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Paytm taps online-to-offline to obtain users for e-commerce biz

Riding regarding the fresh funding from Alibaba for the e-commerce business, Paytm is tapping the online-to-offline (O2O) model to on-board regulars at brick-and-mortar stores on to its platform. An O2O channel is used to obtain consumers who might not be making purchases at various online platforms. The business is also pushing response that is quickQR) codes on its recently launched Paytm Mall.

To begin with, the company that is noida-based partnered with Samsung to allow shopkeepers to offer the brand's smartphones by providing them a commission of 3-20% on the basis of the price of the merchandise. Paytm can also be in talks with various other brands to forge partnerships that are similar categories such as for example fashion and electronic, amongst others, said an executive through the company's e-commerce team.

Amit Bagaria, VP, Paytm Mall, said, "We make an effort to create an offline network as a platform for brands to reach out to scores of consumers, thereby optimising the supply chain and marketing expenses on the behalf.This platform will additionally be very theraputic for the partner merchants, enabling them to develop their business and garner more revenue. It will probably bring additional footfall at outlets in to the brand dis tribution network without keeping the inventory ."

Paytm's parent One97 Communications recently separated its payments and commerce businesses. Paytm E-commerce, which now runs the recently launched Paytm Mall, has gotten a funding of $200 million led by Alibaba, where in actuality the Chinese internet group put $177 million into the firm.

Paytm Mall is dependent largely on Alibaba's B2C e-commerce entity, Tmall. "significantly more than 99% of all of the shopping in India happens offline. We strongly believe this model will let us drive online traffic from offline retailers. We expect this to transform traditional businesses," added Bagaria. The organization had announced in February so it intends to invest Rs 600 crore with its QR code programme this present year.

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