The company plans to strengthen its presence across Tier 2 and Tier 3 cities by opening 400 new branches in a phased approach over the next four quarters.
Poonawalla Fincorp Limited (PFL), a Cyrus Poonawalla Group-promoted NBFC focused on Consumer & MSME Lending, has expanded its portfolio of secured lending products with the launch of its Gold Loan Business. This new offering provides a secure, fast, and transparent financing solution for individuals and businesses, catering to diverse financial needs such as business expansion, agriculture costs, and personal expenses.
With approvals in less than 30 minutes, minimal documentation, and multiple repayment options, customers can unlock the value of their gold without selling it – ensuring financial flexibility while preserving long-term wealth.
Commenting on the launch, Mr. Arvind Kapil, MD & CEO, Poonawalla Fincorp,said, “Our gold loan offering represents a natural progression in our secured lending portfolio, combining traditional value with modern convenience. We have designed this product with the customer journey at its core, respecting both the emotional and financial value of gold. At Poonawalla Fincorp, customer asset safety and transparency remains paramount, while delivering reliable and premium services.”
Gold holds significant importance in Indian households as a reliable source of wealth and security, serving as a strategic asset for those needing quick access to funds. The gold loan market in India represents a substantial opportunity, with projections indicating robust growth over the next several years across both urban and rural markets. Other than being a secured business, gold loan offers the strength of low credit risk and resilience during economic uncertainty. PFL is strategically positioned to capture this growing opportunity through its customer-centric approach and commitment to delivering premium services tailored to borrowers’ needs.
To strengthen its presence across Tier 2 and Tier 3 cities with a secured product, PFL plans to open 400 new branches in a phased approach over the next four quarters. The company facilitates loan access through its branches and localized outreach, having onboarded industry professionals to provide tailored financial solutions and enhance customer experiences across regions.
Built on the pillars of trust, transparency in valuation, security, and governance-first, PFL’s Gold Loan offers reliable solutions to address customers’ financial needs. The company maintains its risk-first approach to delivering timely financial solutions that bridge the credit gap while empowering customers to retain their precious assets. It remains committed to simplifying lending, creating customer delight, and enhancing experiences, which are the company’s top priorities.
About Poonawalla Fincorp Limited
It is headquartered in Pune and is a Cyrus Poonawalla group-promoted, non-deposit taking systemically important non-banking finance company (ND-SI-NBFC), registered with the Reserve Bank of India (RBI). The Company started operations nearly three decades back and is listed on the BSE Limited (BSE) and the National Stock Exchange of India Limited (NSE).
The Company’s identity “P” stands for Passion, Principles, Purpose, People and Possibilities. The company has widespread coverage across 18 states and 2 Union Territories and has an AUM of approximately INR 35,550 crore as of March 31, 2025. It employs around 2,560+ people as of December 31, 2024. The company’s financial services offerings include pre-owned car finance, personal loans, loans for professionals, business loans, loans against property, machinery loans, education loans, commercial vehicle loans, and shopkeeper loans.
Innopay Technologies, an emerging leader in BBPS payments, announced its collaboration with MMTC-PAMP to launch Innopay Gold, a platform for accumulating 99.99% pure 24K digital gold. Investments can range from as little as INR 2 to as much as INR 1,00,000 per day, offering individuals the opportunity to develop regular saving habits while earning an additional 2% in gold on every purchase.
Gold is a reliable asset for wealth preservation and growth. Innopay, together with MMTC-PAMP, has created a platform that makes gold savings both secure and accessible, blending advanced technology with the enduring value of gold. The platform provides a smooth user experience, allowing users to buy and sell gold instantly, with no lock-in period, ensuring gold investments are more flexible and convenient than ever before.
Speaking on the launch, Puvvada Venugopal Naidu, Founder and CEO of Innopay Technolgies, said, “We are thrilled to introduce Innopay Gold in collaboration with MMTC-PAMP, transforming how people engage with digital gold. This partnership combines our innovative approach with MMTC-PAMP’s legacy of trust, offering users a straightforward and secure way to create wealth.”
“This partnership with Innopay will bring Asia’s purest gold to users at the click of a button. MMTC-PAMP’s state-of-the-art technology facilitates instant dealing in precious metals at live international prices, that too 100% backed by physical metal in bank-grade, fully insured vaults backed by an independent trustee,” said Harshit Gupta, Head, Digital Consumer Business at MMTC-PAMP, India.
About Innopay Technologies
Innopay Technologies, a leading fintech company in India, is transforming payments with its super-app, offering a wide range of convenient services. With over 5 million downloads and a portfolio featuring more than 24 services, including FASTag, mobile recharges, insurance, utility bill payments, DTH payments, and more, Innopay Technologies has established itself as a trusted platform for fast, secure, and rewarding transactions. Ranked 9th among the agent institutions in Bharat Connect (BBPS), Innopay Technologies processes transactions worth INR 100 crore per month, with a cumulative transaction value exceeding INR 500 crore.
About MMTC-PAMP
A joint venture between Switzerland-based bullion brand, PAMP SA, and MMTC Ltd, a Government of India Undertaking, MMTC-PAMP seamlessly marries Swiss excellence with Indian insights. MMTC-PAMP India Pvt. Ltd. is internationally recognized as an industry leader for bringing global standards of excellence to the Indian precious metals industry. MMTC-PAMP has received several awards since its inception from local and global industry bodies for the transparency and sustainability that are rigorously upheld in sourcing, refining and supply of precious metals in the Indian market. MMTC-PAMP is the only LBMA-accredited Gold & Silver refinery in India and is accepted across global commodity exchanges and central banks.
In order to provide funding options for cleantech companies, fintech company TapFin has launched a new NBFC subsidiary, GoGreen Capital. According to a statement from the fintech startup, the NBFC will provide tailored finance options for sustainability-driven projects to startups, small enterprises, original equipment manufacturers (OEMs), engineering, procurement, and construction (EPC) firms, and others. GoGreen Capital will initially concentrate on serving borrowers in the solar, battery circulatory, and clean mobility industries. According to a release from TapFin, “GoGreen Capital will offer leasing solutions, business loans, and commercial asset loans that are specific to the clean mobility, battery, and solar ecosystems.” TapFin, a fintech startup founded in 2023 by Aditya Singh, Pramod Marar, and Terniza Berry, provides business loans, supply chain financing, insurance, and other services for the cleantech industry. Speaking to a media outlet, Marar said that the company requested an NBFC licence after obtaining a $4 million seed round from Elevar Equity the previous year. The company eventually received the NBFC licence. In the past few months, the brand has been working to establish the budget, systems, personnel, policies, procedures, and, of course, money.
How NBF will Benefit TapFin?
To provide loans to borrowers, the NBFC will make use of TapFin’s data-driven underwriting and contextual credit evaluations. These evaluations are founded on non-traditional insights, including battery analytics, fleet operations, ecosystem alliances, and vehicle usage patterns. With the establishment of the NBFC, TapFin will be able to lend money from its own books, build an asset base, and lessen its reliance on outside platforms. In order to reach tier-II and tier-III cities, GoGreen Capital is also seeking to partner with financial institutions to broaden its green financing options, including co-lending opportunities. In addition, the startup announced that GoGreen Capital will leverage ‘TapFin Hub’, which is TapFin’s proprietary platform. This platform’s core capabilities include OEM and supplier whitelisting, real-time asset management and monitoring through advanced AI models, portfolio valuation, and disposal monetisation. Together, these features will enable GoGreen Capital to achieve a more innovative and expedited go-to-market.
India’s Fintech Startup Witnessing Decline in Funding
Fintech funding has decreased in the first quarter of 2025 due to macroeconomic difficulties and geopolitical headwinds (January-March). A total of $366 million was raised in the first quarter of 2025, which is 35% less than the $571 million raised in the same quarter the previous year. According to market research platform Tracxn, the fintech industry raised a comparable amount of money ($365 million) in Q4 2024. Early-stage funding decreased by 41% from $157 million raised in Q4 2024 to $92.6 million in the March quarter, a 56% fall from $210 million in Q1 2024. $45.9 million was raised for seed-stage finance, which is 39% less than the $75.5 million raised in Q1 2024 and 16% less than the $54.6 million raised in the preceding quarter.
The program will offer an overall INR 18-20 crore in fast-track funding, tailored go-to-market support, and strategic mentorship to 5–6 selected ventures.
Capital-A, an early-stage B2B-focused venture capital firm, has partnered with SanchiConnect, India’s leading deeptech ecosystem platform, to launch MaXcel, a first-of-its-kind accelerator dedicated to startups and MSMEs building in the manufacturing and allied sectors. MaXcel is backed by Capital-A’s years of investing in the manufacturing sector and supported by SanchiConnect’s extensive network of incubators, investors, and corporates.
MaXcel will focus on early-stage startups building in precision manufacturing, advanced materials, semiconductors, IoT, frugal industrial automation, robotics, smart factory systems, and hardware-software integration. The program is open to startups with a minimum viable product (MVP), pilot traction, or early revenue and is designed to offer funding and meaningful pathways to scale.
While manufacturing contributes approximately 13% to India’s GDP and employs over 27 million workers, the sector remains underrepresented in venture capital. MaXcel aims to address this disparity by backing emerging startups in the manufacturing space that are capital-efficient, have defensible technology, and are poised to play a pivotal role in India’s transition toward world-class manufacturing.
Shortlisted startups will receive INR 3–4 crore in fast-track funding, with term sheets issued within 30 days. The 24-week program also includes a structured 12-week go-to-market module featuring direct connections with corporates, pilot opportunities, and participation in an offshore global demo day. In addition, founders will benefit from dedicated one-on-one mentoring sessions with functional experts, industry veterans, and successful entrepreneurs.
Speaking about this, Ankit Kedia, Founder and Lead Investor, Capital-A, said, “We are thrilled about MaXcel and its potential to catalyse the next wave of innovation, that will come from the shop floors, factories, and industrial corridors of India. Capital-A’s deep manufacturing experience along with SanchiConnect’s widespread access to the ecosystem, MaXcel will serve as a launchpad for founders building in the sunrise manufacturing sector.”
Adding further, Dr Sunil Shekhawat, Co-founder, SanchiConnect, said, “This collaboration is about reimagining what’s possible when innovation meets execution. MaXcel isn’t just a program but a catalyst for the next generation of industrial leaders.”
As part of the MaXcel launch, a multi-city roadshow and meetup series is being organised across India, covering key manufacturing and innovation hubs such as Bangalore, Pune, Ahmedabad, Indore, Guwahati, Coimbatore, Kochi and Noida. These events aim to engage with MSME founders, regional ecosystem enablers and government partners, building awareness and driving high-quality applications to the program.
With India positioning itself as a global manufacturing hub under the China+1 strategy and bolstered by policies like the Production Linked Incentive (PLI) and Design Linked Incentive (DLI) schemes, MaXcel aims to support a new wave of the Indian industrial revolution with global relevance.
MaXcel will be inviting startup applications until May 10, 2025.
About Capital-A
Established in 2021 by renowned industrialist Ankit Kedia, Capital-A is a pioneering early-stage venture capital firm that champions the advancement of startups across diverse sectors, including manufacturing, climate, deep tech, fintech, and other tech-enabled businesses. With a clear focus on enterprise businesses and scalability, the firm’s second fund targets a corpus of Rs. 400 crore. The firm has already backed over 25 innovative startups, including Agrileaf Matchlog, Leumas, Rooter, Riskcovry, and Tan90, and continues to unlock both tactical and long-term value for its portfolio companies.
About SanchiConnect
SanchiConnect is India’s leading early to growth stage B2B deeptech startup ecosystem platform connecting startup founders, incubators, corporates, industry experts and institutional investors through tech-driven matchmaking and accelerator programs.
Industry stakeholders have united to propose a self-regulatory organisation (SRO) just a few months after reports emerged that the government was considering the implementation of a code of conduct for social media influencers. The SRO, also known as the India Influencer Governing Council (IIGC), is made up of representatives from influencer marketing firms, content producers, and digital platforms such as Google, Meta, and JioHotstar, as well as significant advertisers. In order to guarantee that influencers’ content is “legal, honest, transparent, and respectful of societal values”, the council has published an 89-page “code of standards”. According to the document, the framework will also try to safeguard responsible content creation, safeguard consumer interests, encourage equity in influencer marketing, and stop harmful or deceptive messages. Members of the body are not legally bound by the standards.
Code of Conduct has 20 Sections
The 20 sections of the IIGC’s code of conduct cover some of the major issues that India’s influencer ecosystem faces. These issues include measurement metrics, AI influencers, payment compliance, the legitimacy of the products being promoted, sexual content and nudity, prohibitions on alcohol and gambling, data privacy, and customer redressal, among other things. According to reports, the IIGC had a meeting in Mumbai to talk about the problems facing the creative economy. At the occasion, the council unveiled the first-of-its-kind Indian Influencer Ratings, a weekly list that highlights the “most impactful influencers and brand campaigns” in India. According to reports, IIGC founding member and Publicis Content MD Hari Krishnan stated that the council was established to address the main issues facing the influencer market, such as a lack of standards, brand control, and creator inexperience. The council is creating a decentralised self-regulatory organisation with representation from all areas of the ecosystem, Krishnan continued. The code is intended to discourage unethical behaviour while rewarding ethical innovators.
SRO to Extend Similar Guidelines for Other Domains as Well
The report states that SRO intends to soon provide such standards to agencies, platforms, companies, and even consumers. This development closely follows podcaster Ranveer Allahbadia’s contentious remarks. After this, rumours circulated that the Centre was considering implementing a system to monitor social media influencers with more than 50 lakh followers. The proposed guidelines, which will be announced by the Ministry of Information and Broadcasting, are intended to prevent the dissemination of offensive and vulgar content. Online celebrities may be required to designate ratings to their content and include disclaimers as necessary under the new regulations.
Traveling brings with it great experiences and memories, but it also presents an opportunity to find reasonably priced accommodations and distinctive regional cuisine. We may maximize our travel without sacrificing the overall fun by making sensible plans and looking into reasonably priced lodging and dining options.
To create an unforgettable and rewarding adventure, it all comes down to striking the appropriate balance between expense and experience. But you need not worry about this anymore, FabHotels has got your back.
FabHotels is a chain of budget hotels present in more than 80+ cities of India. FabHotels was started in 2014, with the aim to provide business travelers affordable and comfortable stays near major commercial hubs of India.
Read all about FabHotels Founders and Team, Funding and Investors, Business Model, Revenue Model, Growth, Future Plans, and more.
FabHotels is a well-known brand that offers franchisesto small and budget hotels. Post offering the Franchise, FabHotels ensure that its Partner Hotels are well maintained, comfortable, and yet very pocket friendly. On joining as a FabHotels Franchise, FabHotel takes the responsibility to ramp up a hotel according to its standard. Besides providing technological support, FabHotels train the staff of its partner hotels. It also conducts regular audits of its Franchise Hotels to make sure that the services offered by these hotels are up to the mark and meet the set standards.
As per report analysis from Mordor Intelligence, the Indian hospitality sector is expected to develop at a notable compound annual growth rate (CAGR) of 4.73% from 2024 to 2029, from USD 24.61 billion in 2024 to USD 31.01 billion by 2029.
This is a good trend driven by factors including rising tourism, a growing middle class, and a focus on better travel experiences.
FabHotels – Founders and Team
Vaibhav Aggarwal and Adarssh Mnpuria founded FabHotels in 2014.
Vaibhav Aggarwal
Vaibhav Aggarwal, Co-Founder and CEO of FabHotels
Vaibhav Aggarwal is the Co-Founder and the CEO of FabHotels. An alumnus of IIT Guwahati, Vaibhav Agarwal is an MBA from Wharton School, University of Pennsylvania. Prior to starting FabHotels, Vaibhav co-founded FabFurnish.com, a company backed by Rocket Internet.
Vaibhav also worked as a consultant with ‘Bain & Company’, and as Vice President of Chicago based Coupon Website GropuOn in the early years of his career.
Adarssh Mnpuria
Adarssh Mnpuria, Co-Founder of FabHotels
Adarssh Mnpuria is the Co-Founder of FabHotels. He previously was a Venture Development Associate at Rocket Internet GmbH. Adarssh Mnpuria was also an Analyst at Bain Capital. He began his career as an Intern at Bajaj Hindusthan. Adarssh too completed his MBA from Wharton School, University of Pennsylvania. He completed his graduation from the University of Delhi. He is also the Co-Founder of TravelPlus.
The company has 201-500 employees.
FabHotels – Shareholding
Below is the FabHotels shareholding pattern:
Name
Holding Percentage
Founder
26.7%
Vaibhav Aggarwal
19.7%
Adarsh Manpuria
6.9%
Fund
64.5%
Accel
20.5%
Goldman Sachs
20.5%
Qualcomm Ventures
7.9%
Panthera
9.9%
RB Investments
4.5%
xto10x
0.7%
SRI Capital
0.3%
Alteria Capital
0.2%
Tracxn Labs
< 0.1%
Angel
3.1%
Mohandas Pai
2.4%
Anupam Mittal
0.7%
Other People
< 0.1%
ESOP Pool
5.6%
Total
100.0%
FabHotels – Startup Story
Vaibhav Aggarwal discovered his business calling after earning his MBA from Wharton and co-founding FabFurnish.com in 2012. But in 2014, he and fellow alumnus Adarssh Mnpuria founded FabHotels after spotting a business opportunity in the hospitality industry. Their objective was to offer accommodations that are affordable and suitable for business travelers. FabHotels acquired popularity quickly because of their asset-light business strategy and emphasis on quality, demonstrating the ability of creative thinking and entrepreneurial vision to satisfy consumer demands.
The mission of the company is “to make great hospitality affordable.”
The vision on the company’s website states “to be India’s preferred value-for-money hospitality brand.”
FabHotels – Name, Tagline, and Logo
FabHotels Logo
The parent company of FabHotels, Casa2 Stays Pvt Ltd, offers a strong platform for the development and expansion of this cutting-edge hospitality business.
Fabhotels – Products and Services
FabHotels products and services are:
100 percent Safe place to Stay
FabHotels made all the required preparations in May 2020 to guarantee the security and welfare of their visitors. Through the introduction of a program named “100% Safe Place to Stay,” the company established several security measures at more than 600 franchise locations throughout India.
Refer and Earn Program
‘Refer-and-Earn’ initiative from FABHOTELS launched on September, 27, 2018. Through a shared referral link, it is intended for devoted customers to ask their friends and family to book a stay at FabHotels. For each referred friend that stays at FabHotels, customers receive Fab credits worth 500.
FabHotels uses a business model that is asset-light, working with small hotels through a franchising structure to enable quick growth without significant capital expenditure. They make sure that all partner hotels provide the same services, emphasizing hygiene and basic facilities.
They target corporate clients and obtain business bookings with a devoted enterprise sales staff. With features designed with business visitors in mind, FabHotels offers reasonably priced lodging in prime locations with dependable Wi-Fi, fostering long-term growth and profits.
FabHotels earns revenue from different resources, some of them are listed below:
Franchise Charge:
A franchise fee, equivalent to about 20% of partner hotels’ monthly income, is levied by FabHotels. This charge makes up a major portion of FabHotels’ revenue stream and is consistent with its business strategy, which involves working with hotel partners to grow its network of lodging options.
B2C Reservations:
To make reservations, individual clients can go straight to the FabHotels website or utilize its mobile app. From these business-to-consumer (B2C) transactions, FabHotels receives income.
Special Discounts & Offers:
To encourage reservations, FabHotels uses marketing techniques like discounts, exclusive offers, and loyalty plans. These marketing campaigns increase overall revenue by encouraging recurring business in addition to bringing in new clients.
FabHotels – Funding and Investors
FabHotels has raised a total of $68.6 million over the 8 funding rounds.
Date
Funding Round
Amount
Lead Investors
September 2, 2023
Venture Round
$20 million
Panthera Growth Partners
January 6, 2020
Series B
$5.6 million
–
January 4, 2019
Series B
$6.5 million
Goldman Sachs
January 1, 2019
Venture Round
–
Tracxn labs
July 26, 2017
Series B
$25 million
Goldman Sachs Investment Partners
September 30, 2016
Venture Round
–
InnoVen Capital
June 27, 2016
Series A
$8 million
Ancel, RB Investments Pte. Ltd.
January 1, 2015
Seed Round
$2.3 million
–
FabHotels – Financials
FabHotels Financials
FY23
FY24
Gross Revenue
INR 412.6 crore
INR 552.3 crore
Total Expenses
INR 424.7 crore
INR 588 crore
Profit/Loss
INR -92.7 crore
INR -114 crore
FabHotels Financials
EBITDA
FabHotels Financials
FY23
FY24
EBITDA Margin
-1.7%
-19.52%
Expense/INR of Op Revenue
INR 1.08
INR 1.06
ROCE
-33%
-84.09%
FabHotels – Advertisements and Social Media Campaigns
FabHotels Campaign
In 2018, FabHotels launched a T.V. campaign, ‘Recharge. Refresh‘. The campaign was especially for business travelers. FabHotels thought of recharging and refreshing its target customers, the business travelers with an innovative advertisement. The advertisement was broadcasted everywhere, including the leading T.V. channels and on social media platforms like Facebook, YouTube, etc.
The top competitors of the company FabHotels are OYO, Treebo, and RedDoorz.
OYO
OYO is the top competitor of FabHotels. This company is headquartered in Gurgaon, Haryana, India, and was founded in 2013.
Treebo
Treebo is one of the top competitors of FabHotels. It is headquartered in Bangalore, Karnataka, India, and was founded in 2015.
RedDoorz
RedDoorz is also one of the top competitors of FabHotels. It is headquartered in Singapore, Central Singapore, and was founded in 2015.
FabHotels – Future Plans
In the future, the FabHotels intends to enter additional Indian cities in order to increase the size of its presence. This calculated action fits perfectly with FabHotels’ long-term strategy to expand its footprint and serve a range of markets, taking advantage of the success and demand for upscale lodging in both developed and developing metropolitan areas across the country.
FAQs
How many FabHotels are there in India?
There are over 1500+ FabHotels spread across 80+ cities in India.
Who are the founders of FabHotels?
Vaibhav Agarwal and Adarssh Mnpuria are the founders of FabHotels.
After getting GST show cause notifications totalling INR 2.66 Cr, a resort in Jaipur is said to have filed a formal complaint against OYO and its co-founder, Ritesh Agarwal. According to a media report, Madan Jain, who works for Samskara Resorts, filed a formal FIR at the Ashok Nagar police station in Jaipur last week. The complainant claims that OYO gave “inaccurate information” that led to the notices. The FIR cites a number of people in addition to OYO and Agarwal for criminal conspiracy, forgery, cheating, and criminal breach of trust under the Bharatiya Nyaya Sanhita (BNS). According to the FIR, on April 18, 2019, Samskara Resorts in Jaipur and OYO inked a 12-month contract. The resort says it paid the GST owed because it saw commercial transactions worth INR 10.95 lakh during that time. In addition to the penalty, the FIR alleges that OYO made reservations with Samskara for INR 22.22 Cr during the fiscal years 2018–19, 2019–20, and 2020–21, for which the GST bill of INR 2.66 Cr is still outstanding.
20 Hotels Received Inflated Bills
Husain Khan, head of the Hotel Federation of Rajasthan, told a media outlet that up to 20 hotels had got GST notices based on “inflated bills” that OYO allegedly provided. The Federation launched a campaign against OYO four years ago, Khan claimed, citing the company’s “poor record” with hotels. OYO, which Agarwal founded in 2012, provides corporate stays, affordable hotels, coworking spaces, vacation rentals, and casino hotels, among other things. To date, the business has collected around $4.5 billion in capital, with companies like Microsoft and SoftBank Group among its investors.
Financial Outlook of OYO
Agarwal informed staff via email a few weeks before the FIR that the startup was on course to record a 60% year-over-year (YoY) revenue growth in the fourth quarter (Q4) of the fiscal year 2024-25 (FY25) to INR 2,100 Cr. In the email, Agarwal stated that the effective merger of G6 Hospitality, which increased the company’s revenue by INR 275 Cr, was a major factor in this performance. After a net loss of INR 1,286.5 Cr in the previous fiscal year, OYO recorded its first profitable year in FY24 with a net profit of INR 229 Cr. Revenue, however, decreased 1.3% from INR 5,463.9 Cr in FY23 to INR 5,388.78 Cr in the reviewed year.
Every Indian citizen is aware of the e-commerce site called Flipkart. It is a company that has grown rapidly over time, worked its way to the top, and got attention from big names like Walmart, which acquired the company for a whopping $16 billion in 2018. Flipkart is the largest e-commerce platform in India, commanding an estimated market share of approximately 38%.
Flipkart was first idealized by Sachin and Binny Bansal in 2007 while working at Amazon. The Bansal duos, who are often mistakenly thought of as brothers, were able to successfully design a business model based on their experience and expertise. Their business scheme led to the initial funding process from external sources.
Initially, they invested a total of $5,600 towards developing an ideal online bookstore. 2 years after their initial launch, Flipkart gained enough potential to raise $1 millionfrom Accel India.
Flipkart works as a marketplace that connects all interested sellers to their potential customers and assists them in making the sale. Flipkartfollows a clear Business-to-Consumer model, more commonly known as a B2C model. With over 80 categories, Flipkart has sellers for all items, ranging from groceries, toiletries, clothes, books, shoes, furniture, and electronics to more.
Flipkart’s Big Billion Day Sale is like a festival in the country. It is usually during the festival season that we get the best deals and discounts on various products.
Flipkart has now become more of a multichannel platform. It launched its FinTech app called PhonePe. Recently, it has also started its own food retail business called FarmerMart.
The company’s main focus is on providing a seamless shopping experience to its customers. It invests heavily in technology and logistics to ensure fast and efficient delivery of products. The company has also introduced innovative features like no-cost EMI options, product exchange policies, and buyback guarantees.
In 2018, Flipkart was acquired by Walmart, which further boosted its financial strength and operational capabilities. Flipkart operates multiple subsidiaries, including Myntra, PhonePe, and Flipkart Wholesale, which cater to specific customer segments and provide specialized services.
In addition to its e-commerce operations, Flipkart also offers various financial services to its sellers through its subsidiary, Flipkart Financial Services. The company has also launched its own loyalty program, Flipkart Plus, which offers various benefits to its customers, such as free delivery, early access to sales, and more.
Overall, Flipkart has transformed the Indian e-commerce landscape, and its success has inspired the growth of other e-commerce companies in the region.
Flipkart’s Revenue Generation | Flipkart Revenue Model
The most obvious source of income is via the sellers enlisted on its platform. It charges a varying and minimal commission along with a convenience fee from sellers as per their sales or revenue or an established deal.
Secondly, Flipkart has its own company called E-kart that provides logistics and delivery services to the sellers on the platform. Hence, it once again charges a minimum fee for its services.
Thirdly, when you open the website or the Flipkart mobile app, there are various advertisements visible. Flipkart lends space for them and hence generates revenue from external sources.
Flipkart Revenue
Flipkart Financials
2023
2024
Operating Revenue
INR 55824 crore
INR 70542 crore
Total Expenses
INR 60859 crore
INR 75038 crore
Profit/Loss
INR -4897 crore
INR -4248 crore
Flipkart Financials FY24
In 2023, Flipkart’s operating revenue was INR 55,824 crore, while its total expenses amounted to INR 60,859 crore, resulting in a loss of INR 4,897 crore. In 2024, operating revenue grew to INR 70,542 crore, and expenses increased to INR 75,038 crore, with a reduced loss of INR 4,248 crore.
Flipkart’s business model can be broken down into the following components:
Online Marketplace: Flipkart’s online marketplace allows sellers to list their products and connect with millions of customers across India. Sellers can list their products on the platform, and buyers can purchase those products through Flipkart.
Commission-Based Revenue: Flipkart generates revenue by charging a commission on the sale price of the products sold on its platform. The commission rate varies depending on the category of the product and the seller’s rating.
Logistics and Fulfillment Services: Flipkart has a robust logistics and fulfillment network that helps sellers deliver products to customers across India. The company charges fees for these services, including packaging, storage, and shipping.
Advertising Revenue: Flipkart also generates revenue through advertising. It offers various advertising options to sellers, including sponsored products, banner ads, and social media promotions. Advertisers pay Flipkart to feature their products on the platform, which helps increase their visibility and sales.
Subscription-Based Services: Flipkart Plus is a loyalty program that offers various benefits to its customers, such as free delivery, early access to sales, and more. The company generates revenue through Flipkart Plus subscriptions and by offering exclusive deals and promotions to its members.
Financial Services: Flipkart Financial Services is a subsidiary that provides various financial services to its sellers, including working capital loans, insurance, and invoice financing. The company generates revenue through fees and interest charges on these services.
Overall, Flipkart’s business model is focused on providing a seamless shopping experience to its customers while providing various revenue streams to its sellers and partners. It invests heavily in technology and logistics to ensure fast and efficient delivery of products, and it continues to innovate and expand its offerings to maintain its leading position in the Indian e-commerce market.
Flipkart has a strong digital marketing strategy that has helped it build a strong brand and attract a large customer base in India. Here are some key elements of Flipkart’s digital marketing strategy:
Social media marketing: Flipkart has a strong presence on social media platforms such as Facebook, Twitter, and Instagram. The company uses these platforms to promote its products, share customer reviews, and engage with its followers.
Search engine optimization (SEO): Flipkart has a strong focus on SEO and invests heavily in optimizing its website for search engines. This includes optimizing product listings, creating high-quality content, and improving website speed and performance.
Email marketing: Flipkart uses email marketing to keep its customers informed about new products, offers, and promotions. The company sends personalized emails based on customer preferences and purchase history, which helps improve customer engagement.
Influencer marketing: Flipkart has collaborated with various social media influencers and celebrities in India to promote its products and build brand awareness. These influencers help reach new audiences and promote Flipkart’s products in an authentic and engaging way.
Performance marketing: Flipkart invests heavily in performance marketing, including search and display advertising. The company uses advanced targeting and retargeting techniques to reach the right audiences and drive sales.
Overall, Flipkart’s digital marketing strategy is focused on building a strong brand and engaging with customers across various digital channels. The company’s investments in SEO, email marketing, influencer marketing, and performance marketing have helped it become one of the leading e-commerce platforms in India.
Flipkart is an online B2C shopping portal that provides shopping opportunities to Indian consumers. It allows the vendors to sell their ready-to-sell products by giving appealing discounts or sales to its consumers who wish to buy them. The buyers choose the products they want and place an order, and the products are shipped to them. The sellers get an agreed price after deducting some commission for Flipkart’s services that are provided to these sellers.
Here’s how the company functions:
Sellers list their products: Sellers list their products on the Flipkart platform, providing details about the products, including product images, descriptions, and pricing. Sellers are required to follow Flipkart’s guidelines and policies for product listings.
Customers browse and purchase products: Customers browse the Flipkart website or mobile app and search for products they wish to purchase. They can filter search results based on various criteria such as price, brand, and product category. Customers can also read product descriptions, view product images and reviews, and compare products before making a purchase.
Order placement: When a customer decides to purchase a product, they place an order on Flipkart. The customer can choose from various payment options, including cash on delivery, credit/debit cards, net banking, and e-wallets.
Notification to the seller: Once an order is placed, Flipkart notifies the seller about the order and provides the necessary details, such as the customer’s shipping address and order details.
Product delivery: The seller ships the product to the customer’s address using Flipkart’s logistics and fulfillment network. Flipkart provides various services to sellers, including packaging, storage, and shipping, to ensure fast and efficient delivery of products.
Payment processing: Once the customer receives the product and confirms the delivery, Flipkart processes the payment and deducts the commission and fees from the seller’s account. The percentage commission charged by Flipkart varies depending on the type of product and its sales. It ranges from 5% to 20%, excluding taxes and discounts. This was the basic idea from which Flipkart earned its online place.
Customer service: Flipkart provides customer service support to handle any issues or concerns that customers may have regarding the product, delivery, or payment.
E-commerce Business Model
Other Sources of Revenue for Flipkart
Flipkart generates revenue not just by selling products but has various revenue channels, including:
Web Portal: Providing a platform to the sellers, Flipkart charges a commission for all the services given to them, proving to be the basic source of revenue.
Listing & Convenience Fee: This is another method of revenue; it charges some amount of listing fee to the sellers and convenience fee to the buyers for fast delivery. The convenience fee also includes the gift-wrapping charges and billings that add up to the total revenue of the company.
Logistics: This is revenue collected from the sellers for shipping their products. It provides services to its sellers that are similar to other courier companies. The charges of delivery services vary from place to place and the distance required to be covered.
Digital Media: Flipkart sells ads to the sellers or brands as well as various products such as co-advertising, co-branding, etc.
Co-branding Opportunities On Flipkart’s Homepage: The slider on Flipkart’s homepage introduces a chance for sellers to advertise their products and launches to the buyers, which get thousands of views.
Co-advertised Products Towards Publications: These are ads that are shared by the newspapers and magazines’ front pages and allow the brands to advertise themselves. Suppose a new phone has been launched in the market. Flipkart gets the ad on the front page of the newspaper, and the cost is shared with the brand that has to advertise the product.
Target Search Results: This works like when someone searches for a product; Flipkart decides which sellers’ products are to be shown on the top. This is the space that will be solved by Flipkart shortly.
Myntra:Myntra is a website owned by Flipkart, which is another online fashion portal that boosts up the overall fashion category of Flipkart. Myntra earns a huge amount of sales on its fashion products and has been measured to be higher than the fashion sales of Flipkart. The revenues earned by the website Myntra are accounted for the total earnings of Flipkart.
Conclusion
Flipkart is focusing on bringing back local brands to its platform to improve the buying experience for its users. The business model of Flipkart is all-encompassing and has several revenue-generating streams. Overall, Flipkart’s business model has disrupted the traditional retail industry and transformed the way people shop in India. Its success has inspired numerous other e-commerce platforms to emerge, making it an important player in the Indian economy and a model for other companies to follow. There is a lot to learn from the Flipkart revenue model.
FAQs
What is Flipkart?
Flipkart is one of India’s largest e-commerce companies, offering a wide range of products like electronics, fashion, home goods, and more. Founded in 2007, it allows customers to shop online while handling delivery, payments, and customer service.
How Flipkart earn money?
Flipkart makes money by charging a commission on the sale price of the products sold on its platform, as well as fees for logistics and fulfillment services, advertising, subscription-based services, and financial services.
How does Flipkart differ from other e-commerce platforms?
Flipkart was one of the first e-commerce platforms in India and has played a significant role in transforming the retail industry. The company’s focus on technology and innovation, customer-centric approach, and strong logistics and fulfillment network have helped it maintain its leading position in the Indian e-commerce market.
Flipkart is B2B or B2C?
Flipkart operates on the B2C model (Business-to-Consumer).
What is Flipkart Plus?
Flipkart Plus is a loyalty program that offers various benefits to its customers, such as free delivery, early access to sales, and more. The company generates revenue through Flipkart Plus subscriptions and by offering exclusive deals and promotions to its members.
How does Flipkart handle customer complaints and returns?
Flipkart has a dedicated customer service team that handles customer complaints and queries. The company also has a flexible returns and refund policy that allows customers to return products within a specified timeframe if they are not satisfied with their purchase. Flipkart also provides various options for customers to contact customer service, including phone, email, and live chat.
How has Flipkart impacted the Indian economy?
Flipkart has had a significant impact on the Indian economy, particularly in the e-commerce sector. The company has created numerous job opportunities, both directly and indirectly, and has helped many small and medium-sized businesses reach a larger customer base. Additionally, Flipkart has contributed to the growth of the digital economy in India and has played a key role in transforming the traditional retail industry.
What are the top competitors of Flipkart?
Flipkart faces strong competition from other e-commerce platforms in India. Some of the top competitors of Flipkart are Amazon India, Snapdeal, Paytm Mall, Jabong and more.
How Flipkart works?
Flipkart works by connecting buyers and sellers online. Sellers list products on the platform, buyers place orders, and Flipkart handles payment, delivery, and customer support.
What is Flipkart business model?
Flipkart operates on a B2C marketplace model, where it connects sellers with buyers through its online platform. Sellers list their products, and Flipkart manages orders, payments, and deliveries. It also follows a partial inventory-led model for certain products. The company earns revenue through seller commissions, advertising, logistics services, and direct product sales.
The funds will be used to expand BeastLife’s product line, enhance R&D & scale distribution with a focus on delivering high-quality, science-backed supplements tailored for athletes & fitness enthusiasts across India.
The brand’s equity split includes Gaurav Taneja holding a 40% stake, Raj Gupta holding 15% and Varun Alagh holding 30% & 15% ESOP.
Indian cricketer Rinku Singh has invested INR 1.9 crore in sports nutrition startup BeastLife, valuing the company at INR 120 crore.
The funds will be used to expand BeastLife’s product line, enhance R&D, and scale distribution, with a focus on delivering high-quality, science-backed supplements tailored for athletes and fitness enthusiasts across India.
The brand’s equity split includes Gaurav Taneja holding a 40% stake, Raj Gupta holding 15% and Varun Alagh, Co-Founder of Mamaearth, holding 30% and 15% ESOP. The company faces competition from other fitness brands like MuscleBlaze, Optimum Nutrition, GNC etc.
“BeastLife stands for something bigger than just supplements. It’s about creating the finest products with top-quality ingredients, backed by science and integrity. What really drew me in was the brand’s vision to make world-class sports nutrition accessible in India. That’s something I believe in deeply and am proud to support,” said Rinku Singh.
Raj Gupta, Co-Founder & CEO of BeastLife, commented,“Rinku’s belief in BeastLife goes beyond just a partnership. He aligns with what we’re building and wants to help shape the future of fitness in India. His support is a huge validation of our purpose.”
Gaurav Taneja, Co-Founder of BeastLife, added, “Rinku embodies everything BeastLife stands for discipline, performance and authenticity. This partnership is a big step in making science-backed, athlete-approved supplements a household name in India.”
Co-founded in 2023 by fitness influencer Gaurav Taneja and entrepreneur Raj Gupta, BeastLife has swiftly established itself as a trusted name in India’s growing fitness market. Within just over a year, the brand claims to have recorded INR 50 crore in gross merchandise value (GMV) and turned EBITDA-positive. Currently, it is on track to achieve an annual recurring revenue (ARR) of INR 80 crore while keeping performance marketing spending efficiently capped at 15%.
BeastLife offers a range of premium sports nutrition products, with flagship offerings like the Pro Concentrate Whey Protein featuring Ultrasorb Tech, designed to optimize muscle recovery and athletic performance. The brand emphasizes clean formulations, top-tier ingredients, and scientific validation to meet the demands of India’s new-age athletes.
In a recent move, the Reserve Bank of India lowered the repo rate by 25 basis points to reach 6%. The banks responded quickly, trimming their fixed deposit (FD) interest rates in short order across a range of tenures. The shift is now pretty much where you want it, aimed at liquidity, and looking to stimulate through an accommodative policy stance that makes retail banking products a little less attractive.
SBI, BOI Lead the Rate Reduction
The largest lender in India, the State Bank of India (SBI), has declared a decrease of 10 basis points in FD rates for deposits of under INR 3 crore, effective April 15, 2025. For time deposits of 1-2 years, the interest rate is now 6.70%, down from 6.80%. For fixed deposits with maturities between 2 and 3 years, the interest rate is now 6.90%, decreased from the previous rate of 7.00%. Senior citizens continue to earn 50 bps more under the “SBI We-Care” program, which offers preferential rates for time deposits.
Bank of India (BOI) has done one better and cut FD rates by a further 25 basis points. The rate for 1-2 year deposits, for example, is now at 6.75% (down from 6.80%). For short-term deposits (tenure 91 days to 1 year), the bank has also slashed rates; and it has done away with its high-yielding 400-day scheme that offered a premium of 7.30% before this cut was announced.
Private Banks Adjust Long-Term Rates
The private sector behemoths HDFC Bank and Yes Bank have also followed the trend of cutting rates. HDFC Bank has cut rates for its longer-term deposits by 35 to 40 basis points, which affects deposits that mature in 2 years and 11 months and 4 years and 7 months. Yes Bank has made a uniform cut for FDs that mature between 12 and 24 months. All of this demonstrates the wider industry ripple effect of the central bank cutting rates.
PNB and Canara Bank Fine-Tune Offerings
Other public sector players, such as Punjab National Bank (PNB) and Canara Bank, have also made adjustments to their FD rates. While PNB maintains an offering of up to 7.10% for its 390-day deposit, Canara Bank made some trims to its select suite of rates, with the most notable being a reduction of 20 basis points to some of its terms (not including the 444-day FD). However, the offer with the bank that stands out is still the 444-day FD at 7.25%. This sky-high rate, if you want to call it that, is still a very attractive option for not just long-term savers but also for senior citizens, who are receiving an extra 50 basis points on what is an already elevated rate.
As fixed deposits across the board have seen their rates softening, it is high time that we took a step back and re-evaluated our income strategies. Broadly, our financial advisors have suggested looking more towards short-duration debt funds and even some kind of niche deposit scheme that might be yielding better than the kind of fixed deposits we are used to. The distance we seem to be from the next rate hike entails that our fixed deposit returns might be compressed even further for the kind of time frame we might have considered a “safe” space.
Pratiksha Bajikar
