Aren’t we all familiar with Wikipedia? They are the world’s largest encyclopedia, and they are also completely free. If you want to know the population of a country or the future film of your favourite actor, we all go to Wikipedia, the online Encyclopaedia. It will be one of the top results if you type anything into Google.
Most of you are probably wondering who still uses it because we all know it’s not a credible source, and even they are aware of it. They even have a Wikipedia page that claims Wikipedia is not a trustworthy source. This is because it is run entirely by volunteers, and anyone can modify the article. This website contains over 5.5 million articles and 33 million registered users, which may surprise you. So now you know how popular this website is.
Okay before we move on to its business model let’s have a look at how this concept came to be in the first place.
Wiki predates the website itself, having been coined in 1995 by an American programmer named Ward Cunningham. For any database of information gathered collaboratively by a community of users, Ward Cunningham created the first Wiki in 1995, known as the âWiki Wiki Web,’ after the Hawaiian word for âquick. Following Wiki Wiki Web, the next major source of information was Nupedia, which was created by Jimmy Wales in 1999 and funded and underwritten by the dot com business âBomis’.
Wikipediaâs antecedent: Nupedia
Larry Sanger, a programmer, was hired in January 2000 to supervise Nupediaâs pages. Previously, the pages required a seven-step approval process before they could be published in an attempt to ensure the articles were of the highest quality with editors expected to hold Ph.D.’s in the field of the publication. The flipside of this approval process was the rate at which art schools were produced with new media accepting only 21 pieces in its first year, not satisfied with the website’s ability to distribute information at such a rapid pace. In 2001, Sanger & Wales started âWikipedia,’ a side project with a significantly straightforward approval process.
The rise of Wikipedia
Rise in No. Of Articles (2002-2020)
It was originally meant to be a for-profit corporation that also provided the website’s bandwidth and server. Within a year of launch, Wikipedia International was also made available in the languages of French, German, Swedish, and Italian and a total of 20,000 articles have also been published. In 2002, Wales and Sanger agreed that Wikipedia would be a non-profit organization, and the firm withdrew from a project due to financial difficulties. In 2003, Nupediaâs website was deactivated and its content was absorbed into Wikipedia, which adopted the first iteration of its jigsaw world logo. In 2003, the Wikimedia Foundation was founded, which is currently Wikipedia’s parent company, and also manages the companyâs other products like Wikiquote, Wiktionary, and WikiBooks.
about wikipedia
Wikipediaâs Business Model
Wikipedia is a user-generated encyclopaedia. An online platform that allows users from all around the world to write or update information based on credible sources. This is what makes Wikipedia unique. People can share their thoughts on an issue, providing them the opportunity to stand up and express themselves. It can be a good way for an unlearn strategy (exactly what the word says you forget what you have learned back a long time ago and keep an open mind for new perspectives).
This streamlines Wikimediaâs Business by removing the need to focus on how to increase visitors to their website because there are already volunteers providing free content. All they have to do now is focus on the website, server, and management.
Joining Wikipedia
How Wikipedia makes money?
Wikipedia has continuously been ranked among the top ten most visited websites in the world over the previous decade, with over 50 million pages. Wikipedia continues to rely on voluntary donations for the majority of its funding, with over $90 million in donations received last year. Its board members uphold that they want Wikipedia to remain a free, ad-free information source. On its web store, it sells branded mugs and T-shirts, which produce modest revenue. The average donation to Wikipedia is roughly $15 and their contributions are tax-deductible in several countries.
Criticisms of Wikipedia
Despite being a valuable learning resource for millions of people all over the world, Wikipedia has not been without its critics. In a survey by The Guardian, the three most common criticisms were poor English usage, omissions of vital information, and articles that were unbalanced. It appears to be a small sample of those in charge of the worldâs biggest learning resource, with only 400 employees. Several vandalism attacks have also been made against Wikipedia. One of the most well-known examples is the removal of Donald Trump’s page in 2015, which was replaced with the words âLetâs be fair nobody cares about him”. Some of the websites’ fundraising banners have been chastised for obscuring articles and misled people to believe Wikipedia was in financial trouble.
Conclusion
Despite these pitfalls, Wikipedia has been described by Time magazine as the biggest and finest encyclopaedia on the planet. This resulted in a monthly user base of over 250,000,000. It can be impossible to verify what you are reading is always 100 percent true due to the prevalence of Internet vandals and the website’s fundamentally open nature, but I think you’ll be fine with some common sense and cross-referencing.
When most people think of social media, they think of Facebook or Instagram, but LinkedIn is rarely seen as part of the broad array of social media platforms accessible.
Reid Hoffman envisioned a location where professionals could meet, interact, and exchange knowledge when he founded LinkedIn in 2003. He desired a platform that would allow business experts to easily locate one another.
Reid’s initial venture was a social networking site called Socialnet, which he launched before LinkedIn. That was seven years before Facebook, in 1997. The events of Socialnet, according to Reid, “left wounds and spilt a lot of blood.” The most important lesson he learnt was the need of concentrating on one single subject, business.
He saw a rising demand for a one-stop network where professionals could further their careers, learn and share information, create brands, and recruit talent; LinkedIn was created.
We have a tendency to believe that LinkedIn isn’t as useful as it appears, and many organizations fall into this trap, believing that it would be considerably more helpful to focus on their presence on Twitter, for example. There’s a logic to this: LinkedIn is for companies, but I’m seeking to promote to actual people, and they’ll be on other, more relaxed platforms, so I might as well go there too.
This logic is incorrect. Why? Well, here are a few reasons as to why is LinkedIn a better platform for building a brand better than other platforms?
This is true for both individuals seeking new career opportunities and businesses seeking to extend their brand. Where can a potential employer find you as an individual? On Facebook or Instagram, for example. But do you really want them to see that photo of you at the beach in your funky clothes, or the nasty joke you posted the night before? Most likely not. These are personal information about you that detract from your professional image.
You’ll need a location to put all of your professional skills and expertise on display. A place where you may write clever, well-thought-out posts that are both casual and personable while also displaying your professionalism. That’s how LinkedIn works.
The same is true for enterprises. Another company you’re interested to partnership with doesn’t want to see your funny Instagram marketing campaign, no matter how brilliant it is. It wants to perceive you as a worthwhile long-term investment.
Linkedin- Relevant Search for Your Business Connection
The power of search is something that most people overlook when it comes to Twitter, LinkedIn, and social media in general. While posting, sharing, tweeting, and updating are all important, the true strength of these platforms lies in their ability to search and engage.
When it comes to searching and engaging, the difference between Twitter and LinkedIn is what you’re looking for. On Twitter, the emphasis is on content, tweets, and subjects, but on LinkedIn, searching for companies and individuals to connect with is more powerful.
Of course, you can search for information and individuals on both platforms, but Twitter excels at finding relevant people in your industry to connect with, and LinkedIn excels at finding relevant people in your business to connect with.
Linkedin- Professional Networking
There are 61 million senior level influencers on LinkedIn, with 40 million of them being decision-makers. There are 87 million registered members in the Millennial group alone, with 11 million of them in decision-making positions. It’s a plethora of chances for professional networking.
It’s a sensible entrance point for business-oriented people who don’t have time to wade through a lot of personal messages, unlike Facebook and other social media sites.
On LinkedIn, there isn’t much enthusiasm for revealing trivial or intimate information. Instead, you’ll primarily discover professionals looking to network with other like-minded businesses and organizations.
Linkedin Brand Building
Linkedin- Easy to Track Rivals
Because, let’s face it, every company has them. And, in order to stay on top of the game, you have to keep track of what they’re doing, right? There’s no better site than LinkedIn to achieve that. Your rivals’ Facebook page will not tell you what they’re up to, just like your Facebook profile won’t tell you what they’re up to for a possible business partner.
And you must remember this in order to flourish as a business.
Remember that amazing young professional you met three years ago at that conference? Or that buddy of a friend who wanted to work for your firm as a freelancer?
To be honest, I doubt it.
When you meet new people, instead of throwing their business cards in your desk drawer or adding their email addresses to your out-of-date address book, add them to your LinkedIn professional network. Keep them in your contacts so you may reconnect with them when the moment is perfect.
Linkedin- Customer Satisfaction
Because LinkedIn’s platform allows you to quickly engage with your consumers, it can help you increase overall customer satisfaction. You may conduct surveys, request testimonials, and even send direct notes thanking consumers for their continued support. This will let you identify what works and what doesn’t over time, while also demonstrating to your consumers that you care about them and the business they provide. Because the feelings of gratitude that come with being heard are unrivalled, encourage a balance of public and private contacts. LinkedIn, like Facebook, provides a means to handle customer care and address any concerns that may emerge, although on a smaller scale. LinkedIn, like Facebook, provides a platform for handling customer service and resolving any concerns that may emerge, but on a more professional level.
When you log in to LinkedIn, it creates a timeline similar to other social networking sites. You’ll discover the latest news from your contacts, organizations, and company there. Keeping track on industry trends and reports is both entertaining and prudent.
Linkedin Vs Facebook
Despite the fact that Facebook provides a variety of useful networking and advertising options, both paid and free, an increasing number of users are quitting the popular social media site. Businesses and customers alike are abandoning Facebook in favor of alternative, more trustworthy platforms due to a significant number of data breaches and confidentiality issues. LinkedIn is one of these sites, and while it may not have all of the features that Facebook has, it isn’t far behind. In reality, we feel LinkedIn offers certain benefits over Facebook, particularly in the corporate world.
Here are a few reasons why:
Multilayered Targeting
You may target individuals based on their job titles, degree of seniority within a business, and the talents they possess, in addition to targeting based on corporate relationships. If you’re looking for a business development manager, or any other job title for that matter, you can just type in a search query and get a slew of results, regardless of the firm you work for. This is ideal for companies looking for a point of contact, to fill a position, or to just expand their network of individuals in similar professions.
Sponsored Mail
The chances of someone clicking on a sponsored ad on Facebook are minimal to none, and if they do, the majority of people will be upset and may even ban your business. Sponsored in-mail on LinkedIn, on the other hand, is well-known and well-received. This is due to the LinkedIn user attitude and the value that most sponsored in-mail offers. All you have to do when creating your marketing campaign is put together content that will be relevant and helpful to the people you’ll be reaching out to. Include a clear and responsive call to action, and distribute it to your target audiences using the lists you’ve built.
The fact that your message will only be delivered to your audience members when they are active is a significant advantage of LinkedIn mail, which boosts open rates and overall replies.
Contact Information Is Easily Accessible
Although Facebook has a retargeting tool, it may be tough to findâ especially if you’re looking for company-specific data. LinkedIn has more easily available contact information and a direct message system that is not subject to the same stringent screening methods as Facebook. Due to LinkedIn’s algorithms, there are a variety of ways to run sponsored advertisements to a list of matched audiences using their email addresses or just a list of corporate contacts. This means you’ll be able to reach a wider audience with less work, improving your lead list and sales potential in the future.
You may also search by seniority if you know you need to speak with someone with a lot of power in a company. Again, the purpose of these searches is determined by your requirements, but eliminating people who aren’t decision makers is a great approach to save time in the long run. Finally, depending on your objectives, LinkedIn offers the opportunity to search for people who possess a certain skill set. Because LinkedIn primarily relies on third-party recommendations, you can immediately discover what they’ve been ranked best at, allowing you to swiftly determine why they’d be valuable to your company.
If you require a more refined audience, LinkedIn also allows you to perform focused searches and create lists based on certain demographics.
LinkedIn VS. Twitter
Here are some key distinctions between Twitter and LinkedIn, as well as what you should know while developing your strategy:
The way you communicate on LinkedIn is significantly different from how you communicate on Twitter.
This is arguable, but Twitter is more suited for informal everyday material like photographs of your meals or selfies than LinkedIn. It is not suggested that you just use Twitter to post photographs of your food, nor that taking a selfie on LinkedIn is a crime, but keep in mind that LinkedIn is a more professional network, whereas Twitter is better for short-form casual conversation.
On each website, look for the differences in relationships.
This is an important issue that is frequently missed. Twitter was created with one-to-one connections in mind: a follower and a followee. LinkedIn, like Facebook, is more bidirectional; it is a two-way street. Of course, you can follow individuals on LinkedIn, but it was an afterthought in the platform’s design.
A reciprocal connection is more important and relevant from a psychological standpoint than simply following someone and them not following you back. This is a significant distinction that should not be overlooked when customizing the material you post on the two sites.
Recognize when self-promotion is appropriate.
This might be my own interpretation of the two platforms. However, although updating your network on LinkedIn about your job, company development, and team success is okay, doing it on Twitter is frowned upon.
Self-promotion on Twitter is frowned upon, and businesses who exploit the site to market are immediately branded as spammers and abusers. Of course, it is not suggesting that you should use LinkedIn for shameless self-promotion, but individuals on LinkedIn are looking for more professional updates, and they have a higher tolerance for semi-promotional content.
Conclusion
If you were unsure about how many advantages LinkedIn might offer, perhaps this list has persuaded you that it is one of your most valuable professional tools. You may use it to expand and maintain your network, look for employment, and improve your professional reputation. It’s also completely free. So, what are you waiting for?
FAQs
Why is LinkedIn important for branding?
It is a professional way of branding and an effective tool for brand awareness and brand promotion.
Why is LinkedIn so popular?
It has more than 600 million professional profiles to help you build a good network connections, job opportunities, brand building and marketing.
Who is the CEO of LinkedIn?
Ryan Roslansky is the CEO of Linkedin.
How do you use branding on LinkedIn?
Linkedin branding can be done by effectively optimizing your profile, page, content and posts.
Are you interested in gathering all the information about the business model of Freecharge? If yes, then here we have something that can help you out. Â In this piece of writing we will walk you through the journey of Freecharge.
Freecharge is an ecommerce website that has revolutionized the way people do business. It is the name that appears in everyoneâs mind when somebody talks about doing phone recharge. It is one of the successful companies that has gained a million user base in its starting year. Cash shortages have punctuated Freecharge’s path, shifting leadership, from conquering the Indian market via mobile recharges to clinching the most significant purchase ever in the country’s startup community.
We all know about the Snapdeal Acquisition. Right? It was one of the biggest purchase made up in the startup community.
Axis Bank has purchased Freecharge from its parent firm Snapdeal for $60 million in the most recent development.
Technical entrepreneurs- Sandeep Tandon and Kunal Shah established Freecharge, which was formerly known as Paisaback. Paisaback is like Groupon, a leading company in the United States that deals with promotional offerings such as rewards points, discounts, and vouchers. They began their business in Bombay. After discovering that a mobile phone retailer was deriving all of its revenues from the money generated by its prepaid client base, the company’s partners came up with the concept of Freecharge.
Tandon and Shah eventually left Paisaback and launched Freecharge in August 2010. This website’s first service was mobile phone recharging. They quickly expanded its transaction verticals, including postpaid cell phone bills, DTH, data packages, and utility bills such as gas, water, electricity, and telephone bills.
Soon after, they start handing out discount vouchers for popular food and shopping locations, equal to the recharge price. The site has 1.5 million customers and 10,000 sales daily thanks to partners including McDonald’s, Puma, Domino’s, Cafe Coffee Day, Crossword, Croma, and numerous e-commerce sites.
Freecharge has almost twelve million subscribers and five million smartphone app downloads, according to the latest survey. It’s one of the greatest rates of growth in the recharging sector. Freecharge has partnered with numerous commercial websites such as MakeMyTrip, Myntra, and Amazon. If a user transacts on these sites using Freecharge, they get rewarded with Freecharge Credits.
Freecharge claims to have a transaction time of 10 seconds and a success percentage of 99 percent. It has a 70% customer retention rate and a monthly use frequency of more than five times each user.
founder of freecharge- Kunal Shah
Freecharge- Business Model
Now comes the section where we are going to put light on the business model of Freecharge. It depends on two things which are direct recharge or online banking, and the second is a brand advertisement. One can access their service via a website or mobile app. When customers utilize their services, they are rewarded with money for shopping vouchers for major stores, restaurants, and cab services, making it a nearly free recharge. It operates in the same way as Freecharge’s large-scale advertising does, and the voucher owner receives more visits than any local news media, so it’s not a waste of resources for them.
Now talking about the second source, which is a brand advertisement. For this particular, Freecharge has made tie-ups with several brands such as Dominos, Puma, Croma, Shoppers stops, and much more. When you recharge, you will get  rewards or discount vouchers for local shops. Premium vouchers can also be obtained by paying a small fee. Ultimately, your recharge gets topped up with deals equivalent to the recharge amount, thus rendering it accessible. So it is a win-win case for both other brands as well as Freecharge. Freecharge creates customers for other brands, and customers are happy with Freecharge because they are getting free vouchers.
How Freecharge earns Money?
Now the mystery must be sprouting in your head, how Freecharge is making money. Freecharge collects the email addresses of the users. They continue to post offerings to keep you connected to their family. They will also alert you if the membership has not been renewed. When is the time to recharge as they have your contact information stored. Promotions and discount coupons are delivered to this email. Freecharge has also formed partnerships with several banks, which give discounts for utilizing their products.
They earn money from two sources.
1. Service Providers – Freecharge profits similarly as the local shop gets some commission from telecom operators by offering recharge services for the company. Still, since it serves a far more extensive consumer base, its revenues are correspondingly higher. There are around 10 million users on the platform, so their revenue is comparatively high and the most significant source of income for the company.
2. Coupons from Various Companies – This choice may appear counterintuitive at first, but it becomes apparent after you grasp the business aspect. Companies pay Freecharge to have their discounts shown on the portal, which you may access for free and for a nominal fee. Now the question must be why corporations would enable individuals to buy their items using coupons. Still, the entire couponing process is a marketing technique used by a company to increase sales.
Freecharge- Marketing Strategy
Freecharge has a long list of lucrative and fantastic items to its credit, and it has run several promotional campaigns to establish itself as a household brand. Its business approach is based on creative concepts. In India, television is a popular advertising medium with a large audience. Freecharge utilized this electronic media to begin its nationwide marketing. Coupons have been a critical difference for Freecharge since it offers unique alternatives that aren’t available elsewhere.
Because its clients are its brand ambassadors, the firm also depends heavily on word-of-mouth advertising. Freecharge has used social media platforms like YouTube as an advertising tool to attract internet users and loyal clients.
Conclusion
There you go! Now you know all about the business model of Freecharge. It is indeed one of the successful startups of India who had acquired the largest M&A deal in India’s startup ecosystem. From the very beginning, Freecharge knew whom they were going to target. The millennials and the youth are the influential markets for the company because these are the people who spend half of the time on the phone. Thatâs why it became so much popular in a short period.
The Axis bank acquisition of Freecharge is hoped to be best for both companies.
FAQs
Who acquired Freecharge?
Axis bank has acquired Freecharge.
Is Freecharge Indian?
Yes, Freecharge is digital payment app in India, with headquarters in Mumbai.
Are you eager to know all about the business model of WhatsApp? If the response is yes, then this blog is all you need.
There would be hardly anyone on this planet who is not aware of what WhatsApp is? It is one of the most vital communication tools. Itâs not like WhatsApp doesnât have any competition, there were several players like Line, Wechat, Fiverr, but nothing compares to WhatsApp. Every single user who uses smartphones has this one application installed on the phone.
It is the application that keeps us connected with family, friends, and colleagues. We utilize WhatsApp’s functions for a variety of purposes. Thus it has become an indispensable tool in our everyday lives. The platform has a wide variety of applications and may be used for both professional and personal reasons. For example, to send text or voice messages, photos, and videos to our loved ones and friends, we choose to use the app.
Statistically speaking, it has around 2 billion active monthly users in roughly 180 countries across the world. These figures outnumber active members of many other popular messaging applications like Facebook Messenger, WeChat, etc.
The men behind Whatsapp are Brian Acton and Jan Koum, who used to work in Yahoo. Jan Koum was the one who came up with the idea of Whatsapp. The journey began when he purchased the iPhone in January 2009. He instantly identified the potential of the app business on the App Store, which was only just several months old at the time. He intended to create an app that displayed user statuses beside their names. After discussing the concept with Acton, the two went to Alex Fishman for further information. They worked on the idea, created the iOS version, and established the âWhatsApp inc.’ in California. The idea behind the name to be âWhatsappâ was to make it familiar with whatâs up. It is pretty catchy.
None of their friends and family liked the initial version because it was consuming battery, the app was crashing, and much more. When Apple launched its push notification update, most users found it fun which led to Whatsapp 2.0. The plan was to build an instantaneous messaging platform for everyone.
People were enthralled by the prospect of checking in with simply a phone number and sending texts to friends through the internet rather than through carrier SMS plans. Because rivals like Blackberry’s BBM were just for Blackberry users, and G-Talk and Skype ask users to provide a unique ID to interact with others, consumers liked this WhatsApp, because it is free from such restrictions.
WhatsApp became a handy software due to its user base growing to 250,000 in only a few months. The software was initially released on the iPhone app store, and then after a few months, it was available for Blackberry. In December 2009, the ios version was updated to enable users to exchange photographs, and an Android version of the software was released in 2010. Both creators became billionaires without ever placing an ad on the app.
The application was first charged in the shape of a yearly fee or an initial installation cost, and many users were prepared to spend for it. Later, in 2013, the installation fees were eliminated, and the setup became utterly free. After that, a $1 yearly subscription charge was meant to be paid by members.
Facebook bought WhatsApp
Furthermore, between 2011 and 2013, Sequoia Capital invested $60 million in WhatsApp, including $8 million in round one and $52 million in the subsequent round. In February 2014, Facebook bought Whatsapp for $19 billion, making it the company’s biggest purchase deal. After that, further developments in App services came into existence. At the beginning of 2016, the $1 membership charge was eliminated.
WhatsApp Business Model
WhatsApp- Business Model
Now comes the question: what is the business model of WhatsApp, and how was the company earning in the starting year. Below are the pillars of the WhatsApp business model:
1. Value Proposition – Â WhatsApp has given its users a lot of value. The brand’s core value proposition comprises its appealing and trustworthy characteristics and its accessibility, affordability, simplicity, low-risk element, and brand recognition. However, the very thing that attracted the customer was the plethora of features like sending message audio and video to friends without worrying about logging in and out. The best part was you can send messages for free all you need is a data pack that attracts the customer towards the platform. In addition, WhatsApp’s security standards are robust, which minimizes the danger element. It sends encrypted communications and guarantees that each communication transmitted through the app has a distinct lock and key. This feature builds trust among the customer.
2. Customer Segments – WhatsApp’s users are mostly smartphone users. It is used by everyone from teens to adults to the elderly. The app’s intended audience is users who wish to interact with one another for personal or business reasons. This software is a valuable tool amongst international users since it allows them to connect with relatives, friends, and co-workers who are not in their own country. Business owners also use the app to communicate with their consumers and conduct promotional events.
3. Focusing on Partners – WhatsApp’s team formed crucial connections with far more than 50 carriers worldwide. One of the most profitable relationships has been with Sequoia Capital, which provided a significant amount of funding to the brand and played a large part in its growth and career expansion. In addition, WhatsApp frequently forms strategic agreements with mobile firms to grow its services and user base. App shops, OS integrators, and various banks are among WhatsApp’s other significant partners.
4. Focusing on Resources – The central part of the WhatsApp business model is focusing on resources. They have three types of resources which are physical, human, and organizational. The application’s biological resources are mostly its software and hardware. WhatsApp has a fantastic group of engineers who make up an outstanding development team, representing the company’s human resources. WhatsApp’s unique software suite is the company’s most important organizational resource, with over 2 billion people worldwide. These assets also include the brand’s significant collaborators, such as telecom carriers, device makers, software engineers, and others, who helped the brand grow its user base.
5. Focusing on Aim – The aim played a considerable role in the WhatsApp business model, which is to be a reliable platform for people all across the globe; thatâs why they work on enhancing support, providing security, privacy, and much more.
6. Channels – WhatsApp’s main outlet is its smartphone app. The marketing materials used by the business to market its goods include social media postings and its site. Other options include Google Play, the App Store, and other portable devices.
7. Customer Relationship – Customer relationship plays a crucial part in app success, and WhatsApp keeps that in mind. The brand’s website is set up to respond to a variety of commonly asked questions by visitors. In addition, personal support is given via built-in email assistance. Furthermore, WhatsApp’s customer relationship includes a zero-ad policy, ethical use of social networks, truthful blog posts, and end-to-end encryption, among other things.
8. Revenue Generation – Watsapp was very clear about not displaying ads on the application. But to survive, it is essential to generate a source of money. As a result, in some regions, the company implemented a paid service in which consumers were obliged to pay a $1 yearly renewal fee.
Following Facebook’s takeover of WhatsApp in 2014, the company has devised a new revenue-generating strategy. The following are a handful of the company’s brand recent income initiatives.
1. Whatsapp for Business – WhatsApp Business, an enterprise app, was introduced in January 2018 to help small companies. This app was created mainly for businesses to communicate with their consumers or shoppers. Further, WhatsApp Enterprise Solution was designed by Facebook for big companies with a worldwide customer base. Using WhatsApp conversation, they might provide e-commerce or customer care.
To sum up! This is all about the WhatsApp business model. The company is a familiar name to everyone. There is no contradiction in the point that this platform has revolutionized the way we communicate today. It has taken over SMS, MMS, and other services. The software is popular among all age groups, and with Facebook’s control over it, we will see more WhatsApp in coming years.
FAQs
Who is the founder of WhatsApp?
Jan Koum and Brian Acton have founded WhatsApp in 2009.
When was WhatsApp acquired by Facebook?
Facebook has acquired WhatsApp in 2014.
Is WhatsApp business free to use?
Yes, WhatsApp Business is free to download and use.
Who pays for WhatsApp calls?
WhatsApp Caller and receiver, both parties pay data charges to call and receive a call from thenetwork being used for the WhatsApp call.
Is WhatsApp payment available in India?
WhatsApp Payment service is now available for up to 20 million users in India. It has been designed on the National Payments Corporation of India’s (NPCI) Unified Payment Interface (UPI) system.
Indians prefer ordering from amazon compared to other marketplaces, Amazon has been dominating the Indian market since its entry in India, and it’s the most profitable website to market your products. Most businessmen prefer selling their products on amazon. Amazonhas seen massive growth since its entry into the Indian market many competitors have to try to come as close as the figures of amazon but in vain. If you want to start selling on amazon we will guideyou right away. Are you ready to grow your business on Amazon, let’s get started:
Here are some documents you’ll require for registering an amazon seller account:
PAN Card – PAN card can be individual if you hold the proprietorship or if you own a Pvt limited company, so the PAN card should be in the name of your company.
GST Number – You need a GST number to fulfill the registration process.
Bank Account – You require a bank account that can be current or a savings account.
Email Id – Email id is also required to fill the registration form which can be your email id or your business email id.
Mobile No.- Lastbut not least you need a mobile no. for registering your account.
First, you need to visit Amazon.in then scroll down there you’ll find an option sell on amazon, click on that option and a new tab will be open after that Amazon will offer you 2 business plan Professional and Individual.
How to Sell Through Amazon India?Amazon Product Tax Code
2. Create an Account
Enter your personal details and create your amazon seller account.
Create an Account
3. Register your Store
Fill in your details and create your amazon seller account then you will be asked to add your Registered Business name or the legally registered store name.
Register your Store
4. Verify your Mobile Number
Verify your mobile number for further.
Verify your Mobile Number
5. Seller Information
After that, you have to add your store name and the address of your store which it is located in after you add the address of your store, Amazon will display a message of amazon Easy ship service in this service amazon will pick orders from your store and directly ship them to the customers. If you don’t want to employ amazon Easy ship you can provide the contract to any third-party shipping services which will ship the package for you.
Easy Ship Fee in AmazonEasy Ship Fee Amazon
6. Tax Details
Fill in your GST details and if you don’t have one register your GST at how to register GST at amazon services and proceed further.
Tax Details
7. Choose the Category of Products
Now you have to choose the categories you want to sell in your store. (Choose the products which are high in demand to get maximum sales), after selecting the categories Amazon will ask you to fill some questions such as where do you get your products from and what is your annual turnover answer these questions and proceed to the dashboard.
7. Amazon Listings and Shipping Rates
Click on start listing and list down all the products you’re going to sell in your store.
Now you have to set the shipping region your going to ship such as rural or urban and set the shipping rates and days for that area, if you don’t want the hassle of shipping choose amazon easy ship, and Amazon will ship it for you.
After selecting the shipping rates confirm the shipping rates and move ahead to enter the bank details.
Shipping Rates
8. Bank Details and Tax Details
Enter your bank details properly because you will receive payments in this bank account.
Enter the tax details such as your PAN and GST number and click save.
Bank Details
9. Tax Code and Digital Signature
The government has imposed a different taxon different for some it’s 8% or 12% search the tax code of your product and which category it falls in and add the tax codes to the product.
Upload a scanned copy of your signature and proceed further.
Tax Code and Digital Signature
10. Dashboard
After completing the entire process of registering your business a dashboard will appear, from the dashboard you can manage all the functions of the amazon seller central dashboard you can monitor the orders which are shipped or not inventory prices, and everything.
Dashboard
So, This was the complete process of registering as a seller on amazon and inaugurating your own business.
Amazon Fees
While selling on Amazon, Amazon charges a small fee for every product you sell. Amazon charges three types of fee on your product:
Amazon Referral Fee
Based on the category of product you choose a small percentage of your selling price is charged by Amazon, you can check the referral fee on different categories of products at selling on the Amazon fee schedule.
Amazon Fixed Closing Fees
Amazon closing fees is the fee charged by amazon based on your selling product and the shipping services you choose. you can check the fee charged by amazon by visiting the amazon calculator.
Amazon Easy Ship
Amazon easy ship is a service offered by Amazon in which Amazon will pick the product from your store and directly ship it to the customer if you want to ship manually, there also an option to ship manually but if you prefer amazon easy ship, Amazon will charge you a fee based on your product.
Amazon Easy Ship
Now you’re all set to sell your product on amazon lets learn how to get your first order when you don’t have any seller ratings
How can you get your first order on Amazon?
Product display is the most important aspect of any shopping site when a consumer is scrolling through amazon your product display should be such that he/she clicks on it immediately
While displaying your product on amazon use Hd images to showcase your product
Add bullet-points that highlight feature of your products
The description of your product should be informative so that the customer gets a complete idea about your product
Highlight the benefits of your product
A low pricing strategy never fails to attract customers
If you are confused about how to promote your product let amazon do it for you
There is an advertising program by amazon in which amazon promotes your product for you. The sponsored products by amazon appear on top and bottom of the page, amazon sponsored products are displayed with a badge called sponsored.
This can help you to advertise your product and increase your seller ratings if you’re a new amazon seller.
Amazon FBA
FBA (fulfillment by amazon) is a service provided by Amazon in which if a seller selects FBA the seller does not have to consider the hassle of storing the product in his store or warehouses, amazon store the product in their warehouses until it is delivered to the customer.
Benefits
Less shipping fee as compared to third party shipments
No burden of maintaining a warehouse full of products
All FBA orders are processed and handled the same way as amazon handles its merchandise
Drawbacks
There can be some handling issues by the amazon where a product can be lost or damaged
There are really precise product guidelines which every FBA compliant must follow
Given that Amazon handles returns with FBA, sellers may experience higher return rates once customers understand how easy it is to return a product on Amazon.
When you provide valid information about your bank account, Amazon will directly transfer your money obtained from the sales into your bank account every 7 days. To initiate a payment from amazon you must have a positive seller account, positive seller account is when the number of sales is greater than the amount of fees incurred by the amazon.
How to manage returns on Amazon?
Every amazon seller has this concern of returning products from the customers, you can’t get zero returns from the customers but you can add in extra effort to reduce the return rate such as pay special attention to defective products, great packaging, and delivery on time.
there are three types of return on amazon
Customer Returns
Undelivered Order Returns
Rejected orders Returns
Customer returns are the products that are returned by the customers.
Undelivered returns are when the amazon cannot find the address of the seller or if the package is rejected by the customer then it is returned to the seller as it is.
Refund Related to Customers
To access the return setting in amazon seller central:
Login to your amazon seller central account.
In the top navigation bar, you’ll find orders and under that, you can click on manage returns.
Click on manage returns there you’ll find an option “edit return settings”. Click on it and you can manage the return settings.
If you wish amazon to authorize your refund request then, In case of amazon will authorize the return request. Once the parcel is picked from the customer end the money will be auto refunded to your bank account.
If you want to authorize each request you can authorize the return request, the parcel will be returned to you, and based on the return item condition you can generate a refund to the buyer.
So, this was your ultimate guide to owning your own store and starting your own e-commerce business using amazon. We wish you luck for your first e-commerce store now go out there and reach out to lakhs of customers.
Yes. If you are listing taxable goods, GST details are required to sell online. You need to provide a GSTnumber to Amazon at the time of registration. However, if you are selling only GST exempted categories, then this may not be required.
How long does Amazon take to pay the seller?
The first payment will take 14 days after which sellers will be paid every 7 days.
What if my product gets damaged or lost?
Amazon has a reimbursement policy (Amazon Safe T Claim) to reimburse the seller from the losses incurred due to the buyer. Easy Ship sellers can file a claim against the order for which the shipments get lost, damaged, original item not returned to claim reimbursement from Amazon.
What is the product tax code?
Product tax codes are the codes of the tax which is levied by the government on a different category of products.
I don’t have a current bank account can I sell on amazon?
You can sell on Amazon if you don’t have a current bank account but experts recommend having a current bank account.
How does easy shipping on Amazon work?
Amazon Easy Ship is a delivery service for Amazon.in sellers. Amazon.in orders are picked up from the seller’s location by an Amazon Logistics delivery associate and delivered to the buyers’ location with minimal effort from sellers. With EasyShip, customers can track their orders and delivery date.
What is product tax code in Amazon?
Product Tax Code Amazon: Product tax codes direct Amazon how to charge sales tax to your customers in the states where you tell them to charge sales tax. Product tax codes don’t cover every item, but they do cover items that are sometimes taxed differently across different states or jurisdictions.
How to sell on amazon without GST?
You can sell online without GST only if you sell goods which are exempted. If you sell goods on which GST is applicable, then you have to get a GST number to be able to sell online. You have to take GSTIN even if turnover is less than Rs. 20 lakh.
The meat production industry is a vital part of the Indian agricultural setup. According to a research, meat production in India is estimated at 6.3 million tons annually and is ranked 5th in the world in terms of production volume. India is responsible for 3% of the total meat production in the world. The nation has the worldâs largest population of livestock at about 515 million.
The meat production segment has witnessed a healthy growth rate. It is known for generating reasonable returns for the producers. In India, beef and pork serve as valuable nutrition-filled consumables and are available at relatively lower prices. Almost 70% of the Indian population is non-vegetarian. The per capita meat consumption in India every year is around 5.2kg. Chicken and fish have the highest consumption rate. The consumption of poultry meat in India was over 3.9 million metric tons in 2020.
India exports more than more than 7,000 metric tons of poultry meat to other countries. Livestock trading in India is regulated by the state governments. India has the lowest per capita meat consumption in the world. It was just 5.6 kg in 2013, whereas the global average was 33.2 kg in that year. The Indian meat market mostly focuses on fresh meat; frozen meat is mostly exported.
The volume of meat produced from 2016 to 2019 in India.
India has a large resource pool of animal castings and other by-products. The meat industry in India grew substantially during the periods of 2006-2007 and 2012- 2013. India is the second largest producer of buffalo meat in the world. The poultry meat segment is the largest sub-sector in the country’s meat industry and owned almost 50% of the total meat production in 2012-13. It is followed by beef/buffalo meat, goat meat, pork meat, sheep meat, and lamb meat.
Uttar Pradesh (UP) is the largest meat producer followed by Andhra Pradesh, West Bengal, Maharashtra, and Tamil Nadu in the specified order. Sustained income and economic growth, a growing urban population, rapidly growing middle class, changing lifestyles, improvement in transportation and storage facilities, and the rise of supermarkets in rural towns are fueling the rapid increase in the consumption of animal-based food products in India.
Why is India a Favorable Destination for Poultry and Food Processing Industries?
India is the fastest growing economy in the world.
It is the largest producer of agricultural commodities.
It has the second largest consumer market globally.
India has significant investments in world class ports, logistics, and supply chain infrastructure.
Advantages of Starting Meat and Poultry Production in India
India has the worldâs largest population of livestock.
India produces around 5.3 million metric tons of meat and 75 billion eggs annually.
India is the largest producer of buffalo meat and the second largest producer of goat meat.
The current processing level in poultry is 6% while it stands at 21% for meat.
Poultry is a highly integrated industry.
The country is on par with the efficiency levels of many western countries.
The government of India has taken steps for modernization of municipal slaughter houses to provide safe and hygienic meat to consumers.
Export-oriented units have invested significantly in the establishment of large slaughter houses-cum-meat processing plants laden with the latest technology.
Farm automation, slaughter houses, logistics, and point-of-sale cold storage infrastructures are amazing growth avenues in India given the changing preference of Indian consumers for clean, safe, and hygienic meat products.
There are about 27 modern meat processing plants (approved after due inspection) for the export of meat. All export oriented units (EOU) are registered with the Agricultural and Processed Food Products Export Development Authority (APEDA) of India.
An video about Licious, an Indian startup for meat and seafood production in India.
Opportunity in Poultry and Meat Sector
The table below outlines the growth opportunities for the ‘technology and equipment suppliers’ and ‘poultry industry players’.
Technology and Equipment Suppliers
Poultry Industry Players
New technologies in meat and poultry processing.
New products that add value such as frozen products, RTC/RTE, and snacks.
Cold chains.
Egg powder plants.
New veterinary technologies and services.
New feed formulations.
Food testing labs.
Hatcheries.
Challenges Faced by the Meat Industry in India
One of the major challenges is improving the productivity of farm animals. The average annual milk yield of Indian cattle is 1172 kg which is only about 50 per cent of the global average. The frequent outbreak of infections like the foot and mouth disease, black quarter infection, and influenza severely impacts livestock health and lowers productivity.
The next problem is the generation of greenhouse gases by the humongous population of herbivorous animals in India. Reducing the emissions through mitigation and adaptation strategies is a major challenge.
Crossbreeding of indigenous species with exotic stocks to enhance the genetic potential of different species has been successful only to a limited extent.
A breakdown of meat production trend in India.
Unregulated meat markets, tropical climate, inadequate slaughterhouse hygiene measures, and the lack of surveillance of meat-borne diseases enhance the risk of health-related and occupational hazards. According to research, there are about 8000 registered and more than 20,000 unregistered slaughterhouses in the country and most of them are devoid of basic amenities like light and ventilation. Moreover, the slaughtering and carcass-dressing processes are performed in open areas in highly unhygienic conditions following which the meat is sold with little or no veterinary inspection.
Finally, the meat production segment is largely unorganized. Traditional production systems and disorderly practices have spoilt the reputation of the Indian meat industry.
More about the Meat Industry in India
While India has an abundant supply of meat, the meat processing industry is yet to catch up. Meat processing covers a spectrum of products. It includes animal husbandry, poultry farm produce, bulk frozen meat, chilled and deli meat, packaged meat, and ready-to-eat processed meat products.
There is immense scope for meat processing in poultry. In fact, the poultry industry has made considerable progress by developing and marketing value-added products. The meat industry is slowly yet steadily catching pace on the global front with India now exporting both frozen and fresh chilled meat to more than 60 countries.
The major item of export is de-boned frozen buffalo meat which accounts for 97 per cent of the total meat export. The major markets for Indian buffalo meat are Malaysia and Egypt while for sheep meat and goat meat, the markets are UAE, Iran, and Jordan. India also exports a small quantity of processed meat to Thailand, Yemen, and Japan and some poultry products to Saudi Arabia, Oman, Kuwait, and Qatar.
Raising animals that are in good health is essential for the production of good quality meat. Farmersâ cooperatives can play a major role in the nourishment and marketing of hale and hearty livestock. They can also encourage backward integration/contract farming. Above all, if the Indian meat industry wants to achieve global recognition, the maintenance of food safety at all stages of production, processing, packing, storage, and marketing of meat and meat-derived products while adhering to the standards prescribed by the importing countries shall make a significant impact.
FAQs
What is livestock industry?
Livestock industry is the industry dealing with raising the animals and processing of the animal products for consumers.
What is meat industry?
The meat industry handles the slaughtering, processing, packaging, and distribution of animals such as poultry, cattle, pigs, sheep and other livestock.
What is the rank of India in meat production?
India ranks 5th in meat production.
Who is the largest meat producer in the world?
The United States is the largest meat producer in the world.
Which state is the largest producer of meat in India?
Uttar Pradesh is the largest producer of meat in India.
The youngest self-made billionaire in India, Nithin Kamath is the CEO and co-founder of the largest stockbroking company- Zerodha in India. Zerodha is quite a prominent company that started in 2010 as a brokering business.
Later, Nithin Kamath along with his brother Nikhil Kamath built the company into a huge fintech independent business whose valuation is now marked as 1 billion dollars. Nithin Kamath has always been absolutely devoted, determined and daring with his business. He never missed a step to success! That’s the sign of a true entrepreneur and catalyst for development.
Nithin Kamath entered the world of the stock market at the age of 17. He has been a trader for all time. Many ups and downs came with the territory but Nithin Kamath has always been uptight with his work. From earning Rs. 4 lakh by just being in college to losing the entire money in a chance and ended up working in a call center on a monthly pay of Rs. 12,000. He has seen it all in little time.
Moreover, Nithin Kamath is also the founder of Rainmatter which is a fintech startup fund as well as an incubator in order to contribute to India’s capital markets ecosystem. In this article, we have discussed some of the very interesting and lesser-known facts about Nithin Kamath. Stay tuned!
Nithin Kamath dropped out of college at the age of 14. Then he joined a two-year chess career, playing both international and national levels.
In an interview with CNBC, he said, “As I dropped out of college I didn’t have a degree so it would have been very tough to get a job. That’s why I chose a career that did not require a college degree.” He also added, “Chess is something that teaches you how to move in a structural system and also, how to be creative and smart.”
Nithin Kamath is an avid reader
Very few know this, but Nithin Kamath is an avid reader. He is a self-professed bibliophile. His favourite Book is Market Wizards written by Jack Schwager. In fact, he has more than 500 books. And said, he reads at least one or two books every week. This keeps him calm and fresh to new thoughts.
Nithin Kamath lost almost Rs 5 lakh during his teenage
When Nithin Kamath was in his teenage years, he lost almost Rs. 5 lakh. Obviously, this is a huge amount for a teenager. But he kept on moving, he didn’t pack up his career in trading.
To cover this up, he joined a call center during nights at the monthly pay cheque of Rs. 12,000. He used to trade in the daytime and then, get back to his duty at the call center in the night. This continued for a few years until he met an American HNI. He appointed Nithin with a cheque to manage his money. He took the job and managed brilliantly.
Nithin Kamath owns True Beacon
Nithin Kamath along with his brother Nikhil Kamath owns another company that is an investment management firm– True Beacon. This investment management firm is known as the ecosystem of copyrighted products, services of capital markets, management and advisory for portfolios and tailored programs for different strategic investors. These have been intended for India’s public and private markets.
How the Events turned from Call Center for Nithin Kamath
When Nithin Kamath was working in the call center, two major things happened to him. First- he met his wife Seema Patil, with whom he married and have a son together. Â
Nithin Kamath with his wife Seema Patil
Secondly, he along with his younger brother Nikhil Kamath started their careers in trading together in 2010. After 11 years of working together, the two brothers transformed the Indian trading system with their brilliant flat fee model. With this, they got to be at the top in the market.
Nithin Kamath re-build his career in trading along with his brother Nikhil Kamath and together they gained absolute success.
Nithin Kamath is a big Fan of music and Sports
Nithin Kamath is a big fan of music. Whenever he gets too busy with his working schedule, he takes some time out and sings while playing the guitar. This calms the chaos of work and keeps his mind smooth. His favourite song is ‘Zindagi Kaisi Hai Paheli‘ from Anand (1971).
He is also a big passionate sports lover. He loves to play basketball, snooker and poker and he is pretty good at it. Besides, Nithin loves cycling, swimming and running as well.
In the Zerodha company video of 2017, Nithin Kamath mentioned that he started his trading career at the age of 17. He said, “I joined trading as an active interest in the stock market. My brother and father were already in the stock market investing. Then I too joined them and as I won the first bit of money, I got more interested in this and the rest is history.”
Nithin Kamath has several unique techniques and approaches towards trading. He called it ‘the infinite sky, without a ceiling’, in an interview with Arabian Business a year earlier.
He added, “When you become a good trader, you keep on investing and making the money out of it. There is no limit to scaling and that’s the thing that attracted me most towards it. Also, you do not need a proper qualification for trading in the stock market. You can gain your knowledge from any source you like. You can come up with your theories and tips and become a good trader all by yourself.”
Conclusion
Nithin Kamath had worked really hard in making Zerodha what it is today. He is a college dropout hence, does not have any proper study or guidelines in finance. But, still, he managed to gain the knowledge required from all possible sources. He is fond of books which helped him a lot. Trading has brought great balance in his life and he along with his brother changed the entire Indian trading system. They went on the top and remained there as true entrepreneurs and businessmen.
FAQ
Is Zerodha a unicorn?
Zerodha founded by Nithin and Nikhil Kamath entered the unicorn club with a self-assessed valuation of about $1 billion on June 2020.
What is the net worth of Nithin Kamath?
Nithin and Nikhil Kamath are the wealthiest entrepreneurs under the age of 40 in India with a wealth of âš24,000 crore.
How much does Nithin Kamath earn?
Zerodha co-founders Nithin and Nikhil Kamath to get Rs 100 crore annual salary.
Being an entrepreneur is never an easy job that one can take over without making any mistakes. As humans, we tend to make mistakes and are very prone to it. And when it comes to being an entrepreneur and responsibilities of a business, making mistakes can be an easy thing to do. But, one takes advantages of these already made mistakes by already entrepreneurs and try to prevent them in their startup or own venture. There are some common and avoidable start-up mistakes which entrepreneurs do. So, let us see the complete insights on the topic- Mistakes done by entrepreneurs which new entrepreneurs need to avoid.
Here are some tips onbusiness mistakes to avoid or startup mistakes to avoid from which new entrepreneur can take a lesson from it:-
People are needed to be convinced about a venture, to make it a success and to make the company working. The entrepreneur should have the ability to convince people. An entrepreneur fails to do that, can never be able to succeed in the business and fails. Because of the reason failure in convincing people, one couldn’t even talk with people effectively. An entrepreneur should talk effectively and have a great personality.
2. Lack of Soft Skills
Building soft skills for a good business.
Another mistake that is quite a common mistakes made by entrepreneurs and they make it a lot, is the lack of soft skills, and the capability to know people inside out and who can be trustworthy. Because of this, they tend to lose a lot of good investments and sometimes their own business.
3. Attending Events
An entrepreneur who doesn’t know the consequences of going on events and taking the risk is doing the mistakes of not expanding the business, which is important to be successful. So, an entrepreneur should know the consequences of ongoing events and must have the patience till conditions become right, instead of panicking and leaving the situation.
Always Be Recruiting. Nothing matters but the team in building the company and especially once you have product-market fit. So, when in doubt, be recruiting and drop things which are no working for you and the company.
5. Good Investor
Good Investor means good business opportunity.
Pick the right investors. It can be a game-changer, If you are in a business, then it requires capital, having alignment with your goals makes life much easier. Pick investors that have your back, and that also, have the same exit/scale goals as you. This will give support and also some choices to the entrepreneur.
6. Build Relations
Spend More In-Person Time with Customers, Partners, and People. Don’t make excuses when it comes to meeting the investors and the partners or the customers. Make time to meet them and get the insights on knowing their feedback and how much they are liking the product or to the investors, on what changes they want to make, etc. This is essential to read the market scenario and work it for the company.
7. Make Changes Whenever Required
Remove any people that you don’t like and fire them as soon as possible if you feel that they are not worth time giving or working with them doesn’t make sense. It can be an employee, a customer or a partner. Don’t pile up excuses to fire people.
8. First Priority to Business
Take all the calls related to business and make sure you are giving priority to all calls and business mails. Even if you have to deliver some bad news, be strong enough to tell the people about it. Don’t ignore them and don’t avoid calls.
Top mistakes made by entrepreneurs
9. Resolve Problems Soon As Possible
Deal with the problem, immediately instead of keeping it for later. The problem will happen every day in business, so piling them will make the work more hectic and will keep up more work piled up, so try to solve them as soon as they arrive or about to arrive.
Conclusion
No oneâs perfect, everyone makes mistakes. It depends on how you learn from them, and make sure that you don’t repeat them. Don’t fear mistakes. Learn from othersâ mistakes. Find wisdom in other people’s failures. Learn from the mistakes which other entrepreneurs made in their lifestyle and follow the tips to become good entrepreneurs.
FAQs
What mistakes do entrepreneurs make?
Entrepreneur mistakes:
Not spending enough money or spending too much money
Entrepreneurs face multiple risks such as bankruptcy, financialrisk, competitive risks, environmental risks, reputational risks, and political and economic risks.
Accounts payable refers to money owed by an organization to its creditors, which is listed as a financial liability on the organization’s balance sheet. For most companies, accounts payable are recorded as assets with the exception of certain types of accounts that are considered receivables.
Take note that this is different from general billsâliabilities incurred by formal legal document instruments. General bills are general categories of debt, such as rent or mortgage payments. These accounts are not included in the balance sheet and are usually depreciated over time in the cost of goods sold.
As a businessâ operations go into full swing, itâs easy for all the accounts payables records to pile up. A common problem experienced by many is the backlogs of the accounts payable. If youâve been experiencing backlogs in your businessâ accounts payable, here are some of the best tips to help solve your problem:
There are now software programs that can automate manual tasks in your business processes, such as NetSuite AP automation. Using such software can shorten and simplify the entire process. That way, you become more efficient with your time, helping you avoid both backlogs and human error.
Here are tips you can apply when using accounts payable reporting software:
Use laser printed checks as these can automatically update the system;
Incorporate functions that enable you to analyze and reduce errors, such as the paying of incorrect amounts;
Run aging reports from time to time, such as through regular check runs.
Remember To Stay Accurate At All Times
Above all other factors you should remember when recording and going through the accounts payable process, the most important is to stay accurate all the time.
If you stay accurate in every step of the process, this can greatly eliminate your backlog. This is because it lessens the need for accountants to go through every step of the process just to double-check for any imbalance. More so, you can be confident in your system since youâre able to prevent fraud altogether.
Before processing any invoice for payment, you may want to ask the following questions:
Are all the unit costs and calculations, including tax, correct?
Does the invoice record the exact amount that the company ordered?
Has the company received the goods or services billed in the invoice?
Employ The Services Of A Good Financial Planner And Accountant
Financial Planners
A good accountant works hand-in-hand with financial planners. After all, these are the professionals that are equipped with the skills and knowledge in accounting.
If you want to manage your accounts well, you need to get hold of a good accountant and financial planner. Theyâll provide you with relevant information about your financial affairs and advise you accordingly.
Furthermore, financial planners and accountants help organizations and people to take advantage of the opportunities available in the present economy. They help business people and companies maximize the benefits of their investments while minimizing the risks associated with financial dealings.
Optimize The Key Steps In The Entire Process
The accounts payable process doesnât need to be always confusing. In fact, you can speed up the entire process by optimizing the key steps involved.
These key steps can be summarized into three:
Completing the purchase order, which refers to the process of setting out items or services to be purchased, including their respective prices;
Processing the receiving report, wherein the supplier records the goods or services provided and lists all the payments that are owed;
Receiving and processing supplier invoices, whereby your business processes it for payment.
Going paperless is a great way for companies to save a lot of time and effort in the business process. This applies to both big and small businesses that are yet in the start-up phase.
The idea behind this process is that documents can now be stored electronically without having to print them out. This means that paper, pens, envelopes, and more are already irrelevant. With this, the whole process, even beyond accounts payables, speeds up.
The paperless business has a number of advantages, such as the following:
You get faster access to important documents and other information.
You have more control over costs.
You can shorten what wouldâve otherwise been a long and repetitive process as thereâs no more time spent on printing, stamps, etc.
You can increase employee productivity by allowing employees to use the business’s own computer and e-mail system.
When using paperless software for accounts payable, here are some tips you can apply:
Creating a few folder templates in Microsoft Office can be very helpful in the beginning because they can give an image of what you would expect to see with these folders. Itâll also give you an idea about how they should be organized.
Once you have your new folder templates in place, you can then start organizing them. The easiest way to do this is to use folders that are similar to a traditional file folder, but you can include all the same fields.
Another useful option is to create folders that look like a regular letter, which you can send to your employees as a reminder of their work and responsibilities.
With so many different options for storing important files online, you can even choose a paperless filing service that provides its users with a website that they can log in to anytime and access documents and files in the online facility. Basically, the possibilities are endlessâyou just need to keep trying.
Accounts payable reporting is a vital part of the business sector, particularly accounting and finance. It records financial transactions in terms of payments received or made by an entity in respect of accounts payable. The accounts payable reporting also includes the identification of financial resources that are required to pay off accounts payable.
With all the work involved in ensuring that the reporting is accurate, itâs also common for businesses to experience regular backlogs. The tips above can guide you so you wonât have to suffer the same fate.
FAQs
What is Accounts payable?
Accounts payable (AP) is a current liability that a company received goods or services on credit from vendors.
Whatâs the difference between accounts payable vs. receivable?
While accounts payable (AP) is the amount of money a company owes its vendors, accounts receivable (AR) is the amount of money owed to a company from its customers. AP is a current short-term liability and AR is a current short-term asset.
What are accounts payable examples?
Examples of Accounts Payable Expenses – Accounts payable differ from other types of current liabilities like short-term loans, accruals, proposed dividends and bills of exchange payable.
The success of a company is just the tip of the iceberg below which lies the business model of the company.
Hard work and dedication to the services, funds from other companies, and robust marketing strategies are some prominent factors that drive a company towards success, but the business model can be deemed as the base of the company, on which the business is built. The business model is nothing but a companyâs plan to make a profit which is why it plays a major role in new and well-established companies as well.
With the world today that is encouraging more and more businesses to grow, only some manage to evolve to their full potential. One of such businesses that have stood up with their robust business model and have become a key player in the telecommunication industry is Airtel. Here, we will walk through their business model and how it helped the company carve a niche for itself.
Bharti Airtel, also known as Airtel, is one of the leading multinational telecommunication service providers of India based out of New Delhi, India. It boasts of over 457 million subscribers, holds second place in Indiaâs mobile networks and third place in the worldâs mobile networks. Millward Brown and WPP plc have named Airtel as Indiaâs second most valuable brand in their Brandz ranking. In addition to these, Airtel is the first-ever multinational telecommunication service to launch 4G in India.
Areas of Operation
Initially starting from India, Airtel has witnessed significant growth and is now successfully operating in around 18 countries, which includes South Asia, Africa, and the Channel Islands.
Key Products and Services
Over time Airtel has expanded as a company and has begun to offer a wide range of services that include 2G, 4G, 4G+ networks, fixed-line broadband, and voice services.
Hereâs a quick rundown along with the main service belts that Airtel offers:
Telemedia – Under the Telemedia segment Airtel offers broadband internet via DSL, leased internet lines, MPLS solutions, IPTV, and fixed-line telephone services. Their control over the Telemedia segment allows them to offer differentiated and converged solutions to customers.
Television – Airtel is also associated with the provision of the direct television network or DTH (Direct-to-home) TV services across the nation with their Airtel digital TV.
Mobile data – Airtel also provides BlackBerry services that work on push-on technology, USB modems, Airtel data cards, easy mail, and its own mobile application that helps its customers monitor all their services and packages bundled in on the app.
Airtel business – Airtel Business comprises of six main products, which are, Cloud and managed services, digital signage, NLD/ILD connectivity, dongles for Wi-Fi, voice solutions, and conferencing solutions that serve a range of industry verticals including BFSI, IT/ITeS, manufacturing, hospitality, and government.
Android Tablets – With a view to capitalize on the growing demands for cost-effective, portable devices, Airtel has launched its first 7-inch tablet running on the Android operating system in 2011 via Beetel Teletech Ltd.
Mobile wallet service – Airtel offers the mobile wallet service which allows Airtel users to make payments for utility bills, goods, and services in addition to money transfers across networks. It is done using the airtel money app that runs on Android, iOS, and windows.
Target Audiences of Airtel
Being a telecommunication service provider the target audience of Airtel is really wide and is not influenced by age, gender, place of residence, income, social distinction, and any such factors. Airtel has an array of different services that attract both individuals and companies across varied industries.
Airtel showcases an exemplary business model for others to follow irrespective of the industry that each belongs to. Airtel focuses mainly on two things: customer acquisition and servicing (retention) and business development or expansion. Their vision and mission clearly state that their ultimate goal is to be a globally admired telecom service and to mainly focus on customer satisfaction and provide them innovative services that tend to be cost-efficient products.
The other functions that include hardware, network management, backend applications (billing, etc.), and other services are outsourced. This business model has been pioneered by Airtel and inspires many newcomers in the game.
What is unique in the business model of Airtel?
As we have already mentioned, Airtel believes in outsourcing everything else apart from their marketing, sales, and finance operations and the ‘minutes factory’ model of low cost and high volumes.
Airtel is widely recognized as the pioneer of such a strategy, inspiring tens of thousands of other brands and entrepreneurs. The equipment of Airtel is also provided and maintained by other companies namely Ericsson, Huawei, and Nokia Networks; and US-based Amdocs provides Airtel with the IT support that the brand requires.
In its business model, Airtel has underlined some key points that they term as strategic business pillars for their businesses. These are:
Focus on Quality customers – Airtel aims to provide value for their customers along with the differentiated services that they provide.
Opening doors for new revenues – The brand is now helping its non-mobile wings like Airtel Business, Digital TV, and Broadband services to grow along with an eye to bring in new verticals.
Providing Top-of-the-line services – Airtel aims to bring in the best possible network quality to their customers with the help of cutting-edge infrastructure and advanced automation tools and technology.
Employee-centric culture – Along with investing huge on the digital talent, Airtel makes sure that it hands over significant roles to each of its employees and ensures they grow along with the firm.
Eco-friendly approach – Airtel advocates the reduction of overuse of resources and cutting down its operational expenses to the minimum with an eye on the environment.
Along with its basic strategies as Airtel business plan, it is working on future strategies, to retain its top position, such as bringing more innovation in its services, exploring new plans and products, providing valuable and quality services to its customers.
How does Airtel make money through its business model?
Airtel makes money through all the products and services mentioned above. It uses a B2C model to derive income from its customers and a B2B model, registered under Airtel Business that helps startups and SMEs. Airtel stands out with its unique business model that aims to provide the customers with the best services at competitive prices.
It is to be remembered that Airtel is not one of the companies that have achieved fast growth but one that stands as a market leader purely because it has innovated things and earned its place. Furthermore, it is also one of the few telecommunications services providers that have realized the importance of value-added services (VAS) right away in the start, which further eased its way.
Airtelâs competition with other companies
Airtel snatched the market from Essar by providing services before them and holding the position until them with the help of high usage premium clients.
Telecommunication services mainly have two important characteristics which are quality and price of the service, with that said, Airtel makes sure that they establish service by giving high importance to the characteristics and being a high-quality service provider with a premium image.
Conclusion
Airtel has witnessed gradual growth and has emerged as a promising brand in the telecommunications sector with the help of a foolproof business model, a meticulous understanding of its key concepts, years of hard work, tireless efforts, and absolute dedication. Airtel success story surely is a huge inspiration to legions of other businesses across different domains.
FAQs
What is the revenue of Airtel?
The revenue of Airtel was âš89,473 crore (US$13 billion) in 2020.
Who is the CEO of Airtel?
Gopal Vittal is the current CEO of Airtel.
What is the debt of Airtel?
In the financial year 2020, Bharti Airtel Limited reported a net debt of about 1188 billion Indian rupees.
