Fintech Startup MobiKwik's Wallet soars & market shares expand to 12.11%

By Team Startupcity  |  Tuesday, 09 July 2024, 08:50 IST

Fintech Startup MobiKwik's Wallet soars & market shares expand to 12.11%
In terms of the total number of wallets, the fintech major MobiKwik's PPI (prepaid payment instrument) wallets have seen their market share rise to approximately 12.11 percent in May, up from 9.3 percent in January. 
The Gurugram-based organization saw this surge and extended its presence into Tier II and - III urban communities as other key part in the financial space went through a slump. 
MobiKwik likewise ascribes the development in its numbers to its extension drive. Due to growth in its Pocket UPI service, a wallet feature that the company introduced in February, MobiKwik also saw its overall Gross Transaction Value (GTV) share almost double from 11% in March to 23% in May. 
This represents the purchase of goods and services as well as fund transfers. MobiKwik had about 134.1 million wallets in January, which increased by 2% to 136.8 million in May, placing it second only to PhonePe in terms of wallet numbers among non-bank players. 
As of May, PhonePe had approximately 199.3 million wallets. 
Paytm Payments Bank's wallet operations were halted when the Reserve Bank of India (RBI) imposed severe restrictions. The Noida-based associate of One97 Communications, which owns and operates the Paytm brand, saw a 39% drop in wallet numbers from 630.7 million in January to 380.5 million in May.
Upasana Taku, Co-Founder and Chief Financial Officer (CFO) says, “Banking on wallet interoperability, we built a feature called Pocket UPI where users can use their wallet over the UPI ecosystem. Another large wallet player went through their own regulatory decline due to which their users were looking for another product of good quality serving their purpose”. 
Further Taku adds, “Net new users are also joining the digital ecosystem. First time users are figuring out how they can transact digitally. Roughly about 70-75 per cent of new users are coming from tier-II and -III cities and towns in India,
 

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