayar.

Swiss Beauty says Emiza helps it meet demand surge with a week’s notice. The 3PL partner can handle 5x its regular supply volume while maintaining service-level agreements. Emiza has in place state-of-the-art fulfilment centres for multiple brands and can reallocate space and resources to tackle large demand spikes.

Emiza’s founder-CEO Ajay Rao says the partnership has been mutually rewarding. “Swiss Beauty is an excellent organisation with strong work ethic and deep business understanding. We are its major fulfilment partner and look forward to growing with the company as it expands its fulfilment network across the country.”

Indian BPC Market Set To Reach $30 Bn; Will Homegrown Startups Thrive? 

Swiss Beauty has ambitious plans to expand offline and online to emerge as a market leader. However, it banks heavily on offline growth, as 55% of its revenue comes from the offline market. It is currently focussing on modern trade and setting up more kiosks to ensure deeper market penetration and drive sales and brand awareness. 

The brand aims to increase its general trade touch points from 25K to 30K in the next 12 months by expanding to Tier II locations and smart cities. Moreover, it plans to double the number of its exclusive brand outlets (EBOs) to 24 across 12 Indian cities and open 147 more BA-assisted outlets. 

Setting up in-house R&D, manufacturing and QC labs is critical if homegrown startups and D2C brands want to compete with industry giants like Hindustan Unilever (owner of Lakmé), L’Oreal Paris, Pat McGrath Labs, M.A.C. or Bobbi Brown. 

Industry experts believe there will be enough room for home grown disruptors to usher in innovative product lines to cater to a global audience.  

According to Inc42 data, the beauty and personal care market is expected to grow from $5 Bn in 2023 to $28 Bn in 2030, at a CAGR of 28%

India stands the chance to lead in this segment, given its native knowledge of ayurveda and the plant world. Besides, the homegrown beauty market already has two listed unicorns – Mamaearth and Nykaa – indicating the rising interest of consumers and investors alike. Given this context, it is now time for a new breed of agile and adaptive players like Swiss Beauty to capture the beauty market dominated by evolved consumers with the help of 3PL partners such as Emiza.  

The post How Swiss Beauty Is Reaching Shoppers Across 550+ Cities Through Omnichannel Play, Robust Logistics appeared first on Inc42 Media.

BITS Pilani’s seven-week-long startup accelerator programme, ‘Conquest’, is all set to help early stage startups scale their businesses by providing them guidance from experts in its 20th edition.

Run entirely by a team of 25 students, the programme is structured into two phases – online mentorship and one-week offline phase. It empowers early stage startups through equity-free grants, mentorship, and industry exposure. 

The programme’s 1:1 mentorship and workshops address challenges like product-market fit and customer acquisition. Conquest also fosters a strong community for resource sharing and collaboration. 

For the 20th edition of the accelerator programme, Conquest organised a launch event on April 13, 2024 in Gurugram. Registrations for the latest edition began on April 15 and ended on May 31.

The online mentoring phase for the edition will run from June 10-July 25, 2024.

Starting from this phase, each founder will be paired with a dedicated coach, provided 1:1 mentorship sessions and get an opportunity to engage in fireside chats with other successful founders. 

NoBroker’s Amit Agarwal and Postman’s Abhijeet Kane are among the founders who featured in the earlier editions of Conquest as mentors.

The founders of the top startups from the online phase will go to Bengaluru for the one-week offline phase from July 29-August 3, 2024. This phase is envisioned to provide the startups of the cohort exclusive networking opportunities. It includes knowledge sessions and investment workshops by senior leaders of investment firms such as Accel, WestBridge Capital, among others. Office visits and networking mixers also happen during the offline phase.  

The accelerator programme culminates on the ‘Demo Day’. In the previous edition, winner Glovatrix and runner-up Verdant were awarded a grant of more than INR 10 Lakh each. 

The Demo Day also includes keynote addresses from industry experts. PeepalCo group CEO Ashish Singhal, 3one4 Capital founding partner and chief investment officer Pranav Pai, and Shiprocket cofounder Vishesh Khurana are among the prominent entrepreneurs who addressed the founders of the startups from the cohort in the past editions.

The past alumni of Conquest include Thinkerbell (a Shark Tank India-featured startup for visually impaired), BiteSpeed and Atlan. Atlan is currently valued at approximately $500 Mn. 

The Pressing Need For More Programmes Like Conquest

Over the years, Conquest has helped hundreds of founders scale up their early stage startups. The programme functions on a ‘zero-cost zero-equity’ model, meaning startups do not incur any cost. Instead, they are given a platform to earn grants to help fuel their growth. It attracts diverse startups to the event.

Such programmes not only provide funding opportunities but also facilitate mentorship and networking to help budding founders. The guidance they receive helps founders find product-market fit for their startups and gain initial traction. It also prepares them to handle the ups and downs that are a part of any entrepreneur’s journey.

Amid the boom in the Indian startup ecosystem, the youngsters in the country are brimming with ideas and want to take the startup plunge. As such, there is an acute need for more programmes like Conquest to guide these young entrepreneurs.

The post BITS Pilani’s Startup Accelerator Conquest To Provide Early Stage Startups Mentorship, Funding appeared first on Inc42 Media.

AI is undoubtedly the ‘flavour of the season’, and it seems its dominance in the tech world will endure for a long time. From optimising customer experiences through AI-driven algorithms to streamlining manual administrative tasks, businesses are eagerly embracing AI technologies to make more informed decisions and stay ahead of the curve.

According to the IBM Global AI Adoption Index 2023 report, about 59% of enterprise-scale organisations surveyed in India are actively using AI in their operations. Meanwhile, the AI craze is trickling down to smaller businesses too, thanks to open-source GenAI tools that have made its usage much easier and accessible.

Recognising the pivotal role of AI in shaping the future of technology, Inc42 collaborated with Google Cloud to organise ‘The Tech Horizon’ in the heart of India’s Silicon Valley, Bengaluru, on May 3. The first edition of The Tech Horizon was an exclusive, invite-only event that provided a platform for thought leaders, tech enthusiasts and industry experts to engage in insightful discussions and share valuable insights about leveraging AI and cloud technologies to propel startup growth.

The Tech Horizon was a melting pot of knowledge sharing and experiential learning. It featured sessions by some of India’s foremost tech innovators and was attended by more than 30 tech leaders and makers. 

The event featured a roundtable discussion, titled ‘Elevating Customer Experiences Through AI And Cloud-Driven Analytics’. Led by industry experts from startups like MakeMyTrip, Goodmeetings, and MedPiper, the discussion explored the ways in which AI and cloud-driven analytics can revolutionise customer satisfaction.

Following this, attendees were treated to a riveting fireside chat with Giridhar Yasa, CTO of Lendingkart, who delved into the fintech startup’s ‘techvantages’ and how it maintains its competitive edge.

The event wrapped up with a knowledge session on ‘How Startups Can Build Faster, Scalable AI Solutions With Google’s Vertex AI’. Led by Aditya Chauhan, AI GTM at Google Cloud, and Ganapathy Subramani, customer engineer and AI specialist at Google Cloud, the interactive session equipped attendees with practical strategies for leveraging Google’s Vertex AI to develop agile and scalable AI solutions.

Harnessing AI For Enhanced Customer Satisfaction

In the fast-paced world of business, staying ahead often means understanding and meeting the evolving needs of customers. In the roundtable discussion at The Tech Horizon, moderator Sameer Dhanrajani, CEO of AIQRATE & 3AI, explored strategies for leveraging AI algorithms to analyse customer data and deliver personalised recommendations. The following were the other industry luminaries who were part of the discussion: 

• Srinivasan Narayan, Cofounder & CEO of Goodmeetings
• Nitthin Chandran Nair, CEO of MedPiper
• ⁠Barath Thangaraj, VP-Engineering at MakeMyTrip
• Carl Abraham, Director of Engineering at Clinikk
• Ananthakrishnan Gopal, CTO of DaveAI
• Gaurav Baid, Cofounder and CPO of Avataar
• Rohit Agarwal, CTO of ElectricPe
• Anubhav Singh, Cofounder of Dubdub
• Sreejith Chandrasekharan, CTO of OnMobile
• Ramakrishna Rajanna, Cofounder and CTO of Cureskin
• Kiran Kumar Badam, Sr. Director of Engineering at Vymo
• Aditya Chauhan, AI GTM at Google Cloud 

The panellists shared insights and practical use cases that showcased the transformative power of AI and cloud technologies in enhancing customer experience (CX).

OnMobile CTO Chandrasekharan set the tone by emphasising the importance of hyperpersonalisation in CX. Underlining the significance of catering to individual preferences and needs, he said, “Customers want their content very relevant to their journey. We need to apply principles of micro recommendations here.” 

Further, DaveAI’s Gopal explored the potential of GenAI in driving real-time engagement and nudging customers towards making purchases. “By leveraging micro-segmentation, GenAI enables companies to tailor their offerings to individual preferences, thus fostering deeper connections with customers,” he said.

MakeMyTrip’s Thangaraj shed light on the travel tech company’s innovative solution, ‘pre book’, which simplifies user experience by summarising relevant information. This approach not only enhances user engagement but also streamlines the decision-making process for customers who are looking for hotel reviews before booking, he said.

On the other hand, Agarwal of ElectricPe highlighted the critical role of real-time analytics and machine learning (ML) in delivering seamless experiences, particularly when it comes to electric vehicle (EV) charging stations. “Having access to user data improves the user experience 10X,” he said. 

“Let’s say you are parked at a public place and your vehicle is unplugged. So based on the energy current, we will be able to generate signals in real-time and send a contextual notification to the user informing them that the vehicle is unplugged and this significantly impacts CX,” added Agarwal.

Goodmeetings’s Narayan illustrated how AI, particularly GenAI, can streamline processes such as sales audits, thereby significantly reducing time and effort and enhancing accuracy. “In large companies you have sales audit teams that go through sales calls to understand whether sales reps mentioned certain points or missed something. This is very time-consuming. But, with GenAI, you can actually read and review these calls within minutes and even rate sales reps,” he said. 

Speaking about the real-world impact of AI on business growth, Nair from MedPiper said, “With AI, we have improved our conversion rate. Previously, our drop off rate was as much as 63% on a purchase cycle… (now) we have brought it down to less than 8%.”

A Deep Dive Into Lendingkart’s Techvantages

During the fireside chat featuring Giridhar Yasa of Lendingkart and Chauhan from Google Cloud, the audience got a ringside view of operating a lending platform for India’s underbanked segment, straight from the horse’s mouth. 

Moderated by Dhanrajani, the conversation delved into Lendingkart’s tech-forward approach and the broader paradigm shift towards AI in the industry. The chat commenced with Dhanrajani’s question on what sets Lendingkart apart as a tech-enabled organisation. To this, Yasa painted a vivid picture of the startup’s customers, ranging from small pickle stores to remote village enterprises. 

He highlighted the challenge of extending credit to these businesses, particularly those without established credit histories or CIBIL scores. Lendingkart’s solution? Leveraging technology to streamline the underwriting process and democratise access to credit.

Yasa outlined how Lendingkart harnesses data from sources like GST numbers and PAN card details to rapidly assess creditworthiness. “By leveraging bank account aggregators, we can swiftly generate loan offers, often within five minutes,” he said. 

He added that the platform has a modern tech infrastructure and operates across multiple cloud platforms to ensure agility and innovation. As a result, the startup is able to disburse loans across 5,000 locations, has an average ticket size of INR 7.5 Lakh, and is able to get 2 Lakh+ leads per month. 

Chauhan then shared insights into how platforms are leveraging the latest technologies to speed up innovation, along with Google Cloud’s role in enabling them.

“We are pretty much launching new categories every other week. Most of our products are getting customer feedback, which means we are able to innovate much faster. Last month at our annual cloud event, we launched something called an ‘Agent Builder’. The intent is to build conversational bots for businesses with an n-code system and make this tech available to as many people as possible without having too many prerequisites,” he said.

Google Cloud Spotlights AI Advancements With Vertex AI

The event ended on a high with a knowledge session on startups building scalable AI solutions. During the session, Chauhan and Google Cloud’s Ganapathy Subramani delved into how the tech giant’s offerings can catalyse exponential innovation in AI. 

They explored AI’s role in fuelling technological prowess, slashing testing times and delivering rapid results through live demos and discussing use cases. 

Chauhan highlighted the importance of personalisation in tailoring superior customer experiences. “Through the customisation of agents and hyper-personalisation techniques, AI stands to revolutionise customer interactions, driving heightened engagement and satisfaction levels,” he said.

Introducing Vertex AI as a seamless platform for organisations to leverage AI effortlessly, Chauhan elaborated on ‘Model Garden’ – a rich repository comprising foundational and open-source models, including Google’s proprietary models, and integrations with popular frameworks like ‘Hugging Face’. This repository not only facilitates model building, deployment and training but also expedites integration and deployment of AI solutions, empowering organisations to fast-track their AI initiatives.

Expanding on Google Cloud’s ‘Agent Builder’ feature, Chauhan demonstrated its capability to tailor-make agents for specific use cases. Drawing on the example of a conversational bot, he explained how Agent Builder enables organisations to adeptly handle diverse customer queries, ensuring a personalised and responsive customer experience.

Subramani highlighted the ways AI can optimise marketing strategies, citing instances of campaign development and keyword strategy optimisation. “Leveraging the Gemini API, AI-powered tools empower marketers to automate tasks, generate content, and enhance campaign effectiveness,” he said.

The post The Tech Horizon: Industry Leaders Decode Ways To Leverage AI To Turbocharge Growth Of Enterprises appeared first on Inc42 Media.

Hit the ground running, or get left behind — that’s the harsh reality of D2C today. In the era of quick commerce, a D2C brand’s success hinges on its ability to reach consumers quickly. To achieve this, brands must efficiently service the purchasing orders (POs) raised by quick commerce platforms, which offers them unmatched speed and convenience.

However, a single central warehouse might hinder this flexibility. This is where third-party logistics (3PL) players such as Emiza, WareIQ, Pickrr and others come in to provide multi-client warehousing and a slew of other tech-enabled innovative services, from order fulfilment to efficient distribution, hassle-free shipping, swift delivery and fast returns (outbound and inbound activities), effortless inventory management and more.

The aim is to ensure fast deliveries, provide 24×7 operational excellence at competitive costs and unveil a unique brand experience every time to wow customers. In doing so, these 3PL players are becoming more technologically adept and pushing the envelope by exploring the edge of automation, artificial intelligence, and machine learning (AI-ML). 

India houses more than 5,100 active e–commerce startups and several industry incumbents, which will drive the growth momentum. According to Mordor Intelligence, the country’s ecommerce logistics market size, estimated at nearly $4 Bn in 2024, is expected to hit $7.2 Bn by 2029, growing at a CAGR of 12.7%.  

How New-Age Warehouses Unlock Growth For Ecommerce

The proverbial ‘need for speed’ is just one piece of the logistics jigsaw. Too many supporting pieces such as fast order processing, suitable packaging and labelling, trace-and-track feature and ETA (expected time of arrival) accuracy are needed to make that model whole and achieve that grand mission.  

The power of agility is the driving force behind the 3PL business. Here is a quick look at what 3PLs deliver. 

Best-in-class operations: According to Emiza’s founder-CEO Ajay Rao, the new crop of fulfilment centres has emerged as traditional warehouses are no longer adequate for fast-moving digital retail.

“Brands today look for Grade A warehousing with superior infrastructure, dust-proof environment, advanced fire safety, flexible storage and robust security — complete with legal compliances. All these contribute to smooth operations and ensure speedy deliveries,” he said.

In contrast, Grade B (and C) facilities are older and may have larger stock areas but they are inadequate to meet the required demand

Rao emphasised the dynamic nature of modern warehouses doubling as fulfilment centres. “Traditional warehouses are designed for B2B bulk handling and long-term storage. On the other hand, new-age fulfilment centres can handle large B2B volume play, marketplace SOPs (standard operating procedures) for purchase order fulfilment and B2C deliveries requiring complex, multi-step processes.  

“Whether it is kitting, labelling, gift-wrapping, quality checks, scheduling multiple pickups in a day, or seamless handling of inventory pools, ecommerce warehouses-cum-fulfilment centres carry out each task well. Traditional warehouses are not equipped for this level of process complexity,” he added. 

As the need for fast delivery becomes increasingly important, new facilities are fulfilling it through distributed inventories by strategically placing goods near high-demand areas.

According to enterprise commerce firm ESW, improved distribution can greatly benefit online brands and increase their competitive edge by more than 85%. 

In addition, modern warehouses provide flexible storage solutions as ecommerce companies require additional storage during festivities and seasonal sales. It is convenient to house one’s inventories where storage can be predicted, planned and scaled up or down, eliminating the difficulties of coping with space crunch or excesses. 

Besides, automation capabilities such as cloud-based warehouse management systems (WMS), package tracking and inventory management lead to faster order fulfilment and fewer errors. 

Fulfilment centres run by Emiza and its ilk also use state-of-the-art equipment such as free movement flooring (FM2) for better durability, electric dock doors and dock levellers for efficient loading and unloading, fire sprinklers and hydrant systems, and stringent physical and data security for uninterrupted operations 24×7, 365 days a year. 

Emiza operates 27+ fulfilment centres in 14 Indian cities, including Delhi NCR, Mumbai, Kolkata, Chennai, Hyderabad, Bengaluru, Indore, Chandigarh, Lucknow, Patna, Guwahati and more. The 3PL startup has served more than 160+brands, including consumer goods giants like Cadbury, Cello and Milton and prominent startups such as Mamaearth, Snitch and The Souled Store.

Cost benefits due to multi-client model, techvantages: Often associated with higher costs, traditional warehousing offers little room for flexibility. In contrast, modern warehouses-cum-fulfilment centres have adopted a pay-as-you-go business model based on resource-sharing. Overheads reduce significantly when warehouses-cum-fulfilment centres reach economies of scale by servicing multiple clients using the same real estate, tech infrastructure and personnel. 

Their capacity to shift storage as per requirements can lower the cost for ecommerce players and help avoid a fee hike during peak seasons. Overall, companies only pay for the storage and the services they use and leverage a transparent pricing structure, with convenient options like a fixed monthly charge or per-transaction fee.

All these can help ecommerce businesses optimise their logistics operations and cash in on cost advantages. Rao cited several impressive outcomes, showcasing the edge fulfilment centres hold over traditional warehouses. According to him, brands using fulfilment centres can expect a significant boost in efficiency, with 80% of the orders fulfilled within 12 hours and 100% within 24 hours. Additionally, returns are processed and restocked within 48 hours.

Choosing A Fulfilment Partner Can Make Or Break An Ecommerce Business

Selecting the right fulfilment provider could be challenging despite opportunities galore for logistics outsourcing. Ecommerce brands need to ask a few critical questions before making a decision. For instance, is the provider located near major demand hubs? Can it guarantee seamless integration between the WMS and the ecommerce platform for efficient fulfilment? Does it have a reliable reverse logistics system? Will it offer contract flexibility and service level agreements (SLAs) to meet performance expectations?

Players like Emiza offer these standard procedures for many sectors, including fashion & apparel, beauty & personal care, FMCG, electronic & electrical devices and more. When looking for a service provider, brands should also consider whether a 3PL player has relevant industry exposure.

Emiza’s fulfilment centres are equipped with temperature- and humidity-controlled storage (for consumables and delicate goods) and have a serialised inventory management system across categories. 

It also uses multi-tier shelving to meet surges and seasonal peaks and leverage a WMS to streamline daily operations.

“We house 20-40 brands and employ 150 people on average in each warehouse. They are cross-trained across companies and categories to handle peak seasons effectively,” said Rao. 

The 3PL startup claims to have developed a robust ‘return and refurbish’ policy, enabling brands to recover 8-12% of inventory- and marketplace claim-related losses due to RTOs. 

In an earlier conversation with Inc42,  Rao explained that Emiza conducts a rigorous quality check when a returned item arrives at its facility and scans it with a barcode scanner so that the brand concerned can quickly identify the product via the WMS. This helps speed up the processing time for sorting, reviewing and managing ecommerce returns.

Rao cited how Emiza’s processes and capabilities led to real-world business impact. A baby care brand partnered with the 3PL player in 2023 and scaled its presence from a single warehouse to 13 fulfilment centres in 18 months. It saw an 80% surge in order volume, while regional shipping jumped from 28% to 72%.

Again, a health and wellness brand partnered with Emiza, and within 6 months, its presence grew from one warehouse to five, with order volume increasing by 2X.

Retailing 4.0 To Thrive On Sustainable Growth; Can 3PL Players Like Emiza Help?

For brands, big and small, embracing latest technologies is no longer a choice but a lifeline to survive and prosper. But given the global headwinds and a harsh funding winter, sustainability remains highly important instead of cash-guzzling for growth at all costs. In this scenario, cost optimisation remains at the core of all business strategies and decision-making. 

Therefore, brands defining the retailing 4.0 revolution must leverage tech, including AI and big data, automation and robotics. This is where multi-client fulfilment models adopted by the likes of Emiza become crucial for brands and their push for sustainability. 

“When brands operate in a shared ecosystem, they will be immune to issues around labour and capacity availability to handle surges. Again, if a brand opts for multi-location warehousing, it can easily ensure business continuity if force majeure disrupts a specific area,” said Rao. 

He added that AI-ML will be critical components for future-proofing brands. “These technologies will help manage inventories and enable smart inventory placement to improve picking efficiency. This will go deeper and redefine the future of logistics for ecommerce and brands,” he said.

The 3PL segment is surging, fed by the aggressive expansion of ecommerce across the country. Tech-enabled fulfilment centres will continue to pop up to meet the newfound demand for faster, more efficient deliveries. It has happened all over the US post-pandemic. And it is happening in India, too. 

The post How Ecommerce Brands Can Achieve Logistics Efficiency With Multi-Client Fulfilment Centres appeared first on Inc42 Media.

To foster knowledge-sharing and forge meaningful connections within the tech community, Inc42 and Snowflake collaborated to organise an exclusive two-part CTO Dinner series in Bengaluru and Delhi, India’s most vibrant startup hubs. The first leg unfolded in Bengaluru in January, and the second edition in Delhi on May 10, 2024. 

Together, the CTO Dinner drew over 50 leading tech minds from the startup ecosystem. It brought together CTOs, tech founders and decision-makers from growth-stage startups across diverse sectors such as fintech, SaaS, healthtech, and ecommerce for an evening dedicated to conversations around emerging technologies and their role in fuelling India’s startup growth story. 

Moreover, it provided a one-of-a-kind opportunity for networking and showcased the technological frontiers shaping the industry.

GenAI, a ubiquitous topic within the tech community, took the spotlight during the maiden edition held in Bengaluru. The event saw industry leaders like Karthikeyan Krishnaswamy, cofounder and CTO of KreditBee; Subhash Chaudhary, cofounder and CTO of Dukaan; and Arpit Garg, product head at LensKart, share their perspectives on GenAI’s implications for business growth. Vijayant Rai, MD India (sales) at cloud computing platform Snowflake, shed light on its innovative solutions and strategic vision for the Indian market.

Following the success of the Bengaluru edition, the CTO Dinner series made its way to the national capital, further amplifying the need for collaboration and knowledge-sharing. 

The Delhi edition witnessed a fireside chat between Vaibhav Vardhan, cofounder and CEO of Inc42 and Rahul Sharma,  head enterprise business – North at Snowflake India.

The duo delved into real-world AI applications and use cases and discussed the challenges and opportunities surrounding GenAI adoption among enterprises. 

The CTO Dinner in Delhi was attended by notable tech figures like Abhishek Gupta, VP of product at HomeLane; Amit Kumar, CTO of 91Squarefeet; Recur Club’s CTO Anirudh Bhardwaj; Gaurav Bagga, SVP of product & engineering at Pristyn Care; Of Business cofounder and CBO Nitin Jain; Rahul Prasad, cofounder and CTO at bobble.ai et al.

GenAI Conversations Dominated The Dinner Table

During both editions, attendees engaged in elaborate discussions on the transformative impact of GenAI on business agility. 

“When we entered the market, we worked with unicorns and late-stage startups like Swiggy, Cars24, and Urban Company. On the other end of the spectrum, companies were leveraging clunky open-source solutions, but that does not ensure scalability, and once businesses realised this, they came to us,” Sharma said during the Delhi edition. 

He recommended enterprises first to determine a data strategy because the data itself is lying in silos. “I think there’s another six months to go before real-world use cases beyond customer experience will come up,” he said.

Chiming in, Jain of OfBusiness said,” I think businesses are still struggling with GenAI applications. Large companies need to spend a lot of time doing research to understand what is possible. The more I study AI, the more use cases I find, the more experimentation I can do.”

He advised companies to allocate some budget for experimentation and research of open-source tools before deep diving into more complex solutions. Jain emphasised the need to start small to make a real difference. 

Meanwhile, Krishnaswamy from KreditBee underscored GenAI’s impact on organisational productivity. “GenAI will make a key impact in terms of enhancing the productivity of the overall organisation and is something to watch out for,” he said.

According to Inc42’s report titled ‘India’s Generative AI Startup Landscape’, the country’s GenAI market is expected to grow at a CAGR of 48% from $1.1 Bn in 2023 to $17 Bn by 2030

The growth prospects for GenAI look promising, especially among deep-pocketed enterprises and high-growth startups as they will have the opportunity to explore the full potential of GenAI in the coming years.

Amid the current scheme of things, Inc42 is committed to fostering collaborative environments in the world’s third-largest startup ecosystem.

The post The CTO Dinner: Inc42 & Snowflake Bring Together 50+ Leading Tech Minds In Delhi & Bengaluru appeared first on Inc42 Media.

India’s affinity for gold jewellery has been well-known for ages. However, the recent spike in gold prices reduced the country’s consumption to 562.2 tonnes in 2023, a 6.39% dip from 600.6 tonnes of gold as jewellery in 2022, according to the World Gold Council. On the other hand, China raced to the top last year, consuming 630.2 tonnes of gold as jewellery. 

But away from the discretionary purchase of jewellery, this precious metal is rapidly gaining traction in India as an asset class. There has been an upsurge in the consumption of bullion (bars, coins and ingots) and investments in sovereign gold bonds (SGBs) since 2022. In fact, the December quarter (Q3 FY24) saw a record rise in SGB investments, reaching 12.1 tonnes at a little over INR 7.5K Cr.

Aware of the country’s indelible link with the yellow metal, serial entrepreneurs Raj Parakh and Veer Mishra launched Plus Gold, India’s first-ever fintech platform that ensures convenient and secure gold and gold jewellery accumulation by curating and digitalising the entire process. The aim is to democratise gold investments for all, especially the 160 Mn homemakers across Bharat, with little or no exposure to active wealth creation.

Undoubtedly, Bengaluru-based Plus Gold caters to a target audience served by very few fintechs, even though India is the second-largest gold-consuming country. Besides, a 2024 survey indicates that 14% of Indian women still prefer gold as an investment option over real estate and equities. 

The fintech app (available on iOS and Android) offers hassle-free gold buying online and focusses on gold purity and asset security. Its 350+ jeweller partners hailing from Mumbai, Bengaluru, Udaipur and more than 500 other cities have undergone stringent vetting before they were onboarded. They also provide exclusive discounts and enable seamless integration of physical and digital gold purchases as and when required. In essence, a buyer can retrieve digital gold in a physical form. 

Users can save on the app akin to a traditional jewellery saving scheme (10+1) type. They can buy lump sum gold in one go or save in small amounts in desired frequencies like daily, weekly or monthly. Users can also earn 10% IRR (internal rate of return) per annum on their savings. Additionally, one gets up to 5% discount from the jewellers on the platform while redeeming their gold in the form of jewellery.  

Plus Gold offers a gold leasing service and buyers opting for it can earn an extra 5% annual interest on their investments. The gold purchased and leased can be redeemed anytime as cash, gold coins, or jewellery. 

All gold assets, physical and digital, are insured and securely stored with Augmont, a digital gold provider and the technology arm of RiddiSiddhi Bullions (RSBL). It is a key partner of Plus Gold, ensuring fair trade and transparent pricing.    

The fintech startup promises an impressive 18% net return on each purchase – a typical 11% price appreciation of gold, 5% jeweller discount and 5% value addition from Plus Gold. In effect, the customers receive 1 gram of additional gold for every 10 gram of gold purchased. This is significantly higher than traditional gold savings schemes or the average stock market returns of 10% annually, often drubbed by inflation. 

Jeweller partners benefit from a large customer base and hassle-free gold conversion from users’ savings. By June 2024, the startup aims to provide them with paid marketing tools to help enhance their presence on the platform. It will also introduce the sale/exchange of old gold by October-December. 

By February 2025, it will run a pilot for gold loans, a market expected to reach $150 Bn globally by 2030. In India, loans against gold jewellery surged 17%, amounting to INR 1.01 Lakh Cr as of January 26, 2024. Gold loans are largely driven by the increasing adoption of fintech platforms and growing awareness of gold as an investment/monetisation option.

Plus Gold secured INR 60 Lakh at Shark Tank Season 3 and raised INR 7 Cr from a clutch of investors such as Venture Catalysts, Jain International Trade Organisation and WFC. Its revenue comes from B2B (jeweller partners) and B2C (gold shoppers) commission fees – 2% on each transaction from both buyer and seller. The platform is free for users and jewellers.

The startup has crossed more than 200K+ downloads  and has recorded 400% month-over-month transaction growth since December 2023. It recently roped in actor Sonakshi Sinha as an investor and brand ambassador. 

How Plus Gold Carved A Niche By Talking With 3K+ Women, Working On Three PMFs In 18 Months

Unlike precious stones like diamonds, sold by a few industry juggernauts with impeccable quality guarantees, gold has a somewhat opaque supply chain and faces issues related to karate, durability and overall quality. Essentially, the integrity of gold assets is a must-have to win the trust of people intrigued by the yellow metal. Which meant discussing the pros and cons with target customers looking to invest in a safe-haven asset class.

Parakh and Mishra, close friends for the past eight years when they started working in retail, wanted to create an app their mothers could use for hassle-free gold/jewellery savings. They started their research by speaking with more than 3K women within two months and soon realised that few fintech companies had ever targeted Indian homemakers to help them reap such financial benefits. So, the duo left their jobs to set up Plus Gold, registered as Finshakti Solutions in May 2022. 

They developed the Plus Gold model as a minimum viable product (MVP) three times in 18 months to reach a viable product-market (PMF) fit and win consumer trust. The founders are unfazed by the number of pivots, saying it is the way to build a solid business foundation. Even after spending three years in the hustle, startups may not reach PMF or launch an effective go-to-market strategy because they have not pivoted in time. 

But finding the right PMF at the right time was only the first step. There were challenges galore, and they needed to bring together consumers, capital and brand-building efforts to build a gold-savings ecosystem.

Coping with the lack of consumer confidence: Initially, people were cautious about an app developed for homemakers to save their money and invest in their choice of jewellery. According to the founders, the annual market for gold savings could be as big as INR 1 Lakh Cr in India. However, the trust factor wilted after several retailers either collapsed or wilfully shut down their businesses to scam customers in the absence of stringent regulations and standardised ROI across gold savings schemes. 

The platform demystified the gold-buying process to change the old order and devised quality checks required for big-ticket purchases. These include physical visits to outlets, analysing customer feedback, verifying company-level information and more. Plus Gold says it only partners with brands that can provide adequate data so that vetting can be done to optimise credibility and customer satisfaction.   

Building a trustworthy network fast: The startup is part of several jewellers’ associations and federations, helping it build a robust network of trust. Most new jewellers come on board based on the recommendations from existing jeweller partners or customers. The fintech has set up pan-India teams and claims to partner with a new jeweller every four hours.

“Our goal is to build and empower a 10 Mn-strong user community underpinned by a validated business model, a network of trusted jewellers and diversified revenue channels for long-term success. This ecosystem will continue to expand significantly over time,” the founders said.

Gaining value beyond funding from industry stalwarts like VCats: No surprises there when the fintech startup faced a capital crunch in the early days, given the global funding freeze and the aftermath of the Covid-19 pandemic, a worldwide health crisis significantly stalling business growth. However, Parakh and Mishra had valuable experience as entrepreneurs, and friends and former colleagues who were confident about their capabilities came to the rescue. 

A chance encounter with a mutual connection also helped them raise INR 1 Cr from Venture Catalysts, an integrated incubator/accelerator helping build the startup ecosystem. Since 2016, VCats has backed more than 110 startups across sectors.

“Its trust in our vision, the strategic guidance it provided and its industry connections have been the driving force behind our rapid scaling. VCats’ support goes far beyond the quantifiable and focusses on intangibles essential for business success,” said Parakh.

When asked about funding now that investor confidence is up, the duo sounded cautious. “Given the current market landscape, we are not building Plus with a dependency on funding. But we are open to good deals that can accelerate our impact across India.”  

Driving brand awareness: Plus Gold primarily relies on digital marketing to acquire users, but since its appearance on Shark Tank (Season 3), it has seen a surge in brand awareness. The startup is now revisiting and reworking its primary (digital) and secondary (offline channels including events) channels for customer acquisition.

“We raised smart capital to create our mote in our target industry. We stayed lean, went back to the market every quarter and failed fast [read pivoted] to build a robust model, thus increasing the chances of our success,” said Parakh. 

Will Plus Gold Bring The Sheen Back To Gold Savings?

Historically, gold is considered a valuable asset class due to its liquidity and effectiveness in hedging against inflation and deflation. However, the physical form of this commodity, especially jewellery, holds more sentimental and social value than it does as a hard-core investment option. This scenario has changed with the rise of new capital market investment products like digital gold, sovereign gold bonds, and physical gold-backed exchange-traded funds (ETFs).

The global ‘gold rush’ receded slightly in recent years for two reasons. First, it had a low annualised return of 5% or so from 1974 through to 2022. Second, the Federal Reserve (the Fed) hiked interest rates on fixed-income instruments, making them more attractive. 

But the bullion market made a strong comeback, racing to INR 67K/10g in March 2024. It may accelerate further based on geopolitical conflicts, a weakening dollar and falling interest rates on fixed-income investments at home. More importantly, the rising value of the yellow metal has sent central banks and hedge funds scurrying after the asset class once again. According to the WGC, central banks worldwide purchased a record 1081.9 tonnes of gold in 2022 and 1037.4 tonnes in 2023.

The gold rally indicates that the new crop of gold savings startups, such as Plus Gold, Jar, Siply and more, are bound to attract retail customers looking for bumper returns. 

But what sets Plus Gold apart is the unique convenience of buying digital and physical gold via affordable EMIs. This not only ensures hassle-free transactions and high liquidity but also protects and increases a consumer’s portfolio value and provides access to a diverse marketplace.  

In contrast, investing through legacy banks/FIs can be cumbersome. It requires a lump sum down payment equivalent to the gold value, has stringent upper limits and long lock-in periods (a minimum of five years). Moreover, returns are pretty low, an annual interest rate of 2.5% in case of sovereign gold bonds issued by the RBI. 

Private jewellers offer EMI-based gold-buying schemes, but these also lack flexibility. One can only buy from a specific jeweller instead of browsing through a varied marketplace and may have to pay exorbitant prices. Also, missing a single EMI may lead to the forfeiture of the benefits accrued.

According to investment professionals, a high-value commodity like gold needs staggered buying to avoid short-term volatility. Gold gains can only boom when buyers have the much-needed flexibility to choose their timing and price. Otherwise, it will invariably turn into a lead weight in one’s portfolio. 

Plus Gold and its ilk are offering small-time gold investors that rare opportunity to choose their product, price and pace. Hence, it should be a win-win for the gold savings fintech, its users and jeweller partners in the long run.

The post Fintech Startup Plus Gold Brings A New Shine To Gold Savings Schemes Across Bharat, Strikes 400% MoM Growth appeared first on Inc42 Media.

India is home to 720 Mn consumers residing in 6.9 Lakh villages and the country’s population will remain dominantly rural until 2050, per a NITI Aayog study. Nevertheless, a paradigm shift is happening in rural India due to an economic and societal transformation driven by access to better infrastructure, elevated education levels and a surge in rural income. 

With the rural population growing increasingly internet-savvy – as many as 352 Mn active users among the country’s 646 Mn – there will be ample headroom for the growth of the digital economy across Bharat. In essence, it is projected to usher in the next billion aspirational consumers who can leverage technology to connect with improved and inclusive products and services crucial for an Atmanirbhar Bharat.

But this is easier said than done as the entrepreneur couple Vamsi Udayagiri and Hema Nandiraju soon found out. Even today, the rural internet is largely used for entertainment, communication and social media networking, but Bharat has a long way to go to catch up with essential financial services like digital payments, savings and lending, B2B marketplace integration, insurtech or even online shopping. According to the Nielsen report, just about 12% of rural users with the internet access opt for online shopping compared to 22% in urban India. The reason: Rural India still seeks the traditional ‘human’ touch in all fields, be it farming, business or buying everyday essentials.

Udayagiri, a Mechanical Engineer and Supply Chain Professional, was aware how a ‘phygital’ worked effectively for Bharat due to his exposure to technology and supply chain for nearly two decades. He launched a supply chain-based IT venture called Riddles ‘n’ Clues in 2000 (sold in 2006), followed by a stint with storied brands like Ramco, Gillette, PepsiCo and Ray-Ban as a supply chain professional. His second venture, Rural Yellow, came in 2012, and wife Nandiraju also joined the cause. 

Upon recognizing the unique challenges associated with working in rural settings, the duo concluded that a phygital approach, which seamlessly combines physical and digital elements, would be the most sustainable solution for covering the entire value chain of rural commerce. To make this endeavour successful, Hesa has left no stone unturned as now they have trained and introduced more than 35K Hesaathis or village-level entrepreneurs (VLEs) with over 14k+ women HeSaathis and have 8 lakh families regularly buying from them and selling their agri-inputs. This has led to consumers getting cheaper rates and improved access to products and services. 

Hesa’s solid backend tech efficiently manages the challenge of establishing a supply chain network in Rural areas. Overall, the aim is to develop a comprehensive rural commerce and  ruraltech super-app, by integrating digital, social and physical elements to connect the rural ecosystem and mainstream markets for win-win outcomes and empower rural entrepreneurs. 

For instance, Hesa has partnered with agri platforms such as Dehaat BigHaat, Ninjacart and Samunnati to provide market linkages to local farmers/FPOs and enable agri loans. It also offers agricultural inputs from top brands like Bayer, Coromandel and Mahindra and provides advisory services to help farmers make informed decisions.

Hesa has established a robust portfolio of strategic partnerships that span a diverse array of industries, including AgriTech, FinTech, and FMCD, among others. This impressive network includes prominent names like Himalaya, P&G, HUL, Mahindra & Mahindra, TTK Prestige, GoDigit, Crompton, HDFC Life, and Airtel Payments Bank. By leveraging these relationships, Hesa effectively extends its innovative rural commerce across India, enhancing accessibility and empowering rural communities with essential products and services. Each partnership is a testament to Hesa’s commitment to driving rural development and expanding economic opportunities in underrepresented markets.

Hesa enhances the value chain by helping farmers and SHGs improve their products and increase income through collaborations with innovative startups and organisations, fostering rural entrepreneurship.

Apart from piloting lending services, it plans to enter savings (FDs) and insurance verticals by next year.  Earlier, it offered a bunch of basic financial services, including Aadhaar-enabled payment services (AePS), direct money transfer (DMT), bill paying and more. 

However, its biggest business is assisted buying and selling, covering agri inputs, daily essentials, a vast selection of consumer goods, including FMCG products, essentials, groceries and household items. Customers can order online, via Hesa’s App, or offline, through Hesaathis, the company’s call centres/helplines, at community events or other gathering points. It also does last-mile distribution to ensure customer convenience (more on its operations later). Today Hesa is present in 1 lakh many villages and has helped 14000 women with generating their own income through value intervention.

Hesa’s revenue comes from multiple channels, including transaction fees (for financial services), ecommerce markups, ad revenues and promoting partner brands which cater to rural consumers and widen the reach of rural entrepreneurs by helping them sell in urban markets.  

Currently, it has a customer base of more than 10 lakh customers in 5 states, and claims a 73% customer retention rate.

How Hesa Runs Rural Commerce Powered By Hesaathis & Techvantages 

Udayagiri, who hails from a village near Vizianagaram in Andhra Pradesh, firmly believes in the potential of rural economies and the benefits of a seamless Bharat-India connection. He and his wife also visited around 4K villages before setting up their second venture and eventually launching the one-stop aggregator service for rural India. However, there were challenges galore and the duo had to find relevant solutions..

The trust factor and hand-holding: Setting up an advanced rural commerce company for seamless transactions and quick access to products and services was mandatory. But physical networks of local consultants were equally important to convince and acquire rural consumers who depended on trust, credibility and personal recommendations before making decisions. Plus, they are price-sensitive, value-conscious and bet big on locally sourced/traditional products due to limited access to information and technology. Moreover, people often plan big-ticket shopping based on agricultural cycles (when the crop is sold, money flows in) and cash is still king in rural markets   

Keeping these in mind, trained VLEs operating as Hesaathis promote Hesa’s offerings within their communities through community events, word-of-mouth and door-to-door marketing. They also browse, search and purchase products directly from the Hesa app after a thorough review of product features and customer feedback. 

Hesaathis, serving as vital community facilitators, typically earn between 5,000 to 15,000 INR monthly through their efforts, with exceptional performers achieving earnings upward of 100,000 INR in peak months, reflecting the scalability of their entrepreneurial endeavours within HESA’s ecosystem.

Hesa also collaborates with local influencers, community leaders and local organisations/NGOs to enhance customer engagement. Loyalty programmes are implemented and incentives are provided to encourage repeat purchases and brand loyalty.

Hesaathi positions are open to individuals with local knowledge, communication skills and an entrepreneurial mindset. They are primarily farmers, small business owners and community leaders, of which 40% are women. Training is paramount here as trained farmers distribute agricultural inputs and provide customised recommendations based on local soil conditions and crop requirements, helping buyers make informed purchasing decisions. Those working as Hesaathis receive necessary resources (product samples, marketing materials and more) and extensive support (on-site, helpdesk services and remote troubleshooting) from the business to address issues promptly and minimise disruptions. The startup also recognises and rewards top performers.

End-to-end order management and robust supply chain: The Hesa app enables end-to-end order management, including order placement, digital payments integration, status monitoring, real-time order updates and customer relationship management (CRM). Additionally, it features an inventory management system, analytics dashboards and a tool for report generation.

Hesa optimises inventories by analysing historical sales data, seasonal trends and consumer preferences, as well as real-time inventory tracking. It has partnered with brands, wholesalers and logistics companies to ensure an uninterrupted supply chain and maintains buffer and safety stocks at the grassroots level. Feedback regarding product preferences, stock availability and demand patterns is also collected from shoppers and Hesaathis.

Coping with infra, offline and online: Businesses in rural India are poised for exponential growth if connectivity improves, but transportation, power and internet penetration still have challenges. Hesa addresses these operational challenges by optimising logistics routes and partnering with local service providers to bridge infrastructure gaps. Its tech solutions are simple, scalable and data-driven, so Hesaathis can improve business processes and expand operations based on user needs and business requirements.

Hesa’s USP: Empowering Rural Communities, Village Entrepreneurs & Big Brands

From Commerce and trade services to e-finance and agritech, Hesa has embraced an inclusive approach to serve the entire rural value chain, unlike other rural tech startups which cater to specific segments. As a result, the company and its ubiquitous Hesaathis are empowering at least three distinctive segments – rural communities (including farmers), village-level entrepreneurs and microenterprises and partner brands keen to cater to the next billion Bharat customers. Here is a quick look at how Hesa’s involvement and impact could result in better benefits.

Consider this. In a Hesa-powered village, people can buy or sell various products, pay utility bills, raise loans, invest in financial products, or purchase insurance without visiting a bank or FI. All it requires is visiting a Hesaathi/local VLE who logs in to the Hesa platform and does the transaction for the customer.

But there’s more on the earning side than the itinerant selling of village goods or the transactions involving agricultural produce. No doubt that’s a plus for small farmers in remote areas unable to sell at a fair price. However, Hesa’s growing association with local projects and its fast-expanding Hesaathi network have helped many VLEs start their businesses and earn big profits.

Here’s a few case in point of Hesa’s Value Intervention 

In 2022, The Basulimata women’s self-help group from Balasore district in Odisha partnered with the platform to set up a cold-pressed oil unit. The SHG now distributes its Basulimata Oil through Hesa’s network, clocking a 40% rise in average monthly income. Again, Sarojana, an entrepreneur from Warangal in Telangana, became a Hesaathi and later set up a unit that makes cold-pressed oil, spices and rice flour. The business has created job opportunities for other women and the products are distributed through the Hesaathi network.

Narasimha, a local kirana shop owner; Krishna, a cocoon farmer, and thousands like them have joined the Hesaathi network to earn a decent living.

Hesa also helps big consumer brands cement their presence in rural areas through BTL campaigns and brand promotion and distribution through its network of Hesaathis. It provides logistics and supply chain support and offers data analytics and insights into consumer behaviour, market trends and competition. The startup has partnered with industry behemoths such as P&G, Hindustan Unilever, ITC, Wipro Consumer Care, Himalaya, Nimson, Sleepwell and more to drive sales and satisfy a rising class of conspicuous consumers. At least a part of rural India is changing, given this crowded brand foray.

Can Rural Commerce Make Hay? 

There are a couple of critical questions that will likely plague Hesa’s business core. Is something special happening in rural India, a ‘wealthgain’ of sorts, and is an aspirational volcano waiting to erupt? Or will rural India only witness incremental changes on the fringes, with ecommerce and ecosystem building remaining an urban phenomenon?

The founders acknowledge multiple hurdles regarding seamless connectivity (online and offline), hassle-free digital transactions, and after-sales services, which often lead to long waiting periods. Also, rural consumers need to travel long distances for product repairs/servicing, which is inconvenient and expensive. 

Additionally, rural markets are still price-sensitive, and popular brands may not go all out to acquire customers at once. Moreover, there is not much quantifiable data to determine if assisted marketing and two-way commerce are ushering in significant development.

The new crop of startups, including Hesa, Mall91, Rozana, and ElasticRun, want to implement change at scale, and Udayagiri is confident that a two-pronged approach at the private and public levels will accelerate growth.

“Government initiatives promoting rural development and boosting agriculture create an enabling environment for rural commerce. Policies focussing on financial inclusion, skill development and infrastructural boost are also expected to support the growth of rural businesses,” he said.

Industry projections further indicate that by 2030, India’s rural per capita consumption is expected to soar 4.3 times, outpacing the 3.5x growth projected for urban areas.

Given the projected rise in rural income (and consumption), it is not surprising that Hesa has ambitious plans for the next two to three years, starting with a bigger funding round in H2 2024. It will also enter new markets, grow its customer base with help from more Hesaathis, increase its product range and upgrade its technology, including AI-related solutions, for better outcomes.  

Hesa raised funding twice from Venture Catalysts (VCats) – INR 15 Cr in a seed round and INR 18 Cr in the Pre-Series A – besides raising funds from a clutch of investors, such as Unicorns, IP Ventures, Keiretsu Forum, We Founder Circle and Faad network.

The funding played a crucial role in helping Hesa build its business strategy through collaborative discussions and strategic planning sessions. With help from VCats and access to valuable connections within its extended network, Hesa could scale up its operations, identify new growth opportunities, forge strategic partnerships and spend more on product development. 

“It enhanced our reach and visibility, positioning the company for long-term success and impact,” the founder said.

“Hesa will continue to forge strategic partnerships and collaborations with key stakeholders, including consumer brands, financial institutions, government agencies and NGOs to help empower rural entrepreneurship and foster economic development to better serve the evolving needs of rural communities. These measures align with our goal to provide a comprehensive suite of solutions for rural commerce,” the founders said.

As most of us are aware, multiple Indias have existed in this country of nearly 7 Lakh villages (6.5 lakh, as per the 2011 census), with abundance and non-development existing side by side. As per NCAER data, just 17% of the villages account for 50% of the rural population and 60% of the rural wealth, leaving a vast population outside the development domain. Can Hesa and its ilk bring a transformative change across the ecosystem so that a stronger rural India emerges soon?    

The post How Hesa Is Transforming Rural Commerce, Catering To Village Entrepreneurs And 10 Lakh+ Aspirational Families appeared first on Inc42 Media.

Axis Bank has extended a loan of INR 100 Cr ($12.1 Mn) to Everest Fleet for four years along with GuarantCo, a local-currency credit solution company, part of the Private Infrastructure Development Group (PIDG) as its guarantor. 

Founded in 2016 by Siddharth Ladsariya, Everest Fleet will utilise the funds to add more electric vehicles (EVs) to its fleet. As a part of this transaction, GuarantCo has given its guarantee for two-thirds of the loan credited from Axis Bank to Everest Fleet.

Expressing his views on the partnership, Rajiv Anand, deputy managing director, Axis Bank said, “Axis Bank is committed to driving the e-mobility revolution in India. By collaborating with GuarantCo, we aim to empower companies that are working towards fostering sustainable transportation solutions to combat climate change.” 

He added that through this blended finance transaction, Axis Bank has supported a service model and mobilised development capital. 

“We are consistently striving not only to encourage communities to adopt electric vehicles, but also catalysing progress towards a greener, cleaner future for all, echoing our commitment to the UN Sustainable Development Goals,” said Anand. 

Everest Fleet’s Growth Journey

Ladsariya launched Everest Fleet in Mumbai in October 2016 with a clear mission: To transform the transportation landscape. He began the fleet management startup with just two cars and has achieved tremendous growth since then.

Today, Everest Fleet is a critical vendor for Uber, providing essential transportation services through its vehicle fleet. Ladsariya stated that Everest Fleet, as Uber’s largest fleet partner in India and one of the top three globally, plays a vital role in ensuring reliable and efficient mobility solutions for Uber’s customers.

In June 2023, Uber invested $20 Mn in Everest Fleet to accelerate its transition from a CNG-dominated company to one with a mix of CNG and electric vehicles in the next five years. Everest Fleet aims to have 10,000 electric vehicles by 2026 as part of its overall fleet, Ladsariya added.

Currently, Everest Fleet operates a fleet of 16,500 green fuel vehicles (15,000 CNG and 1,500 electric) alongside 19 refrigerated vans for delivering perishable items across Mumbai, Delhi, Bengaluru, Hyderabad, Chennai, Kolkata and Pune.

For FY24,  Ladsariya claimed his startup achieved a revenue of INR 1,050 Cr, close to a 2.25x increase from FY23’s INR 469 Cr in revenue. The company generates revenue by providing transportation services facilitated by aggregator platforms, earning compensation for each trip completed by its vehicle

Strategic Expansion Powers Growth

“From the outset, Everest Fleet prioritised unit economics, ensuring profitability from day one. Even as market dynamics shifted and incentives evolved, our robust operational model and economies of scale allowed for continued growth and resilience,” said Ladsariya.

However, for a mobility-focused startup, the pandemic-induced lockdown dealt a significant blow to the business model. Nevertheless, Everest Fleet adapted well to operate during the lockdown. It provided cars for employee transport and launched a microsite to facilitate point-to-point bookings for transporting essential personnel across the city.

This agility helped it stay on top of the challenges and navigate them effectively. As a result, the startup has been EBITDA positive for the past two years, its founder revealed.

How Axis Bank & GuarantCo Are Powering The EV Industry 

This is not the first time Axis Bank and GuarantCo have collaborated to disburse loans for India’s greener future. In December 2023, Axis Bank, in association with GuarantCo, provided a three-year loan of $30 Mn to Vivriti Capital, an enterprise-debt startup based in Chennai.

The purpose was to facilitate the expansion of Vivriti Capital’s portfolio by enabling it to provide loans to companies within the e-mobility sector in India. For this transaction, GuarantCo acted as a guarantor, offering a 50% on-demand credit guarantee to Axis Bank.

“We are delighted to have closed the transaction with Everest Fleet under the framework guarantee agreement signed with Axis Bank in May 2022. This is the second transaction closed under this agreement, following Vivriti Capital. It is expected to have a transformative market effect, and we hope it will help catalyse the deployment of more EVs by green ride-hailing companies in India,” said Layth Al-Falaki, CEO of GuarantCo.

Al-Falaki added, “We will continue to utilise the climate mitigation guarantee with Axis Bank to further develop the e-mobility ecosystem in India and deliver our climate action goals aligned with the PIDG 2030 strategy.” 

The loan is part of a framework guarantee agreement between GuarantCo and Axis Bank that was signed in May 2022. This agreement set aside $200 Mn to finance projects in India’s EV industry and accelerate the e-mobility ecosystem. 

GuarantCo first announced its intention to support climate action in India and Vietnam during COP 26 in Glasgow. This was also mentioned by the UK PM as part of the UK Clean and Green Initiative.

Can India Reach 30% EV Adoption Target?

Everest Fleet’s current operations involve a fleet of 16,500 CNG+EVs across India, with plans to scale this to 35,000 by 2026. Recognising the potential in both the startup and the EV sector, Axis Bank played a strategic role as it structured an alternative long-term financing solution specifically designed to help Everest Fleet achieve a six-fold increase in its EV fleet by 2026.

Specialised loans, as a form of alternative financing solutions, are crucial for the growth of EV startups. With the government aiming for 30% EV adoption by 2030, NBFCs and traditional banks are increasing their financial support in this sector.

The focus on a cleaner environment makes perfect sense when considering the projected growth of the EV market, which is expected to surge from $3.21 Bn in 2022 to $114 Bn by 2029, according to a Fortune Business Insights report.

The report further states that rising fuel prices in India are likely to drive demand for electric vehicles. Consumers are seeking alternatives with lower operating costs compared to traditional fossil fuel-powered vehicles.

Additionally, government initiatives to combat climate change, such as emission control regulations and mandatory scrapping of old vehicles, are incentivizing the adoption of EVs.

Axis Bank, one of the largest Indian private banks, reiterated its commitment to supporting new-age businesses. It offers a comprehensive suite of solutions, including private banking, investment banking for funding and regulatory guidance, traditional financing, API-backed cash management and digital partnerships.

Now, with the fresh funding, approximately 1,000 drivers are expected to benefit, said Ladsariya.”Everest Fleet draws inspiration from the unwavering commitment and instrumental support provided by GuarantCo. We would like to thank Axis Bank for their support in forming this long-term partnership with us, right from the ideation and structuring to executing the transaction on time. This transaction signifies a collective commitment to reducing emissions, fostering innovation, and pioneering positive change in the Indian mobility sector,” said Ladsariya.

“Furthermore, this move aligns with the United Nations’ Sustainable Development Goals (SDGs), specifically SDG 11.2 (providing safe, affordable, accessible and sustainable transport systems for everyone) as well as SDG 11.6 (reduce the adverse per capita environmental impact of cities) and SDG 13 (take urgent action to combat climate change and its impacts),” said Anand.

The post Axis Bank Backs Everest Fleet With INR 100 Cr Loan To Accelerate Electric Mobility In India appeared first on Inc42 Media.

Cracking the direct-to-consumer (D2C) market in India is challenging, as many founders are bound to vouch. Experts indicate two major pitfalls in this space: Low gross margin and high customer acquisition cost. However, a recent PYMNTS report has delved deeper and said that the success of D2C brands hinges on customer trust. As soon as an order is placed, D2C shoppers expect the entire fulfilment process – from checkout to order processing, packaging, careful handling of goods and timely delivery – to run like clockwork.

Clearly, it takes more than a great product to win the race. With more than 60K live stores (just on Shopify) in India vying for attention, customers are spoilt for choice and the competition is intense. More often than not, D2C players are pitted against omnichannel legacy brands and deep-pocketed marketplaces that never fail to provide a smooth digital shopping experience, robust customer support, and most importantly, fast and flawless deliveries. 

In fact, 96% of global customers think ‘fast delivery’ is equivalent to same-day delivery, a report by Invesp suggests. Similar delivery standards are now expected of homegrown D2C brands in post-Covid India, even though many of these businesses are resource-strapped in the wake of a global funding freeze.           

The importance of swift deliveries became evident to Madhav Kasturia, the founder of the multi-brand cloud kitchen startup Beijing Street during the 2020 Covid-19 lockdown when he was immobilised due to an injury. “Despite being in Delhi, the ‘capital city’ and a metropolitan hub, most of my ecommerce orders took five to eight days to arrive, leaving me waiting desperately for urgent supplies,” he noted.

Of course, many would blame it on the supply chain breakdown and a long queue of online orders at the time. Nevertheless, quick-commerce apps like Zepto and Blinkit were already on the roll by that time, ensuring that groceries and essentials reached consumers as soon as possible. The only glitch, said Kasturia, was that most new-age D2C players could not list themselves on the 10-minute delivery platforms easily due to cost constraints and a lack of bargaining power, which ended up benefiting only a select few FMCG giants and category-leading brands. 

That was why he came up with the concept of Zippee in the thick of the pandemic and introduced a full-stack fulfilment platform with the focus on logistics. It powers same-day delivery for D2C brands through its network of 150 dark stores and last-mile delivery fleet (more on its operations later).

It only takes a few clicks to integrate the platform’s tech stack with a brand’s existing online store for complete visibility into fulfilment and logistics operations. Zippee’s centralised dashboard allows brands to track all aspects of their operations, from order confirmations to live tracking of deliveries.

Better still, it offers plug-and-play integrations with major ecommerce website builders (Shopify, WooCommerce, Magento and more) and marketplaces (Amazon Self Ship and Seller Flex, Easyship, Flipkart-Myntra, AJIO) for a unified experience, enabling D2C brands to sync orders, catalogues and inventories with Zippee without any hassle.

Operating across 1K pin codes in 10 cities and 9 states, Zippee claims to have served more than 120 D2C brands. 

Unlike larger courier players that offer instant signup to brands, Zippee prioritises a curated experience. It operates on a waitlist  to optimise demand and ensure a seamless post-purchase experience for the brands’ customers. This also allows it to maximise sales and customer loyalty for brands and fulfil the promise of swift, same-day deliveries.

According to Kasturia, it helps brands improve conversion rates & RTOs (return to origin) by up-to 95% as delivery TAT (turn around time) reduces from three to ten days to three to 10 hours. 

It also claims an average of 1.25 Lakh shipments every month and works with prominent brands such as Lenskart, Epigamia, Clinikally, Frido, Mondelez, Masterchow, Supertails and more. The platform charges a fixed cost per order based on weight slabs and is targeting INR 50 Cr in annual run rate (ARR) in the current financial year, eyeing nearly 3.5x year-over-year growth.

The startup has ambitious plans to extend its reach to 10 more cities in 2024, as Kasturia believes that same-day delivery will be pertinent to the growth of ecommerce brands, and this is achievable with a robust tech and supply chain infrastructure to support demand. 

How Zippee Overcame 4 Key Hurdles To Crack Same-Day Delivery For D2C Brands 

Initially, Zippee faced the typical challenges, just like other early-stage startups. Kasturia pinpointed these as demand, supply (read delivery), capital and competence, adding that these four crucial components could make or break any business. But it overcame the initial hiccups thanks to an experienced leadership team with experience in product, operations and growth at companies like Reliance Retail, Tracelink, Zomato and Retention Science.

Aiming to generate demand at scale, Zippee decided to tap into a persistent performance gap plaguing D2C brands, especially those selling non-perishable goods. Most companies witnessed conversion drop offs and non-delivery reports (NDR) pile up as well as  RTO rates skyrocket due to long delivery periods or substantial delays. The platform’s upfront, transparent charges and short turnaround time attracted eager D2Cs keen to push their online sales without paying hefty marketplace fees and commissions. Zippee also leverages its partnerships with ecommerce enablers and investors to  open up  access to their portfolio brands. 

The founder says the startup still relies heavily on word-of-mouth marketing to attract leads and minimise its marketing expenditure. “While our sales team helps create brand awareness, we firmly believe in word-of-mouth as it underscores one’s core competencies and operational excellence. Interestingly, a lot of D2C founders end up joining the waitlist, after being intrigued with our service with a competitor,” he added.

However, the supply part — having the required capacity to manage deliveries within committed timeframes — was more challenging. The startup gradually gained momentum, putting its own fleet in place and scaling its operations strategically.

“Many last-mile delivery companies have tried to offer customers same-day and next-day deliveries (SDD/NDD). But most skip the order processing time in their calculations, as they simply pick up pre-packed items from warehouses,” explained Kasturia.  

In contrast, Zippee handles the entire order fulfilment process, gaining greater control over delivery span and customer experience.

The platform admits its pricing is higher than market but its customer brands understand that good things are bound to cost more. 

“Our model will only scale if brands see a tangible return on investment (ROI) and this approach is working out well for both sides. More importantly, it always keeps us grounded and laser focussed to continue solving the most-pressing ecommerce pain points,” said Angad Singh, founding member at Zippee.

While the startup’s cash burn rate has dropped since its launch, revenue has grown exponentially. But that is just one way of controlling excessive capital outflow.  

As Zippee scales up, cost optimisation will also occur from increasing order density within specific zones. Simply put, each rider will be able to deliver more orders per route when the order volume increases. This will not only reduce operational expenditures and boost earnings but also unlock competence at individual and company levels.

In June 2023, the startup announced raising $1.6 Mn from consumer giant Haldiram’s and a clutch of marquee angels such as Kunal Shah (CRED), Peyush Bansal (Lenskart), Ashneer Grover (Bharatpe), Prashant Pitti (easemytrip), Aakash Anand (Bella Vita Organics), Arjun Vaidya (V3 Ventures) and Raj Shamani (House of X) to scale up hiring, further build its tech infrastructure, and expand its physical footprint.

That the platform boasts many prominent D2C customers is another proof of its competent services and robust reliability. 

According to Kasturia, a right mix of people and continuous improvement in its playbook helped it deliver. “We will reach an operational breakeven in newer markets in less than four months as we have constantly worked to strengthen our launch strategy by infusing more automation across the value chain.” 

Inside Zippee’s Innovative Dark Stores, Advanced Tech Features

Dark stores are Zippee’s niche, to say the least. 

It has turned the concept on its head and is using them as storage-cum-fulfilment centres exclusively for D2C brands. These are fully equipped with advanced systems, including cloud-based inventory management, packaging services, last-mile delivery and reverse logistics support. The secret sauce lies in integrating these units with D2C websites for operational sync and enabling brands to offer same-day delivery in major Indian cities backed by this network of dark stores. 

“Think of a Zippee dark store as a mini warehouse, but strategically located in densely populated urban areas (rather than outskirts) to enable quick delivery to customers.,” explained Kasturia.

According to industry experts, setting up dark stores instead of full-fledged warehouses also ensures cost advantages. These smaller spaces, usually between 2K and 5K sq. ft., are mostly repurposed industrial units that have long been defunct. This results in lower rentals, which benefits emerging players like Zippee to navigate the competitive landscape and cope with the rising costs of warehousing.

The startup also offers a number of tech features to enhance customer experience and address ecommerce pain points. Its WhatsApp tool allows consumers to monitor their order statuses in real time helping brands improve WISMO (where-is-my-order)  rates and reduce RTOs. Then there is a COD (cash on delivery) verification system that prompts customers to reconfirm their orders before dispatch, thus reducing logistics costs . 

Can Zippee Conquer Cost & Competition Amid A Q-Commerce-Like Disruption? 

Exactly a decade ago, McKinsey made a bold prediction about same-day delivery, foreseeing it as the next evolutionary step in parcel logistics. Now that it is happening, all stakeholders, from multichannel retailers to logistics players and digital-first customers, may witness a q-commerce-like transformation in mainstream logistics.

According to Inc42 data, the Indian ecommerce industry is expected to surpass $400 Bn by 2030, growing at a CAGR of 19%, reflecting a significant shift towards online shopping— driven by growing internet penetration & income levels.

But in spite of consumer readiness and the market picking up, this growing trend in D2C and the larger ecommerce delivery space will not be without its share of challenges.  

Kasturia acknowledges the hurdles in managing same-day delivery and establishing dark store networks across India, citing these as significant entry barriers. Small and niche logistics players also face competition from incumbents like Delhivery and XpressBees which possess ample capabilities in advanced tech, warehousing and middle-to-last-mile deliveries. 

The presence of Amazon and the re-entry of ecommerce giants like Flipkart in this space do not bring good tidings, either. In January 2024, the Walmart-owned ecommerce major said it would roll out same-day delivery services across multiple categories in 20 cities. Kasturia says he sees such announcements as validation of what he foresaw two years ago. This, he highlights, will act as a force multiplier for brands to level up on their own delivery experience, further expanding the market. 

Zippee and its ilk are at a crossroads, and investors are taking note of this new trend. The $3 Mn funding secured by Blitz in July 2023 (it has a similar model) is a testament to investor confidence and signals an exciting future for these logistics disruptors. 

Zippee has a strategic vision and aims to carve a niche in the D2C ecosystem by offering an all-in-one solution for logistics and other components of order fulfilment.. Such an approach is bound to be attractive for D2C brands that can redefine customer experience and embody the true spirit of direct-to-consumer sales. And online shoppers are going to love it.

The post How Ecommerce Fulfilment Startup Zippee Is Empowering D2C Brands With Same-Day Delivery appeared first on Inc42 Media.

In a country like India, where affordable, universal healthcare run by government agencies remains a work in progress, most people rely on private healthcare facilities. In fact, more than 70% of the country’s hospitals are privately owned and nearly 85% are in the unorganised sector. 

As patients prefer visiting corporate chains or quality healthcare providers in metros during health crises, large payers are steadily increasing their market share. Consequently, small and midsized hospitals in non-metro locations are grappling with a decline in patient footfall. On the other hand, those who cannot afford expensive private care are left to bear the brunt of healthcare disparities. For context, a report by the National Insurance Academy suggested that about 30% of India’s population (around 40 Cr individuals) lack health insurance. 

No doubt there are national and state-level health protection schemes for low-income families for secondary and tertiary care. But even a pan-India health assurance project like Ayushman Bharat with its HWCs (health and wellness centres) and flagship PM-JAY scheme (Pradhan Mantri Jan Arogya Yojana enables an annual spend of INR 5 Lakh per family) covered a little over 50% of its target beneficiaries as of December 2023.

However, a silver lining is there in the form of asset-light models. A new crop of healthtech startups such as Pristyn Care have come up to address structural and resource shortages. These innovative digital platforms connect patients with all available medical facilities in their own cities and nearby areas/regions to ensure maximum cost-effectiveness for patients and optimum occupancy rates at existing units. 

It is a win-win for all. People do not have to travel far for treatment at corporate hospitals at six to eight times the usual cost. Also, smaller medical units can earn bigger revenues due to a significant rise in patient footfall. Besides, the latter can keep their capex under control and still improve care quality by sharing high-end portable devices used by many speciality hospitals. Additionally, there will be headroom to operationalise beds at existing facilities and introduce more paramedics and other trained healthcare professionals to the ecosystem.                      

“I have always been vocal about the underutilisation of small and midsized hospitals and nursing homes,” said Dr Vaibhav Kapoor, cofounder of the unicorn healthtech startup Pristyn Care. 

“Covid-19 was a real eye-opener, underscoring what happens when we lack an agile healthcare infrastructure. The shortcomings became evident when every large hospital was full. However, in normal times, most small/midsized hospitals struggle daily due to low patient volume.”

Set up in 2018 by Dr Kapoor, Dr Garima Sawhney and Harsimarbir Singh, Pristyn Care had the foresight to recognise that improving capacity utilisation across could be a game-changer in terms of earnings and patient care.

The elective surgery service provider (non-emergency medical procedures planned ahead) provides patient care through a network of 350 hospitals and 100+ clinics. It is present in more than 30 cities including Delhi NCR, Mumbai, Bengaluru, Kochi, Chandigarh and  Ludhiana and ensures resource optimisation, resulting in affordable patient care.  

In a one-on-one interaction with Inc42, Kapoor explained how the startup is expanding its presence beyond metros to empower small and midsized hospitals by increasing patient footfall and revenue. Here are the edited excerpts:  

Inc42: What are the major challenges small hospitals, nursing homes and clinics in Tier II and III cities face nowadays?

Dr Vaibhav Kapoor: For context, it is worth noting that many doctors want to set up their medical practices after cornering professional success. So, it is common for groups of doctors to come together and run hospitals with 50-100 beds, which are much smaller than the large, branded hospital chains.

Now, these small, independent hospitals face numerous challenges. For instance, their capacity for high-end/advanced equipment is limited due to the costs involved, often ranging from lakhs to crores.

Another critical issue is adherence to protocols. Small and midsized hospitals often require a set curriculum to ensure that nurses are well-versed in duties for specific wards, operating theatres and patient admission procedures. In the absence of this procedure, there may be a lack of standardisation in implementing these protocols.

Finally, and this is particularly relevant for Tier II and III cities, these hospitals struggle to attract super-specialist doctors due to the limited availability of high-quality equipment. This, in turn, creates a lack of trust among patients and they hesitate to visit small hospitals.     

Inc42: How can small healthcare facilities in Tier II and III cities best address low patient footfall and occupancy rates?

Dr Vaibhav Kapoor: We have many doctors working with us, and we can request that they visit small hospitals and nursing homes to provide surgical care. When patients see a doctor who regularly operates at a large corporate hospital and acts as a visiting consultant at a small facility, their confidence is boosted.     

We also understand the challenges these hospitals face when investing in high-end equipment. Pristyn Care addresses this by purchasing the equipment. For instance, kidney stone removal can be done using traditional open surgery or a Laser procedure [Holmium laser]. However, the machine costs around INR 25 to 30 Lakhs. Similarly, Laser treatment for proctology is expensive, amounting to INR 1 to 1.5 Lakhs.

Fortunately, these machines are portable and can be shared between hospitals on demand. By operating in multiple hospitals in a region, we can optimise the use of these advanced instruments. Access to them further builds patient trust in small hospitals. 

Inc42: India’s Tier II and III cities also face a shortage of trained healthcare professionals. How does Pristyn Care deal with it through its training programmes? Has that initiative improved care quality?

Dr Vaibhav Kapoor: Pristyn Care’s quality control (QC) team is based in Gurugram and travels to our 350 partner hospitals and 100+ clinics across India to train healthcare professionals, including nurses and paramedics. These programmes focus on standardising protocols to ensure optimal patient care.

For example, the QC team updates staff on areas like OT equipment sterilisation and patient safety measures, such as fall prevention and allergy management protocols. We have trained more than 9K staff members across our partner facilities. Our training programmes include on-site sessions and virtual sessions for constant reference by hospital staff.

Essentially, we help hospitals in Tier II and III regions gain patient trust by standardising processes and providing staff training.

Inc42: How does your technology infrastructure ensure scalability and patient privacy as you expand your reach?

Dr Vaibhav Kapoor: Well, patient safety is paramount. During my decade-long career as a surgeon, I have seen numerous medical errors stemming from patients and pharmacists misinterpreting doctors’ handwriting, leading to wrong medications. 

We have proactively addressed this by introducing electronic medical records (EMRs) with the help of an AI-ML platform. EMR helps surgeons access patient data, review medical history and monitor how their patients are doing on all critical parameters. Within our distributed network across 30+ cities, this centralised system has significantly reduced patient-related errors. Typed prescriptions also mitigate misinterpretation risks.

We have also partnered with many insurance companies to offer medical insurance through our platform. Additionally, we have developed three apps to enable a seamless flow of information. These include a hospital app, a patient app and an insurance app. They ensure patient privacy and eliminate the need for information sharing via WhatsApp or over the phone. This streamlined process further enables speedy patient admission.

Inc42: With major healthcare chains foraying into Tier II and III cities, will small hospitals face unique challenges? How can they navigate those?

Dr Vaibhav Kapoor: Large healthcare chains may not pose a big threat to small players because the former typically focusses on tertiary and quaternary care [advanced levels of specialised care]. The capex associated with advanced equipment for such procedures is very high, and hospitals can only profit from complex surgeries like liver/kidney transplants and cardiac or brain surgery.

In contrast, small hospitals can excel in secondary care surgeries, which are typically two- to three-day procedures and require specific expertise. This focus on specialisation is precisely our strategy. For instance, patients may prefer a small maternity clinic to a large hospital where gynaecology is just one speciality. 

Therefore, we envision our partner hospitals to become centres of excellence for secondary care surgeries, carving a valuable niche in the healthcare landscape. 

Inc42: Can you elaborate on how Pristyn Care’s support system goes beyond patient footfall and delve deeper into how it empowers doctors to tackle day-to-day operational challenges. 

Dr Vaibhav Kapoor: I became a doctor because I felt committed to this profession. But the healthcare landscape has changed since then. Surgical expertise is just one aspect. Doctors now face many challenges, including setting up clinics, managing operations, building a digital presence and dealing with medico-legal risks.

Doctors gain confidence when they work with Pristyn Care, knowing that we handle patient footfall and ground operations. This comprehensive support system is valuable and has attracted nearly 600 doctors to our network – all through word of mouth, with minimal marketing expenditure on our part.

Inc42: Secondary-level critical care may involve longer hospital stays than elective surgeries. Do you think an asset-light model like Pristyn Care is fully equipped to cover those complex medical procedures?

Dr Vaibhav Kapoor: Absolutely! We started with elective surgeries, but now we are doing knee replacements and vascular surgeries – both classified as tertiary care. Our asset-light model can be applied across diverse medical needs if we can effectively deal with low patient footfall. 

Pristyn Care plays a critical role in generating revenue for its partner hospitals. For instance, we generate 60-70% of the income for around 30% of the hospitals. Overall, we help drive around 50% of the revenue for most midsized hospitals in our network. It enables them to make the most of their existing resources without hiring additional staff.

The post We Empower Tier II, III Hospitals With Resource Optimisation & Standardisation Across 30+ Cities: Pristyn Care’s Dr Vaibhav Kapoor appeared first on Inc42 Media.

The concept of wellness has undergone a shift in recent years with rising consumer awareness and people’s readiness to spend more to stay in control of their physical and mental well-being. According to a McKinsey study, today’s integrated wellness industry covers as many as six dimensions, including better health and nutrition, better sleep and mindfulness, better fitness and better appearance through sustainable beauty products and services.

However, these overarching divisions have one common component: A fast-growing class of dietary supplements or nutraceuticals containing healthful ingredients and claiming a host of health benefits, ranging from the prevention of critical illnesses to the control of chronic medical conditions.      

Also known as functional foods, the core idea behind nutraceuticals is based on the oft-quoted phrase ascribed to Hippocrates: Let food be thy medicine. Nutraceuticals are now in a class of their own, with more targeted health benefits, as experienced by siblings Palak and Pranav Midha.

They were worried about their parents’ declining health – their father was a pre-diabetic and battled chronic spondylitis and their mother suffered from an autoimmune disorder affecting her thyroid. The duo researched the root causes, found the nutrients that could help and soon saw nearly 40% recovery in their parents’ health without any prescription drug. Next, they helped around 30 of their close relatives and saw a lot of positive outcomes. 

Realising that many medical conditions could be prevented, controlled, or even reversed with targeted nutrition and lifestyle changes, the Midhas launched Miduty (formerly Palak Notes), a direct-to-consumer (D2C) nutraceutical brand that fosters health and well-being by combining the tenets of traditional ayurveda with modern science.

Unlike many nutraceutical brands, the FMHG (fast-moving health goods) startup focusses on three critical areas. First, it looks at the root cause of a medical condition instead of just addressing the symptoms. 

Second, it uses potent ingredients and optimises the absorption of multiple nutrients for maximum efficacy. In contrast, there are products with poor bioavailability where the absorption of active moieties (nutrient molecules) in the bloodstream remains relatively low. For example, the human body can only absorb around 10% of a 650 mg vitamin pill, which means less-than-adequate intake and a long healing period. To do away with such constraints, Miduty uses liposomes to encapsulate the essentials from stomach acids, thus increasing the absorption rate to 70-80% and ensuring better efficacy.

Third, despite selling standardised products, the startup has 50+ in-house health experts who provide personalised nutrition advice to help meet long-term wellness goals.

“We were the first nutraceutical company in India to offer free health consultations through certified health experts, free and personalised diet plans and free home workout sessions during the pandemic,” said CEO Pranav Midha.

Miduty’s motto is healing with science, and it makes a wide range of products covering proteins and vitamins, liver detox and gut health, PCOS and thyroid care, anti-ageing, weight and sugar control, sleep, brain and heart health, nerve and joint pain relief, immunity boosters and more. It is still bootstrapped but exports to the US, the UK and the UAE. It also claims a customer retention rate of 70% and is rapidly expanding its domestic footprint across metros and non-metros. 

The brand will add more categories in 2024 (sustainable skincare, followed by oral care), enter southern and eastern India markets  and offer free consultations on diet plans, workout routines and supplement intakes in malls and city centres to make people aware of health and wellness. 

The Road To Miduty From A Health & Fitness Journey 

Palak Midha, an engineering graduate in electronics and telecommunications with an MBA, originally hailed from Jalandhar and later moved to Germany with her spouse. However, she was determined to start her own business and became a certified supplement advisor before setting up Palak Notes in 2019. 

The platform developed and sold a variety of products, keeping in mind the nutrient intake and healing procedure. It started with variants of apple cider vinegar to increase nutrient absorption, added vitamin gummies for kids and vitamins A, D and K to meet nutritional deficiencies and finally came up with supplements for joint pain relief, thyroid care and other chronic conditions.

By then, Palak was well-known on social media for her health and fitness videos. Her brother Pranav joined the business in 2020 after finishing his studies in the US to lead the India operations.

Palak Notes underwent two critical changes before long. Its headquarters were shifted from Jalandhar to Gurugram and the startup was rebranded in August 2023 as Miduty (the underlying concept: My duty to my health). It was not merely a change of name but a leap forward to establish a credible nutraceutical brand for pan-India and global markets.

It has adopted a three-pronged strategy to build a lasting brand and thrive in a quality- and efficacy-driven nutraceutical ecosystem. Given the nature of their business, the Midhas have to explore and assess the latest trends and ingredients, educate and interact with people regularly and work on a viable pricing strategy, especially for non-metro markets, as product prices in the nutraceutical space are often on the higher side based on the raw materials and their procurement. A look at the brand’s top building blocks helps clarify how its top-notch dietary supplements aim to disrupt the segment.

Building an innovation edge: The pandemic may have exhausted people of prescription drugs. But those brutal years have driven a holistic approach towards health and wellness and a ‘back to the naturals’ mindset. As nutraceuticals play a pivotal role in restoring health ‘naturally’, the industry requires cutting-edge innovation to ensure adoption at scale. 

Miduty has partnered with two research labs to develop best-quality formulations and keeps track of the latest innovations, ingredient trends and product improvements, thanks to its founders’ close association with the Indian Association of Functional Medicine. For instance, it recently launched a supplement containing liposomal glutathione, a trending antioxidant that enhances cellular and cardiovascular health, strengthens immunity and helps with liver detox. 

Another focus area is its unique blending of ayurveda and modern science. The brand’s best-selling product, Liver Detox, combines a medicinal herb (milk thistle) and a lab-prepared antioxidant called N-acetyl cysteine (Nac) for best outcomes. More importantly, it makes multi-nutrient supplements and uses liposomal technology to maximise targeted health benefits.

It partners with doctors in Tier II and III locations to increase product awareness and is preparing for clinical trials so that doctors can prescribe certain product lines.           

Quality as the cornerstone of credibility: Miduty products are made in three manufacturing units, including a company-owned facility in Jaipur, where 19 of its best-selling nutraceuticals are developed. All its ingredients are procured from reliable sources (its KSM-66 ashwagandha root extract comes from Japan) and lab-tested by suppliers and contract manufacturers. 

It has also obtained ISO, FSSAI, GMP and US FDA certifications for supplement quality and safety. Post-production, a QC team checks samples for quality, texture, colour and taste, and a certificate of analysis (CoA) is obtained before a batch hits the market. Plus, it employs a third-party custom tool for data analytics and collects customer feedback for continuous improvement while its health experts provide nutritional advice and follow up with customers to review and adjust diet recommendations.

Gaining traction through customer engagement and martech tools: Although nutraceuticals are nothing new globally, making a foray into the Indian heartlands and growing sustainably would require better awareness and an aspirational audience. Therefore, Miduty talks extensively about health and wellness, workouts, diets and supplements on social media (mainly Facebook, Instagram and WhatsApp) with the help of videos, podcasts and other content formats to gain traction. To retain a healthy customer retention rate and grow its user base further, it uses cutting-edge marketing automation tools like BIK and leverages ChatGPT and Midjourney for campaign generation.

Miduty has also built Wonder Woman, a 30K-strong community on Facebook and WhatsApp for the women and by the women, for a concerted focus on physical health and mental well-being. The mission is to address their day-to-day concerns with advice from health experts and help women engage in relevant activities, including daily diet, healthy recipes, live workouts at home, progress tracking, and meditation and yoga tips. Besides, this programme promotes financial independence among women. While some group members work from home as the startup’s telecallers, small ventures run by women are also promoted in the community.

The brand claims its product efficacy and strong marketing have ensured an extraordinary customer retention rate, around 70% across metros and non-metros. Its sales and customer base saw 30% and 25% YoY growth, respectively, in FY23. 

It earns 50% of its revenue from website sales, 20% from online marketplaces and the rest from its IVR (Interactive Voice Response) model. Around 25% of its revenue comes from Tier II cities like Jaipur, Indore, Agra and Lucknow, and 60% from metros and Tier I locations like Delhi NCR, Mumbai, Bengaluru, Pune and more.              

Is India Ready For The Golden Age Of Nutraceuticals?

Globally, the nutraceuticals market is estimated to reach $658.1 Bn by 2028 from $352.9 Bn in 2021, growing at a CAGR of 9.3%. Interestingly, the Asia-Pacific sector led the sector in 2020 with a 37% market share, and India is not lagging either. 

According to the ministry of food processing industries, the dietary supplements market in India is likely to reach $10.2 Bn by 2026, clocking a 22% YoY growth rate since 2020, when it was valued at $3.9 Bn. In fact, the homegrown nutraceuticals industry accounts for 67% of the domestic market, beating the once pharma-dominated supplements space.

The escalating demand for nutraceuticals worldwide, driven by preventive healthcare and immunity enhancement, is good news for Miduty and its peers like Kapiva, Soulfuel, Wellbeing Nutrition and many more. Nevertheless, there are challenges galore to overcome in terms of R&D costs, rising technology expenditure, stringent regulatory compliance and margin-heavy retail formats.

“[Offline] retail could be a huge problem as 50-60% of the margin goes to physical stores, dragging down our profits,” said Pranav Midha.

The D2C model offers a viable solution, but brick-and-mortar retail still rules the country’s consumer market compared to digital-only shopping. Eventually, nutraceutical brands must opt for an omnichannel (online+offline) approach to drive pan-India sales.    

The other pain point is the price-conscious Indian market, although consumers today show greater willingness to invest in personalised diet plans, dietary supplements and workouts. The average cost of Miduty supplements is INR 1K, often considered a little expensive for buyers from Tier II and III markets. The founders are not too worried, though, believing that consumers from Bharat have the willingness and potential to purchase these supplements, provided they recognise how they can fulfil their health and wellness needs. 

However, the elephant in the room continues to worry D2C players as deep-pocketed FMCG and FMHG giants make strategic investments to foray into the fast-growing sector. FMCG behemoth Hindustan Lever bought out OZiva, a key player in this space, and acquired a 19.8% stake in Wellbeing Nutrition. The OZiva deal further entailed indirectly acquiring the wellness brand Zenherb Labs.

That does not mean there will be no level playing field for nutraceutical startups/D2C players like Miduty and its ilk. For one, India is a treasure trove of medicinal herbs, giving it a competitive advantage in terms of innovation, procurement and pricing. 

Government initiatives such as the National Ayush Mission (NAM) and the Fit India Mission also promote preventive healthcare and wellness. With private investments and budgetary allocations on the rise – INR 1,200 Cr for the ministry of ayurveda, yoga and naturopathy, unani, siddha and homoeopathy (Ayush) in FY24, which fell to INR 815 Cr – nutraceuticals are likely to emerge as a critical component in proactive and preventive healthcare. And the sector will continue to receive the impetus required for sustainable growth.  

The post D2C Brand Miduty Aims To Disrupt The Nutraceutical Space, Caters To 5 Lakh+ Customers appeared first on Inc42 Media.

The Indian fintech growth story needs no introduction, and neither does the fact that the country’s fintech sector has become a common destination for all investors looking for high-octane returns. It is on the back of this positive sentiment that startups operating in this space have garnered more than $28 Bn (as of February 24, 2024) in funding since 2014.

Of all the sub-sectors that operate under the larger fintech space, investment tech startups have lately started to take the world by storm. The stir in this space is the byproduct of an increasing number of individuals investing in stock markets as India continues to grow by leaps and bounds.  

According to an IBEF report, NSE retail investors saw a record 27% YoY increase in equity holdings from April to August 2023, while BSE registered a 24% YoY rise in 2023.

Despite this, concerns regarding hefty brokerage fees have impacted the investment sentiment of new or potential retail investors. 

To counter this, Tajinder and Sarvjeet Virk (brothers) launched Shoonya, a zero-brokerage platform, in 2016 to provide cost-effective trading to Indian investors.

The brother duo is also the founders of Finvasia, which houses other investment tech brands like ZuluTrade, Fxview, AAAFX, Act Trader, and Portfolios, along with healthtech brand Finvasia Health and real estate platform Finvasia Estates. Finvasia has offices in 10 countries and a presence across 190 countries.

Moving on, Shoonya, a part of Finvasia, allows ‘zero-cost trading’ across various asset classes, including stocks, mutual funds, IPOs, equities, bonds and extra-traded funds on major Indian exchanges like NSE, BSE, MCX and NCDEX. 

Additionally, it utilises AI for individual stock predictions through a partnership with I Know First, a fintech firm based in Tel Aviv renowned for its AI-driven stock market predictions. 

It also uses advanced charting and analysis tools, including technical indicators and market data, for making informed investment decisions. Shoonya claims to have amassed more than 2.6 Lakh users and currently has 100K active accounts on its website and app. 

According to Sarvjeet, the platform had more than 1.9 Lakh clients as of December 31, 2023, up 72.92% year-on-year (YoY) from 1.1 Lakh+ in 2022. By January 31, 2024, the user base grew to 2.2 Lakh+ clients.

How Shoonya Simplifies Trading With AI

According to Sarvjeet, Shoonya is a tech company that happens to be in finance. Based on this philosophy, the founders focus on building their tech in-house. 

The cofounder said that the user onboarding takes less than five minutes. Users can instantly open their accounts on the Shoonya app or website. 

To ensure user privacy, the startup follows a unique client code policy incorporating a two-factor authentication system as a mandatory login criterion. This authentication process includes biometric and TOTP (time-based one-time password) verification methods.

Upon signing up, users can start investing by using Shooya’s multi-asset platform on a single screen. They can trade and invest in a diverse range of financial instruments like stocks, derivatives (future & options), currencies, commodities, mutual funds, SIP, bonds and ETFs. 

However, Sarvjeet said that Shoonya’s USP lies in using AI to democratise trading and in helping investors make smart and informed bets.

It provides access to data-powered signals based analysis based on 1,500 Indian scripts, spanning large, mid, and small caps stocks, along with predictions for major Indian indices from NSE and BSE. 

It uses deep learning to create colour-coded signals to simplify market interpretation. For example, dark green (buy) and dark red (sell) signals indicate strong market trends, while light green and red signals show weaker trends. 

Additionally, each prediction includes a predictability indicator (confidence level), offering insights into the confidence level for every stock prediction. The platform further generates instant heatmaps (visual representation of data) for stock market forecasts across various time ranges (three days, seven days, fourteen days, one month, three months and one year). It provides portfolio monitoring, enabling investors to optimise their portfolios based on daily AI predictions. 

In terms of user acquisition strategy — it has been largely based on connecting with diverse user groups through social media, various digital platforms and word-of-mouth referrals. 

Shoonya has commercial clearing and trading member licences for the NSE and BSE. It is a trading member of MCX and a depository participant with CDSL.

Moreover, Shoonya also has a dedicated risk management team that addresses potential security issues of users, while cybersecurity measures include annual audits by certified CERT-In auditors and quarterly internal checks.

“Shoonya’s commitment to regulatory compliance, user safety and education underscores its position as a trusted player in India’s investment tech space,” Sarvjeet said.

How Shoonya Is Thriving With Zero Brokerage Fee

According to the founders, Shoonya operates on both B2B and B2C models. The startup offers a zero-clearing fee structure, enhancing the economic viability of trading for users. 

It also provides technology support and consulting services to foreign portfolio investors, earning income through subscription fees and consulting charges. Additionally, Shoonya earns interest on clients’ cash balances in their demat accounts during trade settlements.

By providing premium membership options, it charges all users for charting tools and research reports. Furthermore, retail investors are charged for depository participant fees and pledge charges. All users pay a monthly subscription fee of INR 799 (plus GST) for accessing their AI tool — I Know First. 

Shoonya’s Road Ahead

Looking forward, Shoonya is set for future developments with strategic initiatives in progress in the next two to six months. It will redesign the onboarding process to enhance user-friendliness. 

Sarvjeet revealed that the startup is actively exploring additional ways to leverage AI to enhance the user experience. For this, it has already implemented AI in various internal departments focussing on ease of onboarding, ease of compliance, ease of doing business and empowering users to make better decisions in investments. I

“We have implemented an AI model for signature integration on Shoonya. This feature now prompts users if their signature is misplaced or incorrectly uploaded and guides them through the account opening process,” he said.  

The company is also creating AI based models for sentiment analysis for retail clients on a very comprehensive level. It is in the process of creating customised chatbots that can understand the pain points of customers and create customised responses in real time to enhance customer satisfaction. Moreover, it claims to be running AI models on its entire client base to understand behaviour patterns of customers so that it can engage with them in a more personalised and customised manner.  

Further, it is building new AI-based cognitive, predictive, and generative solutions for a range of asset classes. While Sarvjeet did not divulge many, as the project is still in the development stage, he said that Shoonya holds an NBFC licence and is committed to developing new financial products and solutions that will further enhance the retailers’ experience.

Sarvjeet believes that the future of investment tech in India is set for significant evolution, driven by factors such as widespread mobile internet access, a growing interest in investments, and the rise of fintech startups leveraging rapid technological advancements like AI.

In the bigger investment tech space, Shoonya competes with the likes of juggernauts Upstox and Groww. The founders said that they are committed to staying ahead of the competition by leveraging AI and embracing emerging trends in the investment tech sector. 

While startups like Shoonya are playing an important role in democratising trading and investment to enable beginner retail investors, it’s important to be calculative about the dependency on AI when it comes to trading.

The post How Shoonya Is Leveraging AI & Zero Brokerage Model To Change Investing & Trading Dynamics In India appeared first on Inc42 Media.

With each passing day, artificial intelligence, especially generative AI (GenAI), is driving monumental changes across industries and businesses, emerging as a strategic enabler and turning traditional business models on their heads. At the centre of our ongoing reckoning with GenAI are critical questions like what GenAI can do, its practical applications and how businesses should use those when adopting this transformative technology. To dive deeper into the GenAI territory and explore relevant answers, Inc42 and Google Cloud organised a roundtable titled GenAI Is Redefining Business Paradigms, But Will The Scale Of Change Gobble Up ROI?

The session covered many critical areas, including:

• Practical applications of GenAI
• GenAI as an enabler for products and services
• The ROI challenges associated with GenAI adoption

Moderated by Sameer Dhanrajani, CEO at AIQRATE & 3AI, the session brought together startup leaders from various sectors such as ecommerce, deeptech, agritech, fintech and more. 

Among the key participants were Pranjal Singh, data scientist at Udaan; Yash Dayal, CTO of Wakefit; Exotel’s vice-president of engineering, Abhinandan Kedlaya; Kumar Rajamani, associate director at Cropin; Manas Agarwal, vice-president of engineering at Hasura; Vaibhav Magon, senior director (engineering) at CheQ; Sarath Chandra Kummamuru, senior vice-president (engineering) at Razorpay; Vikas Jethnani, vice-president (engineering) at BetterPlace; Krithika Muthukrishnan, chief data science officer at Scripbox; KarmaLifeAI cofounder Naveen Budda; Syed Mohd Bilal, senior director (machine learning) and head of data intelligence at Perfios; BeepKart CTO Nikhil Vaidya and Google Cloud’s head of customer engineering, Debasis Bhattacharya.

For Whom Generative AI Crafts Solutions & How Well It Is Aligned

During an hour-long discussion, Sarath Chandra Kummamuru of Razorpay came up with a much-needed perspective – how he viewed the evolution of AI/ML and how well GenAI would align with technology-driven business environments. 

“As a top company in the digital payments space, we have already mastered AI-ML to a large extent to run day-to-day operations and protect data. Now, we are taking our ops a notch higher with the help of GenAI for fast and better decision-making and better outputs. At this point, we are looking at GenAI to empower internal operators [developers] and external operations agents. Eventually, it will help all stakeholders, including merchants, mid-market companies and enterprises,” he said.

A hardcore value assessment is due now that the initial hype around GenAI is gradually dying. Therefore, business leaders and decision-makers are doing just that, trying to track the real benefits and the gobs of money the technology can bring in.

“One of our products is a learning management system (LMS) that has moved from content generation at scale to adaptive training,” said Vikas Jethnani of BetterPlace, an HRtech SaaS platform. “For instance, we create real-time, targeted content for Zomato and Swiggy employees, as their performances must improve without undergoing long training sessions. This personalised approach can be a game-changer.”

Funding GenAI Has ROI Challenges: Can New-Age Businesses Cope?

A close look at the GenAI potential reveals three core domains with significant impact: Reshaping customer experiences, innovation in product and service development and transformation of operational workflows. 

Business leaders have little doubt about the value of GenAI applications. However, gaining a solid return on investment (ROI) is still a far cry for two reasons. First, generative AI is still a work in progress, and second, huge capital is needed to implement and run GenAI initiatives.

“In the current situation, a CTO is likely to go for a two-pronged approach,” said Yash Dayal of Wakefit. “One is you can look at some low-hanging fruits where you can quickly see improvements in business metrics and try to do a couple of those use cases. But there’s always some investment alignment you need to do to build that particular tech capability. The moment you go down the path and try to fine-tune a large language model (LLM), you will suddenly see that your tech costs are spiking. So, a strategic investment plan is crucial to manage these costs effectively.”

Abhinandan Kedlaya from Exotel explained how well-defined business metrics and existing frameworks could help decide whether to invest in GenAI capabilities and drive growth.

“Contact centres have well-established metrics for gauging performances and calculating ROIs. GenAI tools like chatbots and WizeBot can also improve efficiency. As most companies have some budget allocation for GenAI, it is easy to make an initial investment and assess its impact. Based on the outcome, a decision can be made,” said Kedlaya. 

Debasis Bhattacharya of Google Cloud also thought companies need to balance costs and benefits.

“In Bengaluru and elsewhere, digital native companies are spending between $1K and $30K a month on GenAI solutions, especially API calls. Some use ready-made APIs, while firms with five to 10 engineers find it cost-effective to fine-tune GenAI models for their data pipelines. However, there is a growing awareness regarding ROI, prompting businesses to reduce costs.”

According to Syed Mohd Bilal of Perfios, aspirations for GenAI adoption will remain high for yet another reason.

“It is widening the scope of work and boosting capabilities. Just type into a ChatGPT interface, sit with an engineer and go through the entire process once. Any product manager can develop a proof of concept (POC) independently in that way. You don’t need a tech person to do that, at least not in the initial phase. So, that entry barrier to trying things has truly been democratised.”

The post GenAI Is Redefining Business Paradigms, But Will The Scale Of Change Gobble Up ROI? appeared first on Inc42 Media.

India’s healthcare grapples with inherent challenges, particularly for small-to-midsized hospitals situated in non metro areas and in Tier 2 and 3 cities. Despite these areas catering to approximately 86% of medical visits in India, patients often embark on arduous journeys to larger branded hospital chains due to a lack of trust in local or small/medium facilities and the perceived necessity of advanced diagnostic and treatment capabilities.

Many times, patients struggle to cope with hefty bills and out-of-pocket expenses at these large facilities even if they have insurance or PMJAY (the coverage may not be sufficient for them in many cases). In fact, two-third of patients seek treatment in the costlier private sector, observed a 2021 NITI Aayog report. 

“The majority of healthcare facilities in India (almost 90%) are small and medium unbranded establishments. The middle class is only aware of large branded facilities,” said Senu Sam, the cofounder of healthtech startup Mykare Health.  

He further added that many small and medium facilities have experienced doctors, equipment and trained resources but struggle to build awareness and trust among patients. 

Patients often have a few fundamental questions: Who is my doctor, and what is their expertise? How good is the facility? Who will guide me through the treatment process? And what are the costs involved? 

A new crop of asset-light aggregators like Mykare Health is helping patients find these answers, while helping smaller hospitals with a steady patient footfall. They aim to build extensive provider networks and offer value-added services to make patient care more affordable and accessible. Essentially, these new-age healthcare startups are partnering with medical facilities (hospitals, clinics, labs/diagnostic centres and more) and networks of surgeons to bring quality and scale to the value chain for a patient-centric approach.

When Sam and other two founders built Mykare Health to help people looking for treatment, they had two clear goals in mind. First, patients, especially those from the middle income class, should have access and be aware of the experience and expertise of their doctors. Second, helping the hospital owners to unlock the chicken and egg scenario (patients want experienced doctors and doctors need footfalls). 

However, the interconnected nature of these issues involving healthcare infra, cost and staffing critical components for handling short stay surgeries (or elective surgeries that are planned non-emergency procedures) requires a deeper plug-in rather than a simple fix. So, the healthcare startup zeroed in on a two-pronged strategy to make it a win-win for healthcare providers and consumers. 

Although small and midsized hospitals typically experience lower patient traffic and occupancy rates, they have been urged to optimise their offerings to attract more patients and drive revenue majorly due to the awareness. On the other hand, Mykare Health connects patients with its network hospitals that offer affordable procedures compared to branded large chains.    

This approach has paid rich dividends by addressing the consumer pain points for elective surgery (quick access and affordable quality care) and driving network hospitals’ revenues. By February 2024, Mykare Health partnered with 170+ hospitals in 12 Indian cities and claimed a 20% monthly rise in surgical enquiries, reaching 5K+ since its inception. 

The business is now running at operational positive (CM2), indicating a firm stride towards profitability. For context, CM2 covers everything apart from admin cost.  

Mykare’s USP: Balancing Demand-Supply, Revving Up Revenue Via Capacity Utilisation

While people struggle to schedule elective procedures in big hospitals across big cities, Mykare Health has strategically leveraged the existing healthcare infrastructure by partnering with underutilised and budget-friendly small and medium private hospitals.

According to a report by BCG and B Capital titled A Digital Pill For Revolutionizing Healthcare, smaller hospitals find it difficult to cope with low footfall, witnessing 25-30% occupancy rates compared to large hospital chains (60-70%) in the top 60 Indian cities.

In contrast, public healthcare units are mostly understaffed, under-equipped and flooded with more patients than they can handle. According to KPMG, as of May 2021, India had 1.4 beds per 1,000 people and 0.5 beds in public hospitals, falling significantly short of WHO’s recommended 2.9 beds per 1,000. Therefore, it is imperative to utilise the existing infrastructure in the private healthcare space and bring cost-effective medical services to the masses via asset-light aggregators.

“It would be an oversimplification if we attribute the current scenario to mere underutilisation of small and midsized hospitals,” said Sam. “The crux of the matter lies in the limited recognition of these hospitals by potential patients. Without a consistent patient inflow, these hospitals face financial constraints that hinder their ability to invest in and optimise the necessary infrastructure,” he pointed out. 

It reminds us of the proverbial chicken-and-egg situation, as the lack of footfall hinders timely upgrades, and talented doctors hesitate to enrol in facilities minus the modern-day adaptations required for a high volume.

Mykare Health aims to break this cycle by providing a comprehensive suite of services, starting with surgeries, from assessing surgery needs to finding providers, managing appointments, helping settle insurance claims and offering follow-up consultations post-surgery. This end-to-end and hassle free approach streamlines the entire process, cutting down on lengthy paperwork and the endless running around to reach the right people for medical and insurance requirements. Plus, there’s the cherry on the cake – an average cost-benefit of 30% or more and zero hidden costs.

Smaller hospitals also gain awareness about their experienced doctors and a steady stream of patients. According to Sam, around 40% of Mykare’s partner hospitals have seen a significant rise in patient footfall, caseload and revenues. Moreover, when hospitals have steady revenue streams, state-of-the-art healthcare infrastructure can be easily rolled in, and elective surgery in these  locations would be as advanced as in speciality centres.

How Healthcare Aggregators Are Transforming Elective Surgery

Forget Covid-related delays; a survey by healthtech startup Navia Life Care reveals a more critical concern. Around 60% of elective procedures in India remain on hold due to financial issues.

Consequently, Mykare Health and its ilk are trying to fix the healthcare financing part, keep costs transparent and ensure that the service offerings are as inclusive as possible to help people access secondary or even tertiary care (if the occasion calls for it) in the face of skyrocketing healthcare costs and not-so-sturdy public finances.    

Sam says that with Mykare Health, patients pay almost 30% less compared to the traditional route.

For instance, Mykare Health focusses on coordinating and overseeing elective procedures in several areas such as laparoscopy procedures (for hernia and gallstone), proctology (piles and fissures), gynaecology (hysterectomy, vaginal cyst), urology (kidney stones & prostate), vascular (varicose veins), ophthalmology (cataract & LASIK) and cosmetic surgery.  

Sam related a case to illustrate his startup’s impact on people’s lives. A delivery agent suffering from piles faced an unexpected hurdle as his health insurer refused to cover the treatment due to a draconian clause. The claim was declined as the agent was not working on the day when he fell ill. 

The patient sought Mykare’s help and the startup intervened on his behalf. All ‘issues’ were quickly ironed out with the patient undergoing the surgery and his medical bills getting settled. The year was 2023, but such irregularities within the healthcare ecosystem continue to raise their ugly heads, leaving the insured in the lurch.   

“This will tell you how our platform acts as a catalyst in navigating and resolving complexities within the healthcare system, ultimately benefiting the patients we serve,” said Sam.

In the next six to nine months, the startup aims to tie up with more hospitals and help partner hospitals grow their patient base. 

What The Future Holds

According to a report by healthcare-focussed market research firm Insights 10, the digital healthcare market in India is projected to soar from $3.8 Bn in 2022 to $18.3 Bn by 2030, growing at a CAGR of 21.6%. 

These forecasts highlight a clear opportunity for platforms like Mykare Health, which go beyond traditional digital healthcare services like online consultations. Instead, it focuses on delivering a comprehensive patient experience tailored for elective surgery to start with. As discussed, this strategic approach benefits patients and addresses a significant challenge within the industry: The underutilisation of small and medium hospital capacities.

“In the next two to three years, the elective surgery landscape is poised for a convergence of digital advancements, collaborative healthcare networks, technological empowerment for hospitals and diversification of healthcare offerings,” observed Sam.

For instance, after a significant demand utilising the beds and equipment, these facilities need technology tools to manage certain processes.

However, there’s more to come. Sam envisions this asset-light healthcare service model extending beyond the elective surgery landscape. “We have started with elective surgery, however our goal is to increase footfalls. We are focusing on demand and help underutilised facilities in areas like utilising radiology equipment and resources,” he said.  

Saying that, the founders of Mykare Health want to build the largest asset light affordable and trusted hospital chain.  

In recent years, digital healthcare startups have proven how to bridge the gap between affordability and accessibility. The BCG report further suggests that healthcare providers must explore new models such as remote health management, eICU and care coordination across homes and hospitals through strategic partnerships with innovative healthtech platforms. This innovative shift will be crucial for improving the healthcare system in India, and digital-age players like Mykare Health are likely to play a pivotal role in bringing about that change.

The post How Mykare Health Is Boosting Patient Footfall & Revenue For 170+ Small & Midsized Hospitals Across India appeared first on Inc42 Media.

The deafening buzz around generative AI (genAI) is gradually taking a concrete shape and turning old assumptions about technology on their head. Now that transformative tech is in our midst, it is the right time to explore how it redefines existing technologies, how the Indian startup ecosystem uses genAI capabilities to drive profit and productivity and how businesses should prepare for a genAI future. To understand the staggering impact of genAI development across businesses and industry segments, Inc42 and Google Cloud organised a roundtable titled “How Generative AI Is Fuelling A Cross-Industry Transformation In India.”

The session covered many critical topics, including:

• The productivity boost that comes with genAI implementation
• The impact of genAI on existing technologies
• The challenges of genAI adoption 

Moderated by Rajan Nagina, head of AI practice at Newgen Software, the roundtable brought together startup leaders from varied sectors like fintech, proptech, healthtech, ecommerce and more. 

Among the attendees were Kunal Gupta, senior vice-president at magicpin; Nitin Jain, cofounder & chief business officer, OfBusiness; Devnagri cofounder Himanshu Sharma; Fashinza tech head Diwas Sharma; Vipin Singh, head of technology at PropTiger.com & Housing.com; Shakti Goel, chief architect and data scientist at Yatra Online; Animesh Sharma, chief technology officer at Indifi; Gaurav Bagga, SVP (product & engineering) at Pristyn Care; Saurabh Dwivedi, SVP (technology) at MobiKwik; Kapil Malhotra, head of customer engineering at Google Cloud, and Harsh Sarohi, SVP and technology head at TradeIndia.com. 

During the discussion, Kunal Gupta of magicpin cited how investing heavily in genAI enhanced productivity and led to quick issue resolution. “We recently had a system outage due to a legacy code issue, but there was no assigned owner. The developer concerned had already left the company. Nevertheless, we recreated the entire functionality within an hour using genAI. We dockerised [created a lightweight environment to run the application and its dependencies] and deployed it to production and resolved the issue quickly,” he explained.

Decision-makers and industry leaders often consider genAI a silver bullet. It also motivates them to explore how best to use its capabilities for a wide range of sure-fire solutions, whether related to cost savings, efficiency building or coping with talent shortages through automation. 

MobiKwik’s Saurabh Dwivedi is one of them, deep-diving beyond the obvious. “Our goal is to create more engaging experiences for our customers. For instance, we have launched Lens, a tool for presenting financial data graphically to help users understand it better. Now, we are looking at genAI to summarise this information more effectively.” 

Match Capabilities With The Right Use Cases For GenAI Success

GenAI has powerful capabilities and great potential. But its success will depend on how well it caters to the specific use cases pursued by a business. Content or code generation with the help of genAI is super-hyped and appears straightforward. However, syncing data with this new technology requires careful planning to ensure excellent outcomes.

“If you use the RAG model [retrieval-augmented generation is used to optimise the output of an LLM], you won’t get 100% accuracy. Plus, there will be a lot of AI hallucinations or incorrect output based on perceived notions. So, the deciding factor is whether your use case demands 100% accuracy or 70-80% accuracy will be fine. If you are okay with 70-80%, there is hope because you can trim your expectations [from the genAI model], and your purpose is served,” said Shakti Goel of Yatra Online.

Kapil Malhotra of Google Cloud concurred, underscoring the criticality of use case-specific needs.

“It’s not about code generation alone. As startups scale rapidly, they accumulate significant tech debt from applications developed years ago. So, one of the use cases [for genAI adoption] is not just to roll out a feature faster but also to reduce your tech debt.”

“GenAI is not just a utility; it has to be part of your application. Similarly, when we talk about overall adoption, it is not just about the model. None of the models will be completely accurate anytime soon. Much work is pending on your data, which you will continue to do. On the other hand, models will continually evolve; token sizes will increase [to overcome text limits that can be inputted] and new challenges will arise. But it is crucial to prioritise your tech debt and focus on developer productivity,” added Malhotra. 

Despite the surmises and the soaring hype, there is visible apprehension regarding the quick adoption of genAI for faster results and fast-mover advantages. 

“We are treading cautiously on that,” said Animesh Sharma of Indifi. “It’s not that I have to fit genAI into everything. There’s customer support, for instance. If the mobile app has a comprehensive UI/UX and a category in place, customers can solve their problems, and I don’t have to put a genAI solution there. I am happy with a rule engine wherever it works well. Wherever machine learning (ML) works great, wherever it can lift our business, we are doing it.”

Nevertheless, the genAI wave is helping startups think on their feet and adapt faster. More importantly, genAI is transforming ML as we know it, turbocharging breakthrough innovations.

Nitin Jain from OfBusiness summed it up well, underlining the opportunities that the new technology has ushered in. “Using genAI, we are communicating with our clientele a lot better and a lot more. Instead of getting in touch once every 15 days, we communicate with them daily using a lot of genAI, ML and algorithmic tools. GenAI just got in and made ML adoption a lot better.”

The post How Generative AI Is Fuelling A Cross-Industry Transformation In India appeared first on Inc42 Media.

Continuing its pan-India journey, the MeitY Startup Hub Investor Connect Programme brought together 10 startups and 25 investors and industry leaders at IIM Ahmedabad on March 22. 

This was the second event as part of the MSH’s Investor Connect Programme, aimed at empowering promising startups across India by connecting them with potential investors. The inaugural event was held in Jaipur.

The programme provided a platform for startups to showcase their ideas and receive constructive feedback from investors for sharpening their pitches and business models.

Organised by the MeitY Startup Hub (MSH), in collaboration with IIMA Ventures and powered by Inc42, the event featured an esteemed investor panel. Among the attendees were Sanat Mondal, VP & principal at IAN Alpha Fund; Anil Joshi, founder and managing partner at Unicorn India Ventures; Nisarg Singh, managing partner of Kettleborough VC; Namrata Gupta, cofounder and COO of Synoverge Technologies, among others.

The 10 selected startups were part of diverse MeitY-backed programmes like SAMRIDH, TIDE 2.0 and centres of excellence (CoEs). The event was held at IIMA Ventures, the entrepreneurship hub of IIM Ahmedabad. 

Founded in 2002, IIMA Ventures is also recognised as a CoE by the Department of Science and Technology and is supported by MeitY under TIDE 2.0. 

Innovation Shines At Investor Connect 

The Investor Connect programme brought together startups from diverse sectors, showcasing the synergy between academic institutions, government bodies and industry players in propelling the growth of early-stage ventures.

Healthtech startups Redicine Medsol and ecrooner, ecommerce startup Culture Circle, insurtech startup Cureclaims, parenting and health-focussed platform GrowthBook, skilltech startup My Equation, sportstech startup Player, edtech platform STEMpedia were among the startups which were part of the event. 

The event also provided a platform for startups from emerging industries like the EV startup Webber and cleantech startup Auklr.

Several investors, including Abhilash Sonwane, director of Alchimia Partners; Gupta from Synoverge; and Jalpa Jain, director of Aadinath Bulk, expressed interest in various startups during the event.

Commenting on the diverse range of startups, Sonwane said, “The selection reflects the varied interests of investors. I typically focus on tech-enabled startups, and from that perspective, My Equation, Player and STEMpedia stood out to me.”

Jain was also impressed with Player. “One startup that really interested me was Player. I look at the founder first and Player’s founder was very humble. Also there’s a great opportunity in that sector (sportstech),” she said.

Meanwhile, Manoj Kumar Agarwal, cofounder and managing partner at Seafund, expressed interest in further evaluating EV startup Webber. Similarly, Kapil Kotnala, VP of investments at Mumbai Angels, indicated his intention to further evaluate Culture Circle.

The post From Healthtech To Cleantech: MeitY Startup Hub Investor Connect Programme Spotlights Next-Gen Innovations appeared first on Inc42 Media.

For families residing in non-metros in the 90s, kitchen cupboards filled with homemade and healthy snacks were not a rarity. Kids were kept away from processed foods for two reasons. First, big brands were expensive and not available in every nook and cranny. Second, people with traditional food knowledge knew the health hazards that might soon follow. Fast forward to the new millennium, and we often find Gen Alpha and Gen Z bingeing on junk food. Nowadays, families and individuals crave convenience foods – ready-to-cook (RTC) and ready-to-eat platters – due to busy lifestyles, rising incomes and the desire for instant gratification instead of spending hours preparing gourmet meals.

The ready-to-cook market in India has grown at a fast clip, riding the new-age consumer demand. It is estimated to reach $489 Mn during 2022-2027, growing at a CAGR of 7.12%. This market primarily features a variety of lip-smacking F&B items, such as instant noodles and pasta, instant soups and snacks, which have grown immensely popular over time. However, one D2C (direct-to-consumer) brand and its founder has used traditional ingredients found in every kitchen and created healthier alternatives of regular junk, ready-to-cook packaged foods to the masses. 

Mumbai-based WickedGud makes pasta, noodles, chips and other RTC foods from mom-approved healthy ingredients like dal (pulses), chana (Bengal gram/chickpeas), chawal (brown rice), atta (whole wheat), jowar (white millet), jai (oats) and more, all filled with proteins and dietary fibres and low on saturated fats. Founder and CEO Bhuman Dani  dives deep into his mission to un-junk India, one kitchen at a time using mom-approved ingredients found in every household. He claims all his products are maida free, palm oil  free and free of harmful chemicals.

WickedGud’s noodles are made using a SCAD (steaming and convection air drying) technology to make sure that people eat healthily. Simply put, this is a unique combination of steaming and convection for quick and consistent cooking without adding a drop of oil, resulting in the saturated fat to be 96% lower when compared to incumbents. In contrast, most legacy brands use oil to deep-fry noodles and make them crisp. 

Again, its chips are made using the popping technology with less than 12% sunflower oil and predominantly from chickpeas, while regular chips are deep-fried in palm-oil and are predominantly made with potato

Given these hi-tech processes and curated ingredients, end products remain low in calories, net carbs (digestible carbohydrates) and saturated fats. Compared to other product lines in the market, the brand claims a 96% reduction in saturated fat in its noodles and 50% less fat in chips.                      

The startup has a seven-point quality monitoring programme and conducts rigorous sample testing for nutrition, food safety and shelf life. It has also procured food certifications from FSSAI and U.S. FDA and others to ensure that WickedGud foods comply with local and global quality standards (more on quality monitoring later). 

It has successfully adopted an omnichannel business model and its products are now sold on major ecommerce and quick-commerce platforms and in 2.5K+ offline outlets across 20 Indian states. It currently exports to the UAE and plans to enter the North American market by Q2 FY25.

A Shark Tank (Season 2) finalist, the D2C food brand raised approximately INR 17 Cr from a clutch of investors, such as Venture Catalysts++, Titan Capital, Mumbai Angels, Disruption Fund, Asiana Fund, NB Ventures, Dholakia Ventures, Hyderabad Angels, Aman Gupta (co-founder and CMO, boAT) and actor-investor Shilpa Shetty, who also became its brand ambassador in May 2023. 

Although Dani did not reveal the company’s financials, he claimed a 3x YoY rise in revenue in FY24. It targets INR 20 Cr in FY25 and aims to raise a series A round in the current calendar year.         

The Backstory: A Journey From Luxe Beverages To Healthy Foods 

A mechanical engineer from BITS-Pilani and an MBA from INSEAD, Dani headed off to a job at Boston Consulting Group’s London office and focussed on EU-based consumer goods projects. But in spite of a successful career, he was always looking for the next big idea to start his entrepreneurial journey. 

In 2016, he left BCG and moved to India to set up The Good Life Company, a startup offering luxury teas and coffees. However, Dani partially exited his maiden venture and relinquished control to strategic investors in 2021. He then came up with another innovative idea: How about bringing healthy alternatives to the traditional RTC market brimming with unhealthy/junk foods? 

Although deep-pocketed FMCG behemoths did not do much, people’s attitudes towards healthy eating changed during the pandemic. It was a tectonic shift, not limited to the urban and affluent customers. A new market for healthy foods was emerging fast.   

Dani knew that most people, especially new-millennium kids, put a premium on taste and their families are not averse to it. As frequent consumption of tasty but unhealthy junk foods often leads to long-term health hazards, WickedGud was launched to reverse this trend. It aimed to ‘deconstruct’ the junk and empower ‘moms’ with various fresh, nutrition-rich and delicious foods to keep their kids and families healthy.

But the first experiment failed. 

The startup initially launched gluten-free pasta, but it was not accepted by Indian consumers who want a balance between taste and health. So, the brand discontinued the product, tweaked the recipe and added some whole wheat to improve the taste.

WickedGud made considerable progress, but raising funds from Venture Catalysts++ was a turning point in its growth journey. The funding happened twice – INR 1.15 Cr in July 2022 and INR 1.5 Cr in December 2023.

“Venture Catalysts++ has played a pivotal role in our journey. Their strategic guidance and unwavering support have propelled our growth, helping us innovate, expand, and create meaningful impact in the industry. They’re not just investors; they’re invaluable partners in our success story,” said Dani.

After a second round from VCats++, the brand is all set to expand its global reach. 

WickedGud’s USP: Innovation, Tech & The Quality Edge 

The world may be awash with junk foods, but with the rise of mindful eating, where consumers search for functional foods and better ingredients, the healthy food segment is coming up in a big way. In fact, small food brands all over the globe are hoping to ride innovation, nutrition and food safety to corner big successes. 

WickedGud is no exception. It brings in high-quality ingredients and creates perfect recipes for taste and health. The brand makes food healthier by adding essential nutrients, weeds out allergens to ensure food safety and sticks to sustainable preservation techniques for long shelf life. One of its R&D advisors is Rinka Banerjee, who had been at Hindustan Unilever (HUL) for more than 15 years – her last role there was that of the director (R&D) of the food division for Unilever’s South Asia business. 

Its popping techniques and SCAD technology ensure zero-palm oil food processing throughout product development. While this reduces fat, net carbs and calories, it helps retain nutrients and flavours, making every product taste better.       

The brand has tied up with multiple contract-manufacturers across the countryand follows a seven-point quality monitoring programme to ensure food safety and overall product excellence. Infact, some of their contract manufacturers are also investors – showcasing their trust and bullishness on this category and the management’s ability to execute. 

Food samples are subjected to quality assurance tests for nutritional evaluation and sensory analysis, besides removing chemicals, microorganisms and common food allergens. The brand works closely with various NABL accredited labs to ensure they are fully compliant with local and international guidelines. Additionally, a sensory analysis is done for look and feel, taste, smell and flavour for consumer-level food acceptance.     

Next comes packaging inspection or a thorough review of packaging materials to prevent contamination and retain product freshness. The brand also follows labelling compliance, clearly listing ingredients, their quantities, nutritional data like calorie contents and more to help consumers make informed decisions and rebuild their trust in food. 

WickedGud’s Road To Omnichannel Success

True to a classic D2C brand’s sales strategy, WickedGud pursues online and offline retail to reach ‘woke’ consumers looking for healthy, hygienic and sustainable foods. It has already created a niche in the plant-based fast-food market by introducing a variety of products and categories, thus catering to people’s evolving preferences.

It has set up a flagship #NoodleBar at the newly-launched Reliance Signature Plus store at Infinity Mall in Andheri and will soon launch Korean-flavoured instant noodles, cup noodles and chocolate spreads in the market.

“Our strategy for creating new products and categories is based on thorough market research and a deep understanding of our consumers’ needs. We analyse market trends by actively engaging with our audience through surveys, social media and customer feedback,” said Dani.

Although WickedGud is present on major ecommerce and quick-commerce platforms such as Amazon, BigBasket, Blinkit, Swiggy Instamart and others. 40% of its online revenue comes from its own website. 

It is now present in over 2.5K outlets across the country, which contributes to approximately 50% of its topline. 

Again, 60% of its offline sales come from Tier I locations, but Tier II and III markets are rapidly catching up with 40% of offline sales. Its website also caters to non-metro markets (Tier II and III), while online marketplaces mainly cater to Tier I consumers. 

A close look at the offline-online sales ratio and market distribution speaks amply about WickedGud’s growing popularity across the country. The brand says its popularity has spiked after emerging as a Shark Tank India finalist and claims to have sold over 2 Lakh packs of its healthy chips in three months after the product was launched in December 2023. The momentum continued, and in February 2024, it sold  20K packs of pasta, 70K packs of noodles and nearly 60K packets of chips. 

“For D2C brands like ours, an omnichannel presence is key. It expands our reach, enhances brand recognition and caters to diverse customer preferences. Further, we provide convenience, gather valuable insights and create a seamless customer experience,” the founder added.           

WickedGud mainly uses Meta and Google for online marketing and participates in pop-up events and exhibitions for offline promotion.

The Rise Of Healthy Foods: Too Many Hurdles Ahead?  

Ask industry experts if the post-pandemic period is a phenomenal time for food entrepreneurs, and the answer would be yes and no. 

For starters, investments have continued flowing into small companies with innovative product lines (some even flaunt family recipes) as there is a growing obsession for healthy foods against the backdrop of a global health crisis and rising consumer awareness. India’s healthy food market is estimated to reach $30 Bn by 2026, growing at a 20% CAGR.

Given that the health and wellness-focussed F&B market in India accounted for just 11% of the country’s $88 Bn packaged foods and beverages sector in 2020 and the number of health-conscious consumers is likely to rise to 176 Mn in 2026 from 108 Mn when the pandemic hit, there will be huge headroom for growth for the likes of WickedGud, Slurrp Farm, Open Secret, The Whole Truth Foods, Suzu Agro, Healthy Master, Delicious Bites, Indulgence and many more. 

A combination of other factors has also changed the healthy foods business. Imagine how much it would have cost new brands to get a prominent shelf place before the D2C deluge. Now, new product lines are sold via marketplaces or directly to consumers, while brand identities are creatively built from scratch on the ubiquitous social media. Even brick-and-mortar stores of all sizes and glam quotients are ready to accommodate small lots and batches in their product mix, a boon for omnichannel D2C brands like WickedGud.  

However, most are worried about the 3Cs – cost, competition and confusion rising from a surge in brands, overwhelming consumers with their claims to health and wellness in the F&B space. 

Ask Dani, and he will confirm that the volatility of the ingredients market, especially commoditized ingredients, keeps pushing the costs. So do R&D and tech innovations, without which no brand can stand tall. Overall, scaling up fast would accelerate expenditures, but WickedGud wants to focus on retail expansion (read targeting 10K stores by 2026), a robust distribution system and unit economics to grow sustainably. 

Others are worried about competition, with deep-pocketed FMCG brands barging into the healthy foods space. Tata Consumer Products (TCPL) and ITC have already entered the plant-based meat segment and are exploring more options. Industry leaders like HUL, Nestlé, and Marico will also go all out and grab this opportunity.

Eventually, it will be all about making a difference for the health-conscious masses, one product at a time. Deep down, it could be about battling the traditional fast-food industry, which serves not-so-healthy foods and changing age-old food habits and mindsets.

The post How D2C Brand WickedGud Is Unjunking Ready-To-Cook Food Market With A Healthy Dose Of Nutrition & Taste appeared first on Inc42 Media.

A delegation of Canadian Information and Communication Technology (ICT) companies met representatives of iStart Rajasthan with an eye on expanding the presence of these companies in India.

About four Canadian companies expressed keen interest in partnering with iStart-registered startups for their future expansion endeavours. iStart Rajasthan is a flagship initiative of the Rajasthan government to foster innovation, create jobs, and facilitate investments in the state. 

The Canadian trade delegation was on a visit to India during March 19- 22, 2024. The primary objective of the visit was to delve into India’s ICT sector and grasp emerging trends. 

During their visit, the Canadian companies promoted their innovative technologies and solutions and engaged in targeted B2B interactions in Delhi and Jaipur.

The delegation got a comprehensive experience during their visit as the members participated at one of the leading tech summits in the country, held exclusive B2B meetings, and got a deep dive into India’s dynamic ICT sector. 

They also visited the Infosys campus in Jaipur. Besides, the participants showcased the solutions and services of Canadian companies and attended networking receptions in DenInformation Exchange & Collaboration Avenues 

During the visit to Infosys campus on March 19, the members of the delegation gained valuable insights and also connected with the officials of the IT giant.

The visit provided the Canadian companies a chance to gain a firsthand understanding of the Indian IT ecosystem and explore potential collaboration opportunities with Infosys. It also provided an excellent platform for networking and knowledge exchange between Canadian companies and the Indian tech giant.

Canadian delegates also engaged directly with key decision-makers at Infosys and explored avenues for collaboration in areas, such as digital transformation, AI, cybersecurity and more.

The delegation explored and identified new opportunities for Canadian ICT companies to showcase their cutting-edge capabilities, pursue business opportunities and cultivate potential partnerships to propel their ventures to new heights. 

Such visits also help strengthen the ties between the countries and foster meaningful partnerships that drive innovation and economic growth

The post Canada Delegation Of ICT Companies Taps Rajasthan’s iStart To Expand Their India Presence appeared first on Inc42 Media.

India has come a long way in getting a digital makeover. According to a Statista report, the country today has over 900 Mn internet users and is the second-largest online market in the world after China.  

Behind this digital transformation is the government’s commitment to make the country a technological powerhouse through initiatives like Digital India and access to the internet, smartphones, laptops and tablets at competitive prices, just to count a few.

While the growth rate of this adoption among Indians has been fascinating, there is still a lot of scope left to become a truly digital economy. “The majority of 900 Mn mobile users in India are on plans capped at 1.5GB data limit per day. This means that a child in an average Indian household has access to just 300 MB internet per day — far below than 10 GB that is needed,” explained Satyam Darmora, the cofounder of WIOM (formerly known as i2e1). 

Explaining why this isn’t sufficient, he added, “An India-Pakistan match requires 5 to 6 GB of internet while an hour of online class may use upto 1 GB of internet.”

As pointed out by him, the aspiring India needs a lot of data, but it is unaffordable for most. According to the annual Digital Quality of Life (DQL) index 2023, India ranked 53rd among 121 countries. The analysis of the index was based on various factors like internet affordability, internet quality, e-infrastructure, e-security and e-governance.

Understanding the gap in this space, entrepreneur Satyam Darmora, business analysts Nishit Aggarwal and Maanas Dwivedi and software engineer Ashutosh Mishra started a telecommunication startup i2e1 in 2015.

Operating on a B2B model as an internet service provider, i2e1 enabled offline retailers and cafes to provide high-speed internet to their customers at just INR 5. 

The cofounders pivoted when the central government introduced the PM-WANI scheme (Prime Minister’s Wi-Fi Access Network Interface) on December 9, 2020.

The PM-WANI scheme was launched by the Centre to boost the availability of public WiFi hotspots via offline retailers (or Public Data Officers), particularly in rural areas and to strengthen the country’s digital communication infrastructure.

By facilitating better access to these hotspots, the government seeks to create employment opportunities for offline small and micro-entrepreneurs and individuals (as PDOs) while providing affordable internet access to underserved urban and rural households.

Under the scheme, WIOM opted to become a public data office aggregator (PDOA). With this, the co-founders got an opportunity to rebrand i2e1 to WIOM in 2021, pivoting from B2B space to embracing B2C.

Currently, WIOM has more than 70,000 Wi-Fi Access Network Interface (PM-WANI)-compliant hotspots across India in cities like Delhi, Mumbai and Meerut. It also provides internet to households through PDOs (public data officers). 

In Darmora’s words, WIOM today has grown to become the “Uber of the internet”. This is because the company owns no assets and yet connects its customers with internet operators. 

Since its pivot, WIOM has onboarded around 700 internet operators to serve close to 5,00,000 users. Its revenues have doubled from FY22 to FY23. It anticipates to hit an annual revenue rate of INR 50 Cr in FY24 and INR 100 Cr in the calendar year 2024. WIOM is backed by investors like Venture Catalysts++, 9Unicorns, RTP Global, YourNest and Omidyar Network, and has raised nearly $21 Mn since its launch.

Democratising The Internet

The story behind Darmora choosing to be part of India’s digital transformation is quite interesting. 

Reflecting on this journey, he told Inc42 that i2e1 was the byproduct of the realisation that the country’s Tier-III and beyond cities and towns needed to be abreast of more privileged metro cities and Tier I regions of India, and, for that, every Indian household should have an internet connection.

“I did not know what IIT was until my late teens in Class XI. After I became aware of it, I decided to pursue it. However, when I got through IIT, I realised I didn’t have enough exposure when I was in Uttarakhand due to the lack of information,” said Darmora, who hails from the remote town of Darmwaari in Uttarakhand.

When he realised that he could change lives with the internet, he incorporated i2e1 in 2015. Nishit Aggarwal, Maanas Dwivedi and Ashutosh Mishra came along as cofounders.

The erstwhile i2e1 began providing internet access to cafes and offline retailers like Chaayos, Beer Cafe and Airtel showrooms and other similar stores. 

However, when the PM-Wani scheme was announced, the founders saw an opportunity to democratise internet for all Indians, thereby expanding its reach from B2B to B2C. 

With this pivot, WIOM expanded 20X more than i2e1 in just a year, claimed Darmora. Not to mention, the change was not without its fair share of challenges. 

Darmora said that getting the team to adapt to the B2C model was hard. Also, there were several traditional hurdles along the way. For this, he said they had to make some harsh decisions and even restructure existing teams. A new leadership team was brought in, comprising positions in supply, demand, strategy, finance and customer experience, which helped the transition process. 

As the company evolved, it embraced digital marketing on platforms like Facebook and Google. 60% of customers were acquired through word of mouth, 25% from marketing and 10% via direct sales.

The efforts bore fruit, with WIOM achieving a user base of over 3 Lakh in Delhi in the first 18 months after the pivot. The company has set its eyes on building a base of 50 Cr users in the next five years.

While talking about its partnerships, Darmora said that the startup has partnered with IIT Delhi and IIT Mumbai for R&D. It has partnered with OEM partners like Syrotech, TP-Link and GX to manufacture WIOM internet routers. 

In April 2022, WIOM secured seed funding of INR 30 Cr from YourNest, 9Unicorns and a global tech giant, along with existing investors Omidyar Network India and Auxano. 

WIOM also sought funding of INR 2 Cr from Venture Catalysts++ in 2022. “Post our investment from VCats, WIOM has experienced a remarkable 100X scale-up in users and sustained impressive 3X year-on-year revenue growth. VCats’ support has played a pivotal role in propelling our success and expansion in the market,” he added.

A Deep Dive Into WIOM’s Operations 

WIOM places significant emphasis on empowering and training internet operators to integrate its technology effectively. 

Each operator undergoes comprehensive in-person training, supported by a dedicated technology team for on-the-job learning. B2B partnerships primarily stem from offline marketing efforts. Once the brand establishes its presence in an area, customer and partner acquisition largely occurs through referrals.

WIOM identifies regions with lower-middle-income demographics across Tier I, II and III areas by employing a geo-mapping strategy. Leveraging various data sources and GIS data, WIOM uses AI-based tools to map out low-income groups. Darmora highlighted that the company conducts preliminary surveys to finalise target areas.

For individuals or offline businesses aspiring to become Public Data Officers (PDOs) through WIOM, the initial step involves acquiring a WIOM router and cable to connect to their internet line or utilising their Wi-Fi router. 

Subsequently, after setting up the WIOM box, PDOs connect to “Free Wifi” and proceed to register as a WIOM WANI-enabled PDO by providing their details. Post-registration, PDOs can create internet plans tailored to their customers’ needs.

Regarding the customer-facing interface, Wi-Fi users simply need to enable their device’s Wi-Fi, select a plan offered by the PDO, connect to the WIOM network and choose a plan ranging from INR 4 for four hours to INR 16 for a two day plan. All the plans provide unlimited data which means users can use as much internet as they want, Darmora said. 

After selecting and paying for the plan, the payment request is routed to the PDO, which grants internet access. WIOM also facilitates a sharing model, enabling individuals or entities to resell unused internet plan data, with prices starting as low as INR 5.

In terms of revenue distribution, partners receive approximately 70% of the total revenue, with the exact percentage varying on a case-to-case basis. This revenue-sharing model incentivises and rewards partners for their contribution to the network, fostering collaboration and mutual benefit. 

The Road Ahead For WIOM

Darmora said that the impact of WIOM’s services has extended far beyond providing internet connectivity. He said that a recent independent study conducted by a social research company, Decodis, highlighted WIOM’s impact on the lives of its customers. 

Darmora said that WIOM’s services have contributed to five sustainable development goals (SDGs) for its customers. These goals were to educate, upskill, financial inclusion and empowerment of small businesses and women. 

The study further showed the ongoing improvement in WIOM’s impact over time, with rich insights derived from a comparison with data from previous years. 

To further continue its impact, WIOM aims to become the leading internet player in India by 2027, impacting the lives of 500 Mn people. 

It also plans to establish a pan-India presence, strengthen its revenue model and reduce its reliance on external funding. Moreover, WIOM has forged partnerships with banks for funding needs. The founders want to be careful about diluting the equity that comes with investor funding.

At a time when the country’s rural areas remain deprived of the internet, WIOM’s growth plans are aligned with bridging this gap. As per an IAMAI report, the internet penetration rate in India was at 37% (351 Mn) in 2022. This means that WIOM has immense headroom for growth in the telecommunication market which is expected to become a $76.16 Bn market opportunity by 2029 from $48.61 Bn in 2024.

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In times of Great Reshuffle, when people are laid off due to economic headwinds and technology disruptions, and companies scramble to find talent subsequently, employee retention and engagement no longer depend on routine appraisals and measly pay hikes. Instead, a robust reward and recognition culture has become critical to propel today’s workforce to new heights as they seek value and relevance in all they do.

Research by Gallup shows employees who receive recognition are 20 times as likely to be engaged as employees who receive poor recognition. This not only transforms work and workplace cultures but significantly boosts productivity and profitability. 

Although employee rewards and retention models have undergone a tectonic shift in recent years, an Indian couple working at Microsoft in the US realised its criticality nearly a decade ago. When Sourabh Deorah was a software engineer at MS, he noticed a remarkably low attrition rate across the company’s U.S. offices. The reason: Employees there felt valued and supported, which was not always the case with other tech giants. Sourabh and his wife, Smiti Bhatt Deorah (also a software engineer at MS), were further impressed by the perks and privileges offered by the company. 

“Replacement of a single employee costs six to 11 months of the person’s CTC,” Sourabh said, emphasising on the importance of retaining employees. Hence, to introduce a similar corporate culture in India, they launched Advantage Club in 2016.   

The B2B startup specialising in employee rewards and retention is headquartered in San Francisco, but its founders initially targeted small and medium businesses in India.

“We started with the Indian market as we believed that employees in India were equally smart and arguably worked even harder than their counterparts in other geographies,” said Sourabh. “So, we wanted to ensure that businesses back home would recognise, acknowledge and reward employees for their achievements and milestones.” 

Using AI, Advantage Club has adopted a differentiated approach towards reward and recognition, simplifying processes and automating several functions. It currently offers a host of critical solutions to help incentivise employees. These include instant recognition of employee achievements, perks and rewards (also features NFT gifts) from renowned brands, access to wellness & fitness programmes, personalised health benefits (FlexBen), tax advisory and more. In addition, it has introduced a smooth onboarding system for new hires, connects employees through communities and helps companies create and manage fun zones and hobby clubs to foster camaraderie and collaboration.      

Any organisation looking for a cost effective employee engagement solution can partner with Advantage Club to run and manage its rewards-and-recognition initiatives and drive employee engagement digitally. The platform  has 1K+ corporate customers across 100 countries and a wide range of industries such as finance, hospitality, pharma, manufacturing and automobile. 

Advantage Club has also tied up with more than 10K brands to provide easy access to great benefits, meaningful rewards and special deals and discounts. 

Globally, the employee engagement platform claims to have earned $6.6 Mn in revenue in FY23 and eyes 2x revenue growth in the current financial year. It also raised $7 Mn from a clutch of investors such as Y Combinator, Axilor Ventures and GrowX Ventures.

How Advantage Club Scripted A Tech-Powered Growth Narrative Despite Covid Chaos 

As Sourabh mentioned, Advantage Club initially collaborated with Indian SMEs to set up reward and recognition programmes aligned with global standards. It provided corporate discounts on consumer brands and exclusive offers on wellness memberships on a par with what was offered in the West. Its initial success fuelled the founders’ ambition, and soon, they set their sights on larger companies with 200-500 employees. But at the time, the platform needed the scale and technical capabilities required to meet the complex demands of large enterprises.

The Deorahs took the technology leap to enable ‘smart’ operations and unbiased reward and recognition decisions. Moreover, the investment required for Advantage Club is nearly one-fifth of the cost compared to direct cash incentives, claimed Sourabh. Yet it delivers a comparable impact of employee morale and retention. 

Now, the platform’s tech stack leverages AI/ML to generate algorithms that help companies track high-performing teams and individuals, guide them on whom to recognise and zero in on the most suitable rewards and benefits.

Moreover, the platform has automated milestones, notifications and reward updates so that companies can celebrate employee success promptly. For instance, when an employee hits a milestone (birthday, work anniversary and more) or achieves professional goals (say, when one closes her 100th sales deal), the automated system swiftly sends customised messages, instantly notifies it on the company’s digital platform and enables access to available rewards. Employees can easily claim these rewards/deals by logging in and inputting their company credentials.

Its AI offerings can be leveraged further to personalise benefits and rewards based on employee interests, preferences and past usage. This will enhance the redemption experience every time. The platform also offers people analytics to optimise performance evaluation, strengthen employee engagement and reduce turnover. Besides, corporate houses can measure how the reward and recognition programme has impacted employee engagement and calculate their ROI on the initiative.

The AI adoption was rewarding, said Sourabh. It gained traction and grew the customer base while its YoY revenue increased fivefold between 2022 and 2024, he added.

According to the CEO, the upward trajectory signified the market demand for its solutions and helped the startup hit product-market fit in two years since its inception in 2016.

All went well until the Covid strike, the platform was primarily catering to Indian companies at the time, and the gloomy scenario at home affected its growth prospects.

That’s when it decided to make the leap from being an India-focussed platform to a global one. This was no easy feat and it had to counter many hurdles in a very compressed timeframe. 

‘We had to serve a diverse, global customer base, adapt to different organisational cultures and meet varied engagement needs across the globe,” said Sourabh.

However, there was a silver lining amid the Covid-induced chaos. Globally, several governments came up with employee welfare schemes during the pandemic, and many overseas companies focussed on employees’ mental health and engagement in a primarily remote work environment. The founders saw a global growth opportunity there and decided to turn the Covid adversity on its head. Advantage Club entered many countries during this period, including the UAE (Dubai) and Singapore among others.

“As organisations with a depleted workforce [due to the health crisis and downsizing] had to engage with their existing workforce meaningfully to retain them, the search for holistic reward and recognition programmes intensified. The disruptive business climate has driven the demand for services like ours as companies looked for cost-effective ways to foster a positive work environment,” said Sourabh. 

Aware that remote-only workplaces would require top-notch data security for corporate houses and their employees, Advantage Club pro-active obtained the GDPR compliance certification for EU enterprises.

Overall, cutting-edge techvantages played an enabling role as the reward and recognition platform went above and beyond to help organisations showcase their core organisational principles and reach their objectives through employee engagement at a time when their employees sought compelling value propositions beyond pay cheques.

Creating A Seamless Reward & Recognition Journey For Corporate Clientele

Designing and implementing an in-house reward and recognition programme from scratch could be difficult for companies of all sizes as these operations are complex and massive. For example, rewards and recognition metrics must be fair, transparent and inclusive to ensure company-wide coverage and maximum incentivisation. But more often than not, parameters are designed arbitrarily without employee feedback and management biases creep in the process. The solution is continuously improved with new use cases based on the changing needs of new and existing customers, claimed Sourabh. 

Additionally, the three R’s of the ecosystem – real-time recognition (of employee milestones and achievements), revelation (notification) of the same and redemption (timely perks, rewards and benefits) – may lead to cumbersome spreadsheet struggles, sucking in valuable resources and working hours.

Of course, reward and recognition software programmes are available in the market to eliminate these pitfalls. But these are pretty expensive, lack significant impact and rarely provide the comprehensive coverage most companies look for, said Sourabh.   

Advantage Club has addressed these pain points by incorporating an AI engine specifically designed to drive redemption rates, based on multiple factors such as their personal interests, past usage, as well as any preferences stipulated by the employer. 

Besides, the platform’s solutions can seamlessly integrate with a corporate customer’s existing system and one can access those via a single sign-in. Popular communication tools such as Slack, WhatsApp, Microsoft Teams, Outlook, and Gmail can also be used for a cohesive experience. 

The platform offers a while-label user interface (UI) that mirrors each company’s look and feel by incorporating logos, corporate colours and style elements. The unified look helps establish corporate consistency throughout the reward and recognition journey. It also keeps its clientele updated about new features and supplementary training sessions, explained step by step. 

Its access to 10K+ local and global brands is another key feature that takes the pain out of procurement and adds value to all reward/benefit programmes. It offers a separate catalogue for international brands to ensure easy access and quick delivery. NFT-based rewards, especially recognition badges and digital memorabilia, have been available on the platform since 2023. Plus, there is FlexBen, wherein companies allow their employees to choose the benefits that suit them best rather than handing out generic offerings. 

“With Advantage Club’s FlexBen, an employee can choose from various wellness programmes, not just a specific gym membership. This also helps the global corporate allocate their budgets smartly and meaningfully on employee benefits,” explained Sourabh.   

Then there are Hobby Clubs enabling connections between individuals who share common interests. The Fun Zone is a gaming space with leaderboards to drive employee engagement further. Finally, the Classifieds section serves as an internal marketplace, allowing employees to buy, sell and rent products within an organisation. 

The startup claims that it does not charge any ‘breakage’ or amount charged for unredeemed gift cards and its interests are focussed on ensuring high redemption rates for its customers. Instead, it earns revenue from subscription fees from corporate customers, while brands pay a commission on every reward claimed by an employee. Sourabh says brands have access to more than 4 Mn employees and large corporate budgets, making things profitworthy for all. 

“This prudent approach steers us away from the ‘growth at all costs’ model, which has tripped up many startups. We believe in ‘good growth’, which has positioned us well during these challenging times, and we continue to see organisations recognizing the value we offer,” he said. 

Will Reward & Recognition Align With The Future Of Work, Combat Workplace Challenges?

Ambitious to the core, Advantage Club aims to advance technologically, expand partnerships and broaden its geographical reach. It will double down on operations in India, the US, India, APAC and the MENA region. To achieve these goals, the founders have established physical teams in each market to maintain a strong on ground presence. 

However, Advantage Club is not alone in this space. Among its Indian peers are the likes of HiFives, BI Worldwide, Gratifi and more, all looking for growth, as the market for recognising and rewarding employee contributions took a severe hit during Covid-19 and the subsequent economic downturn. In fact, rewards and recognition is a well-calculated corporate strategy to build an attractive workplace culture that keeps employees invested and ultimately boosts a company’s performance and profitability.

But would the digital-age corporate culture revive this trend, given the rise of smart industry automation and intuitive technology, which could rapidly deplete the human workforce? A recent study revealed that the percentage of employees witnessing work disruption due to automation rose from 44% to 71% in just two years. On the other hand, 77% of global employers found it challenging to fill new-age roles compared to 75% in 2022, per a Mercer survey.

Essentially, work is at a crossroads, and the traditional concept of rewards and recognition must evolve based on how work is defined and how value is perceived in an environment where nearly half of the skills are estimated to get obsolete in two years or so. Given these talent challenges and unemployment variations, about 75% of global companies and around 45% in Asia focus more on non-financial reward and recognition factors.      

Sourabh, too, thinks navigating the culture of reinvention is imperative as the tech transformation continues to grow. “The current trend, where employees seek more than just financial compensation, is expected to intensify. Hence, companies will have to create a robust employee engagement strategy to attract top talent,” he said. 

The CEO observed that coming generations will prioritise the overall job experience over salary, as they are open to leaving a job without a guaranteed replacement. Additionally, they will seek positions that offer substantial personal growth, a balanced work-life dynamic and a sense of purpose beyond monetary rewards. This shift reflects a growing emphasis on holistic job satisfaction and fulfilment among employees, transcending traditional remuneration-based motivations.

Meanwhile, the global market for employee recognition and reward systems is estimated to reach $65.3 Bn by 2032 from $15.8 Bn in 2022, growing at a CAGR of 15.6%. This data indicates a steady rise in tech-driven platforms ushering in inclusive products and services to help businesses recognise, value and reward their employees in a whole new way. 

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