Today, almost every next application uses a subscription model for its digital streaming. Although the subscription model doesn’t need any specific introduction, basically you pay some amount of money and unlock premium content on various applications.
From TV shows to music, you can have a subscription to anything you want. In fact, many companies even offer household products and food under their subscription packages. Here, a question arises! How has this subscription model become this successful and popular?
The subscription business model is entirely based on customers’ preferences and services. If the services for the customers are good, they stick to the company and become loyal customers by buying the subscription package. That’s why keeping the customers happy and satisfied is a necessity in a subscription model.
The subscription models are very effective and bring great advantages for the service provider. And it is expected for the upcoming years, companies with subscription-based business models would experience more success and fame. And that’s what we are discussing through this article! In this article, we will cover the history, present, and future prospects of the subscription model. Let’s get started!
Subscription-based business models work on investing in the compounding price of customers’ connection and loyalty. Therefore, an immense and continuous source of revenue is formed. As long as the customers will buy the subscription package, the company will continue generating more money.
The subscription business model has come a long way from Western European cities, used for clean drinking water delivery, grains delivery, and even exotic vegetables and fruits. This model has emerged as one of the most significant and famous business models for various retailers and companies in the global market. It is a business model that is bound to change depending upon the market and demand.
In the early 17th century, the subscription business model first came in public appearances and came well-documented. After that, the Subscription business model grew on a larger scale and diversified into broad categories of services and goods.
Then, by the time of the 20th century, subscription packages were available in every sector like newspapers and magazines, and with time, they evolved more promptly and gained importance in the market.
Today, the subscription service business model works by utilizing advanced technology and offering great services to the customers through it.
Today, the subscription model has made a very successful image in the market. Many prominent companies have opted for the subscription-based business model which resulted in great success.
When it comes to market share, the business model is attaining acceptance at the global level, day by day. As the financial acumen of people is increasing widely, managing them into smart decisions is very essential. And that’s where subscriptions jump in! It convinces people to choose subscriptions instead of purchasing them wholly.
Suppose you decide to buy a car, so instead of purchasing it for long term usage or renting, you can choose a subscription package from the company where you’ll get a car within a certain duration of time, and you also have multiple options to change your car model later on. You can upgrade your car model periodically rather than being stuck with an old one. And that’s what sells these substitution package deals.
The world is working towards upgrading people’s convenience above everything. The subscription business model provides such convenient services to its customers. That’s why it is gaining more relevance in the market.
The subscription model has been around since the 17th century and in such a long period, this model has gained great attention and been co-opted by many top successful companies like Netflix, Microsoft, Salesforce, and Adobe. In the last five years, the subscription business model has received a 100% increase in its revenue, i.e., from $57 million in 2011 to $2.6 billion in 2016.
Formerly, this business model was only used by technology-based companies because of its Software as a service (SaaS). But, today it is associated with every other company. And it is estimated that in the coming future, the Subscription business model will grow even more promptly.
People across the globe are preferring renting or subscribing over owning any goods and services. And this gives a great advantage for companies with the Subscription business model.
From food to heavy equipment, the Subscription business model works everywhere. And this is considered to be the next major shift after the industrial revolution.
It is estimated that in the coming 22nd century, subscribing to goods and services would be more common rather than being the exception.
Conclusion
The subscription model has come a long way ever since its first public display in the 17th century. Market, as well as the customers, have given great attention to the strategies of the Subscription business model.
This has numerous advantages for companies as well as the customers. In the upcoming years, this business model would grow even more widely and bring great results for the companies.
FAQ
When was the subscription model invented?
The subscription business model was started by publishers of books and periodicals in the 17th century.
What are some of the subscription business model examples?
Amazon Prime, Kindle Direct, Netflix, and $1 Shave Club are some of the famous examples of subscription business models.
What is the subscription revenue model?
The subscription revenue model generates revenue by charging customers a recurring fee that is processed at regular intervals.
Why are subscription services so popular?
The subscription services are getting popular day by day as you can provide your customers high-quality products at affordable prices. Also, it is a great source of recurring revenue.
Company Profile is an initiative by StartupTalky to publish verified information on different startups and organizations. The content in this post has been approved by Svenklas.
Social Impact is being focussed by many startups for ethical growth of its business. Companies are thoughtful towards bringing a significant, positive change that addresses a social challenge specially environmental issues and shows care & concern towards mother Nature.
In modern days with shortage of natural resources Svenklas put its focus on practising sustainability and artful lifestyle products designed thoughtfully with modern aesthetic and hand-made with plant based natural materials.
Read to know about Svenklas, founders, products & services, business model, and the story of its growth.
Svenklas designs minimal, functional and aesthetically appealing products for life’s everyday journeys. Channeling the simplicity and beauty of the great outdoors, their durable and quality pieces are infused with a distinct streak of luxury with carefully chosen features for everyday use.
“The thinking about Svenklas is to create products that are minimal, stylish, beautiful and just keeping things simple. Sometimes innovation is about taking things away. We saw an opportunity to innovate by using natural materials and creating products that are more design driven.” – Svenklas founder duo Nikhil and Nischal.
Svenklas – Industry
As per Technopak Advisors, the fashion accessories market of India was observed at USD 3.4 billion in 2014 and is estimated to grow at a CAGR of 12 percent to reach USD 10.6 billion by 2024.
Svenklas – Founders and Team
Nikhil Sharma and Nischal Sharma
Nikhil Sharma and Nischal Sharma are the founders of Svenklas. They both met at the workplace and became friends instantly due to their common Himalayan connection as one of them hails from Shimla and the other is from Dehradun.
They were friends first and business partners second and always shared ideas back and forth about things they loved, things they saw, brands, objects, architecture, and places to go. It was quite natural to start a business together for them. They have complementary skill sets, but also different ones, and that helped when there were just the two of them were trying to get Svenklas off the ground.
Svenklas – Startup Story
Svenklas started out by making lifestyle products from discarded materials like billboards that would normally end up in a landfill. They eventually had to pivot as they started to face raw material sourcing requirement issues. So, they started exploring and researching “non-fuel” based natural sustainable materials. This eventually led to Svenklas where they are creating technical lifestyle products of the future using innovative sustainable natural materials.
Svenklas – Mission and Vision
Svenklas is a design-driven sustainable luxury lifestyle accessory brand creating thoughtful products using plant-based natural materials for life’s everyday journeys. With sustainability at the forefront and inspired by the vast yet beautiful Himalayan landscapes and rich Nordic heritage, the company are on a mission to prove that aesthetics, design and sustainability doesn’t have to be mutually exclusive.
They found that anything synthetic materials can do, natural materials can do better. Channeling the simplicity and beauty of the great outdoors; Their minimal, functional and aesthetically appealing products are infused with a distinct streak of luxury with carefully chosen features for everyday use.
They are committed to creating products that would act as a vehicle for change and would speak to the generations of people who know the distinction between quality and quantity and also care about our planet. That’s the brand and mission of Svenklas.
Svenklas – Name, Tagline, and Logo
Svenklas company logo
The founders of Svenklas spent months looking for the apt name in English-Nordic dictionaries before they found the one that mirrored their vision for the brand. The name Svenklas is composed of two Nordic root words “Sven” + “Klas” which translates to ‘Victory for the Youth’ in Norse language.
The name also reflects their vision towards creating products that are rich in meaning, quality and story while focusing intently on aesthetics, functionality, natural materials, attention to detail and artisanal craftsmanship.
Svenklas – Business and Revenue Model
Svenklas primarily sells directly to consumers via its website. The other channels of revenue are 3rd party marketplaces like Tata CLiQ Luxury, Amazon, Flipkart, Ajio and Myntra. They also work closely with platforms like CRED, Paytm, PhonePe and Magicpin.
The other revenue streams include selling on curated marketplaces like Rooted Objects, Caelum, Vibecity and via exclusive brand partnerships. They’re also available in the US (online and offline) with a couple of retailers and a few dropshipping partners.
Svenklas – Products and Services
Svenklas was created to show that you don’t have to sacrifice style for sustainability and their collection is a testament that you can actually produce great looking products in a sustainable way.
The company is always looking to contribute towards considered, conscious and responsible design while challenging the role of functionality in design to deliver the highest quality products.
In today’s world, there is an acute shortage of natural resources which forced Svenklas to do away with thoughtless consumption, production and design. So, they’ve put their focus on practising sustainability and respect for the environment at all times without compromising the aesthetics.
Their collection is the love letter to sustainability and craftsmanship – from the pride that’s taken in making something sustainably by hand to the joy of owning a little piece of that magic. Their collection draws inspiration from raw Himalayan landscapes and rich Nordic heritage to create everyday products which are uncomplicated, long-lasting, modern and aesthetically appealing.
All of the products by Svenklas in the collection are made using 100% organic cotton or full-grain vegetable-tanned leather and all the synthetic fabrics contain recycled fibres. They’ve designed the collection for the urban city lifestyle and outdoor adventures alike.
Combining innovation with the inspiration provided by the timeless Himalayan landscapes that include wide unpopulated areas, waterways and dense forests alongside the modern urban way of life.
Svenklas have created a premium collection of products that includes a selection of styles from backpacks, tote bags, hip pack, messenger bags, briefcases to wallets for every occasion and adventure with a simplistic design aesthetic
A lot of things in life are utilitarian. So, there isn’t a lot of importance attached to them. Svenklas cared about backpacks which not many people cared about when they started, although everybody wore them. They had to break that barrier where people would pay importance to a brand that sells just only backpacks and also make them care about sustainability, materials, design and craftsmanship.
Svenklas – Growth
Svenklas relied heavily on influencer marketing when they started. It just happened that a lot of celebrities who they reached out to on Instagram really loved their mission, design and approach to sustainability that somehow convinced them to carry their products and then share pictures on social media. This really catapulted their brand among the initial target audience and that’s how they got their first 100 users.
Svenklas – Advertisements and Social Media Campaigns
The marketing campaign of the brand with Vicky Kaushal was hugely successful where Vicky carried our Hagen backpack to Serbia for the shoot of his film ‘Uri’. He posted about Svenklas and their Hagen backpack on his Instagram while he was in Serbia and that created a lot of buzz and helped them carve a little niche as a brand in the backpack category.
Svenklas – Awards and Achievements
YourStory Top 500 Challenger Brands of India 2021.
ELLE Graduates 2021 Sustainable Design Award finalists.
Our products are carried by celebrities like Vicky Kaushal, Sumit Vyas, Shriya Pilgaonkar, Sayani Gupta, Aisha Sharma, Mrunal Thakur and Angira Dhar.
They have also been featured in magazines and news portals like Grazia India, ELLE India, Times Internet, Homegrown, LBB India, Fashion Network and YourStory.
Svenklas – Competitors
Da Milano, Hidesign, Herschel, Bellroy are some of the top competitors of Svenklas.
Svenklas – Future Plans
Svenklas are soon planning to enter the apparel category with their t-shirts launch. As trends change, they’ve adapted to them, and now are building a product roadmap on how they can be relevant to the female consumer beyond just the unisex aspect. They are looking to add more feminine, smaller silhouettes and pay more detailed attention to how women are going to carry it
The company has grown multifold year on year since its inception in 2018. They are growing through their own means with a laser-sharp focus on unit profitability and will continue to reinvest profits into opportunities create more categories, go into more countries and retailers.
They will also continue to invest in social causes like their partnership with GiveIndia where they plant 2 trees for every Svenklas product sold. The future plans of Svenklas include further international expansion, new category launches, limited product drops, exclusive brand partnerships, working with social media creators, influencers and celebrity collaborations.
E-commerce business has experienced an immense boom during the last decade and in that boom, the pandemic just added fuel to the fire. You can get anything delivered to your doorsteps with just a few clicks.
Groceries, apparel, medicine, food, you name it and it can get delivered to you. How the world shop, has changed dramatically, we are more depended on online shopping now, reasons are quite evident. Online shopping is hassle-free, convenient, and doesn’t require much human interaction.
Due to the rise of various E-commerce sites, it is obvious that people are noticing this industry and the demand is also increasing. Various startups are indulging themselves in this business. There are various business models that can be used in an E0Commerce business, one of them is the Hyperlocal Model. In this article, we will talk about how the Hyperlocal model can be used for your business. So, let’s dive in.
“Thus, in the future, instead of buying bananas in a grocery store, you could go pick them off a tree in a virtual jungle.” – Yasuhiro Fukushima
Hyperlocal means a certain small geographical area and a defined community. Your neighbourhood or your locality can be termed as hyperlocal. Through the hyperlocal model, a business can cater to the needs of the people from that certain locality. It is an online delivery model that fulfils the needs of the consumers with the help of a local ecosystem, which means the pickup and the delivery location need to be in the same zone.
The business that uses this delivery model receives the order from the customer for a certain product or service through the app. Then the app passes on the details of the orders to the aggregator and then the aggregator assigns a person that will deliver the requested products or services to the customer’s place.
Features of a Hyperlocal Delivery Business Model
Below are some features of this model that makes it unique and useful:
The target area in this model is a certain place where people have a high demand for goods and services and through this those demands can be fulfilled instantly.
It takes care of the needs of people with the help of modern technology.
This model provides the deliveries for the goods extremely fast and they arrive at the customer’s doorstep in no time.
GPS, Social Media, and mobile applications are needed so that this model can function in your business.
Benefits of Hyperlocal Delivery Model
Some of the benefits that the Hyperlocal model gives out are:
The hyperlocal model helps the local retail stores gain the visibility that was endangered due to online shopping sites.
Retail shops enjoy a significant advantage and that is they don’t need to create and maintain an app for their business, they can just add their business on the E-commerce platform and it can function easily.
How to Build Business around Hyperlocal Delivery Model?
If you are choosing the hyperlocal model for your E-commerce business, then you need to follow the steps below.
Choose the Industry
The first and foremost thing you have to do is select the industry around which you want to build the hyperlocal delivery model. It can be for groceries, food delivery, medicines or other products. The market you choose will decide the future of your business.
Choose your Target Audience
After selecting the industry, the next step is to decide your target audience. Not everyone can be your audience, so you must decide to whom you want to serve.
Form the Partnership
It is now time to partner up with the retail shop and the aggregator who will provide your customers with the products and services. You need to choose them carefully, as your business reputation depends on them. The delivery network has to be strong.
Select a Revenue Model
Think about how you want to earn revenue through this business and what model you want to use. There are inventory-led models, aggregator models and hybrid models in the hyperlocal business model. Choose the one that will go with your business.
Develop an App
In this step, you need to build an app, through which your customers, delivery partners, and suppliers will be connected. The app has to be user-friendly and hassle-free, this way it will strengthen your customer base.
Companies that use Hyperlocal Delivery Model
Haptik
Through this app, you can book your movie tickets, recharge your phone, and order food.
Zomato
One of the biggest food delivery apps that serves the people of India. You can book a table in a restaurant, order food, and discovers multiple restaurants that serve your favourite cuisines.
Pluss
The app delivers your medicine to your doorsteps and can also conduct any tests suggested by your doctor here, they will deliver the report after completing your test.
Blinkit
This app delivers groceries to your place, not only that it also delivers other products including cosmetics and frozen foods.
At present, the Hyperlocal model has become one of the most important ones in the E-commerce sector. In a fast world, having your things delivered to you in lesser times is one of the blessings of this model and that is what attracts the customers. With time, the apps by the businesses that follow this model need to be more developed so people can receive better services. The business will continue to grow when they try to better itself.
FAQ
What is the hyperlocal delivery model?
The hyperlocal delivery model is an online business model where the demand of the customers can be fulfilled through local shops.
What is Hyperlocal targeting?
Hyperlocal targeting means targeting your audience from a selective geographically limited area.
What is a Hyperlocal delivery system?
It is a process of delivering goods from a seller to customers from the same locality.
How would you build your business around an on-demand hyperlocal delivery model?
Select the industry you want to operate in, select your target audience, Partner with an aggregator, build an app, and prepare a revenue model.
Red Bull is an energy drink manufactured by the Austrian firm Red Bull GmbH, founded in 1987. It sells its famous energy drink all around the world. It sold 7.5 billion cans of energy drinks in 2019.
To put this into perspective, that’s nearly a can for every person on the planet. Taurine, B-complex vitamins, caffeine, and carbs are all found in this non-alcoholic beverage.
From the start, the drink’s popularity expanded swiftly. Red Bull has the world’s largest market share of any energy drink at 40%. Red Bull owns automobiles, jets, and sports teams, but not production facilities. Let’s look at its business model and how it makes money.
Dietrich Mateschitz, an Austrian entrepreneur, was influenced by the Krating Daeng energy drink, first launched and sold in Thailand by Chaleo Yoovidhya. He took this concept, tweaked the ingredients to appeal to Western palates, and co-founded Red Bull GmbH in Chakkapong, Thailand, with Chaleo in 1987.
Dietrich Mateschitz
Red Bull’s vision is to uphold Red Bull standards while preserving the category’s leadership position by providing exceptional customer service in a highly efficient and productive manner. According to Red Bull, the human body requires more taurine than it generates naturally during physical effort, necessitating the consumption of its beverage.
Business Model of Red Bull
Experience Selling
The corporation may charge outstanding rates for its products because of its associations with extreme sports and the unique Red Bull logo. Customers, primarily young males, are more interested in the overall “experience” connected with the Red Bull lifestyle than in the product or its practical usefulness.
Reverse Innovation
Krating Daeng is a non-carbonated, sweetened energy drink in Thailand in the 1970s. It was first introduced in Thailand as a source of refreshment for Thai labourers in the countryside.
Krating Daeng
Dietrich Mateschitz, an Austrian entrepreneur, found Krating Daeng while working in Thailand. He then launched Red Bull in the Western market with a new formula and branding strategy.
Sponsorship
A company associating its brand with a logo seeks a wide range of economic, public relations, and product placement advantages in a sport’s extremely competitive sponsorship environment. Support is not expected to be humanitarian; instead, it is a commercial partnership that benefits both parties.
By exploiting their link with an athlete, team, competition, or the sport itself, sponsors also strive to generate the public’s trust, acceptance, or harmony with the media perception a sport has established or obtained. In addition to sponsorship, Red Bull owns Flugtag (an acrobatic flight competition), the Red Bull Air Races, and teams in various sports, including F1, NASCAR, soccer, and ice hockey.
Red Bull Sponsorship on Sports
Sustainability
Environmental impact assessments are conducted by companies that produce fast-moving consumer goods and services and are devoted to sustainability. Green strategists and workers in charge of brand definition interact with product and service designers, environmental groups, and government agencies.
Red Bull Sustainability
Brand Culture
The ultimate aim of the advertising industry is to build a unique and long-lasting cultural brand. A fuzzy blend of time, attitude, and emotion is used to recognise and duplicate an ideology. It demands workers to engage brand values to solve problems, make internal decisions, and provide branded services to customers.
Branding of Ingredients
It’s the method of constructing a brand for a specific product or component to represent the ingredient’s exceptional quality and performance. Ingredient branding is the process of elevating an element or ingredient of an item or brand to the significance and giving each one an identity.
Value Creation
Red Bull is a caffeine-containing drink perceived as exciting, athletic, and edgy by its customers. Red Bull made a whopping €5.110 billion in sales in 2014 after selling 5.612 billion cans of energy drinks and dividing the earnings with its Thai licensee. Red Bull sold 7.5 billion cans of energy drinks in 2019. Individual pro-athletes, soccer and Formula One teams, headline events, and a whole media production division are all sponsored by Red Bull.
It’s all about the economics of selling caffeine, the profit margins, Red Bull’s intelligent outsourcing approach, Red Bull’s brilliant value creation plan, utilising brand clout among young people, and actively designing their original content.
Red Bull’s brand name and image, together with other promotion methods, has paid them well to become the giant they are now, as seen by sales and the acquisition of a massive market. The Red Bull Energy Company makes money by selling its signature drink, Red Bull. It is a product that meets the needs of its customers.
They also profit from the extensive promotion and marketing of the Red Bull energy drink, which promotes sales. Consider this: a company that sells approximately 7.5 billion cans annually generates roughly $6 billion in sales. Customers react in this way to their products.
According to a filing with the Austrian company register, Red Bull’s income has increased 10% to $971 million last year as revenue increased 8.6% and dividends from subsidiaries increased. The energy drink behemoth owns six soccer teams, two racing teams, and a tens of thousands-strong athlete clubs.
It is apparent that Red Bull is involved in more than just selling energy beverages, and the Red Bull energy drink company makes money through sales and marketing.
What makes Red Bull Unique?
Red Bull is an energy drink with a “cool” image among youth due to its link with extreme sports. Windsurfing, cliff diving, rock climbing, Formula One, and even its Air Racing series have benefited from the brand’s prominence in extreme sports.
In addition, young people are seen doing things that aren’t generally covered by sports programmes. Because those individuals, the extreme athletes, are not well-known, the typical person can relate to them more than a prominent athlete.
It taps into a vast market—both for nostalgic reasons for the elderly and the market that Red Bull is aiming for: the 18 to the 34-year-old crowd—by talking and acting youthfully.
Important Statistics of Red Bull
Red Bull spent $50 million to make Felix Baumgartner’s space jump a reality — what’s the value of worldwide coverage? 6 billion dollars.
The cost of producing a single can is about USD 0.09. In Western countries, the average wholesale price of a single can is US$1.87. In Western countries, the recommended retail price for a single can is US$3.59.
In 2019, 7.5 billion cans were sold, generating $6 billion in income, a third of which was reinvested in marketing.
With 7.9 billion cans sold in the year 2020, it is the world’s most popular energy drink.
In 2006, the Red Bull New York soccer team was purchased for an estimated US$25 million — what is the current market value? US$290 million.
Competitors of Red Bull
Reb Bull faces competition from different global brands such as PepsiCo, Dr Pepper, Gatorade, Coca Cola, Nestle, Tropicana, Schweppes, Danone, and others. Even with such severe competition, Red Bull emerges as the winner. To elicit a charge out of this bull, one doesn’t need to swirl a red cape out front.
Red Bull’s heavy emphasis on brand image rather than the new product aligns with its consumer-based business model. The cash and labour of Red Bull are invested in building and maintaining the Red Bull brand’s powerful image. The logo of Red Bull is frequently seen on the parachutes of base jumpers and wing-suiters. Red Bull often distributes energy drinks at events it hosts or sponsors.
With Red Bull’s recent decision to support Olympic competitors like Lindsey Vonn, the company’s name has become synonymous with triumph and achievement. Red Bull doesn’t invest any money to get on the back cover of the Illustrated. Instead, it looks and invests its sponsor money to get on the front cover, enhancing its brand growth and worth.
Red Bull has maintained its market leadership due to its strong alignment between sponsoring extreme athletic events and selling an edgy product.
FAQ
What is the business model of Red Bull?
Red Bull makes money by selling its signature energy drink.
What makes Red Bull unique?
Red Bull’s association with extreme sports like Windsurfing, cliff diving, rock climbing, Formula One makes it an exciting brand in consumers eyes.
Who are the competitors of Red Bull?
PepsiCo, Dr Pepper, Gatorade, Coca Cola, Nestle, Tropicana, Schweppes, and Danone are some of the top competitors of Red Bull.
When it comes to automotive manufacturing, Maruti Suzuki India Limited has caught all the fame. Although today, the automobile industry has developed immensely. But the charm and popularity of Maruti Suzuki haven’t failed!
The company is a subsidiary of Japan’s Suzuki Motor Corporation. In India, Maruti Suzuki is considered the largest manufacturer of passenger cars. In fact, it’s Maruti Suzuki who is credited for the revolution of the ushered automobile industry in the country.
Maruti Suzuki begins its journey with the legendary Maruti 800 and today, the company has come up with around 16 car models along with more than 15 variants. Maruti Suzuki manufactures a broad range of passengers as well as luxurious cars like Alto 800 to Ciaz.
Maruti Suzuki offers the facility of car financing and pre-owned sales of the car fleet management. Its factories are established in Gurgaon and Manesar, Haryana, and the art R&D center in Rohtak. Maruti Suzuki is very promising and remarkable with its products and services. In this article, we will be discussing the business model and strategies of Maruti Suzuki. Let’s begin!
Why Maruti suzuki cars are so popular? | Maruti Suzuki Business Strategy
About Maruti Suzuki
Maruti Suzuki was formerly known as the Maruti Udyog Limited, India, and functioned through a joint endeavor between the government of India and Japan’s Suzuki Motor Corporation, signed in 1981.
Maruti Suzuki is widely famous as the largest company in the automobile industry. The company is headquartered in New Delhi and was founded in 1981 by the government of India.
Later in 2003, the automobile manufacturer- Maruti Suzuki was sold to the Suzuki Motor Corporation and functioned as its subsidiary. The Suzuki Motor Corporation owns the capital of 56.2% in the Maruti Suzuki company. Alongside, the company has a market share worth 53% in the market of the Indian passenger car.
The company launched its first product– Maruti 800 and resulted in 13 months of record production. The chairman of this prominent automobile manufacturing company is R.C. Bhargava and Kenichi Ayukawa is the managing director and CEO.
Where does Maruti Suzuki operate?
Maruti Suzuki India Limited is the most prominent automobile manufacturer across India. The company is a subsidiary of Japan’s Suzuki Motor Corporation. The automobiles manufactured by Maruti Suzuki are used by almost every third individual in India.
Key Products of Maruti Suzuki
Maruti Suzuki offers a great range of cars such as the Maruti 800, the first-ever Maruti car; Alto 800, Alto K10 as the entry-level cars while Swift, Wagon R, Ritz as the stylish hatchback.
Maruti Suzuki India Limited puts its entire focus towards the young aged people. Its target audience is generally around 30 to 35 years old. Half of the Nexa customers belong to the age group of 30 years.
The business model of Maruti Suzuki Limited India is based on its wide range of cars and customer services. The automotive company has recently shifted to the digital platform due to the marketing crisis that occurred from the covid-19 pandemic.
To keep up with its competitors, Maruti Suzuki opted for the digital world for better content marketing and more customer engagement. The digital platforms have become a very crucial part of Maruti Suzuki’s Business Model. Around one-fourth of its total marketing budget went off to the delicacy of digital media.
Maruti Suzuki manufactures its automobiles based on the requirements and facilities of the middle class as well as the upper-class section. That’s why the company produces a broad range of its products at affordable rates and features.
Maruti Suzuki follows a certain model to cope with the difference between online marketing and the dealership experiences of the customers. The company has brought around 900 dealerships to the online platforms through India’s largest Dealer Digitization Program by the company. With the developing digital technologies, Maruti Suzuki has been earning a great sum of deals and customer support.
Maruti Suzuki is considered India’s largest automobile manufacturer with around 50% of the total market share. The company earns way more profit when compared to Korea’s Hyundai, its biggest market rival. The automobile manufacturers do not provide a clear figure of the company’s profit on each deal but they do declare the net profit earned by the company.
According to the calculated data, Maruti Suzuki has sold more than 7.5 million automobiles in India, to date. And around 500,000 units have been sent mostly to European countries. The company’s profit includes the money generated through the sales of spare parts of the automobile. However, the profit differs based on the car’s size, features, and model. The larger cars are expected to bring more profit to the company’s account.
From the latest calculated data, Maruti Suzuki has its revenue worth Rs. 16,997.9 crore along with a profit of Rs. 1,391 crores.
Conclusion
Maruti Suzuki is one of the most prominent automobile manufacturers across India. The company has had an incredible journey since 1983 when it launched its first car- Maruti 800. The company offers a great range of cars with amazing features.
Maruti Suzuki follows a very strong and remarkable business model and now, with digital media, Maruti Suzuki is growing even more. The company has a long run ahead. Stay tuned for more updates!
FAQs
What is the revenue of Maruti Suzuki?
The revenue of Maruti Suzuki is 78,994 crores INR in 2020.
Who is the CEO of Maruti Suzuki?
The CEO of Maruti Suzuki is Kenichi Ayukawa.
When was Maruti started?
Maruti was founded by the Government of India in 1982.
What are the most sold models of Maruti Suzuki?
Most sold car models of Maruti Suzuki are:
Maruti Suzuki Alto 800
Maruti Suzuki WagonR
Maruti Suzuki Baleno
Maruti Suzuki Celerio
Maruti Suzuki Swift Dzire
Maruti Suzuki Ignis
What is Nexa?
NEXA is Maruti Suzuki’s premium sales channel for Maruti Suzuki premium & luxury Sedan and Hatchback cars in India.
The internet has massively broadened the possible space of careers. Most people haven’t figured this out yet. – Naval Ravikant
We are in the 21 century, the century of the internet and technology. It is such a unique time that it sometimes becomes unbelievable. Technology and the internet have joined hands and this amalgamation has made some very beautiful things happen in the world.
One of the magical things is that it has massively broadened career prospects. It has helped people earn a living with an “activity” that earlier was dismissed as a hobby or a mere interest activity.
Today, a person can be a YouTuber or a podcaster. One can be a content creator. This new career line confuses most of the people who have an old mindset but is relatively easy to understand. This is the line between content creation and community creation.
There is a new economy that is being built on the internet. That economy is known to us as a “Creator’s Economy”. If you don’t understand what that is and where it can go, or you doubt it as a good career option then this is the right article for you. We will discuss what a creator economy is and how it has become a buzzword. Then towards the end, we will see if this is a viable career option or not, read on to know more.
If you look back about five-six years from now and focus on the tech specs of your smartphone. Then it is highly probable that you will get shocked by the improvements that the mobile industry has shown. In the past decade, some 500 megabytes of RAM was considered good enough and now, the phone with the least specifications comes with 2 Gigabytes of RAM.
This is not just the case with your smartphone but the improvement in the technology sector is immense. It has not only gotten better but it has also gone a lot cheaper. This has enabled everyone to have a smartphone. At least a basic smartphone is in every hand if not the best flagship out there. Technology has penetrated to great depths in our society and it continues to penetrate more.
The next thing is the Internet. We define the internet as a connected network of computers over a large area. However, it is a result of technology development, so we chose to name it separately as it has its own journey. Earlier, the Internet was expensive and this feature of the internet allowed only some users to use it.
Over the years of the technological revolution, the internet got its much-needed boost. It became cheaper and cheaper up to the level when almost everyone could afford it. Now we see almost everyone has a data pack in his/her smartphone. This makes the world hyperconnected and results in some more interesting aspects of the world. Let us study one such aspect, the creator economy.
Content Creation and Content Creators
In this world where technology is a backbone, it has a lot of consequences. The internet has not just hyperconnected everyone, it is now working overtime to entertain us also. Think about what you do when you’re online?
You most probably are a person who scrolls social media, or you entertain yourself with YouTube, Netflix or you read a blog post about content creation. You could be someone who loves to watch gym videos or yoga tutorials. You might be interested in knowing everything about movies and reviews. You can be anyone, but you know why you are on the internet and for what purpose you’re online.
Almost everything that you see online or hear online is content. Creators spend a lot of time creating content and people view that content with full attention. This is what it is, things on the internet, usually filled with some information of use or sometimes filled with pure entertainment.
While there is no exact definition of the word content, it can be defined as something information-dense over the internet. That information can be educational, and it can even be for leisure and entertainment. There is not just one creator of content on the internet on a specific thing, there are multiple. All fighting a healthy competition of more and more engagement.
Today in 2022, two years into the pandemic, we are seeing something totally different. Our world economy or our country’s economy is maybe most probably down with the ongoing pandemic, but this economy is booming like anything. The economy we are talking about is “The Creator Economy”. This has seen a massive recent boom and it is forecasted to do well in the near future as well. Let us see what it is.
The Boost in Technology and the Rise of a New Economy – Creator Economy
The motive behind our preface about technology and internet globalisation is to set up a suitable land for our next topic. By now you must be wondering that the tech sector is booming and that boom is multiplied because of a global pandemic.
This is true and everyone is on their devices now, giving out more and more attention to the internet online world. When this is happening, creators will get more and more engagement which will turn their businesses more profitable. Well, this is true. The technology boost that was witnessed in the recent past has also massively boosted the creator business. As everyone is sitting online and people creating content online have more of an audience for themselves.
This has not just pumped up the creator game but it has also pumped up the whole career line. There are businesses around this sector. There is a whole ecosystem in place that is built around the content creation industry. Let us throw some light on that.
This is now when the word ‘Creator Economy’ gets in the picture. A creator is a person who creates something in the world. In this article, we will be talking about content creators. While there is no proper definition of the word content, it can be explained as a set of things like a video, photo, audio sort of media which travels freely over the internet.
Anyone who creates content over the internet is known as a content creator. What we now want to focus on, is the economy that is being built around content creation. Yes, there is a whole ecosystem in workings around the epicentre of content.
What is the Creator Economy?
The word ‘economy’ is something that means an ecosystem that is self-sustaining in producing and running itself. Here, the meaning is the same and all the dynamics are the same too. A creator economy includes all the businesses that are built around the game of content creation.
This is a relatively new field of commerce that has recently come to life and limelight. Now, there are businesses that are built specifically for one purpose and that is to help content creators get more engagement and attention, which can be turned into real cash.
The creator’s economy is at a genuine high time in its graph. All thanks to the accelerated and rapid scaling in the social media platforms and streaming services in the world. In the pandemic times, there can be seen a handsome increase in content demand from the public. This is a trend that can be capitalised on and has the potential to provide employment to a lot of creators.
When a content creator creates content, it has to reach the masses and add an effect on their lives. This is what gives them more and more engagement. It is mostly always about relatability and sometimes about originals and art forms. The more engagement and attention a content creator generate, the more and more brands try to take him/her on board for sponsorships and endorsements. This is the primary source of income that we can think of when we think about these influencers.
Source of Revenue for Creators
Not only does content creation help the creators get some reach and eventually some cash but it also helps brands too. Brands and marketing agencies can use the creator economy to become more relatable to the general public.
They can now look up to the content creators for inspiration, talent recruitments and their return on investments that will save/produce real cash. That was not possible earlier. Brands like Zomato and Bumble do that a lot, partnering with content moguls and sharing relatable public images and quirky memes. This is the new normal.
Social media has done a lot of growth in the recent past and for the last decade, it has turned to be marketers favourite destination to market products. During the covid 19 pandemic, this luxury item became more important and more essential for the survival of the economy. It was the pulse of the heart of the economy.
Everyone was locked inside their homes and businesses were forced to move to online mediums, they had to find ways to boost their products virtually and online, via the internet. thus. Content creators found their demand boom. For the general public, they began spending more time with their devices and thus became a large audience for creators. Apps such as TikTok took off, which now dominates other platforms with roughly a billion active users.
That is literally a new type of business that is emerging. You may have heard about B2B or B2C, but this creator economy works on a new model. The C2C model is also known as “Companies for creators”. These are companies that specifically focus on helping and catering to the content creators out there. They try to magnify creators’ revenue which helps them generate their revenue in return.
Income-generating Sources (Revenue streams) of Creators
Think about a YouTuber, the primary source of income for that is the subscribers base and the advertisement revenue that those subscribers generate. This is what most people suppose of a YouTube star, but it can be more than that.
In fact, not just a YouTube person, any of the creators on any of the global platforms can have more than just one source of income. Let us see some examples to make it more clear. Here we will read some common and some uncommon sources of income that an internet celebrity can have.
Content Subscribers
The most popular platform is YouTube, it works on a subscribers model. The more a person can make it engaging and the more he/she can have a subscriber base, the better the income. This is the primary source on this platform.
Twitter recently started its paid tweets feature in their famous platform. That is called super follows, it allows creators on the internet to create a subscribing audience that pays to watch their exclusive tweets.
Twitter Super Follow
It can range from 2.99$ to specified by Twitter. This source of income that uses the algorithm and the platform as the epicentre is the most famous and known source of income.
Exclusive Stuff
Once a creator is an established creator, he can add more exclusivity to its content. Youtube allows that, by allowing creators to add a “Join” button to the channel. Viewers can access those exclusive content by paying a minimal monthly fee. This is not just limited to this feature of exclusivity, this was just the beginning, it can expand to more types.
YouTube Join Button
A content creator can create merchandise that is exclusive to his/her style. In this world of hyper technology, established creators can even launch their NFTs. A famous internet creator Logan Paul reported some abnormal gains in the sale of NFTs.
He reported that the NFT he launched was sold for 200 Ethereum. That is an insane amount of money and obviously some supernormal returns. It is mind-blowing to see how much he can earn with the 2.5+ million dollars that he has invested in NFTs.
He also owns a clothing brand and is trying to set up a sports drinks business. There can be no limit to the number of exclusive items a creator can launch and market.
Specific Information via Courses
Yes, you read it right and this point validates your thoughts. Almost every content creator can create a course online and spread it out with his/her audience and for the world out there. The course can be some specific and distinguished information or it can be his/her learnings in the content game.
The most famous example right now would be Ankur Warikoo, the entrepreneur who rose to fame with his educational and motivational YouTube videos. YouTube is just one sort of income stream, he also sells some courses online.
The courses are some specific knowledge that he has gathered in his life, some entrepreneurial skills and some public speaking lessons. Raj Shamani can be another example who sells courses apart from his content creation game. The point reveals itself that in this modern world if you have some hungry audience, you can have multiple streams of revenue.
Fan Interactions and Events
Once you are a regular surfer of the content waves, it is now the time to jump to another level. If you have an audience that loves you and is really fond of you, then this can be one more source of revenue.
Many online creators organise events that are funded by their lovers (Audience). There are many circumstances when some organisation hosts an event and pays the creator to join it. These concerts or fan interactions can also become a revenue stream for these creators. However, the pandemic did add a lot of restrictions to this but they are always available with little tweaks here and there.
Merchandise
Merchandise is something that we all have seen at some or other point in time. They are some products that creators release for people to buy. They can be anything with the creator’s unique tagline or a symbol or anything that is uniquely identified. Famous creators often release them for their fans.
Logan Paul is the owner of “Maverick” clothing. Bhuvan Bam is the creator behind the Youthiyapa merchandise. Almost every creator is releasing his/her own merchandise. They can have mugs, phone covers, and more added to their definition.
Bhuvan Bam Merchandise
These are some of the most uncommon revenue streams that content creators can have. Not just limited to these, there can be more options than just these, depending on the audience relation and type of audience that the creator has. Like a tour and travel blogger will get some sponsorships of places and cuisines. Some vloggers can get sponsorships for tourism spots and travel destinations. The line between all these domains are very little and they often diffuse into each other.
According to Bloomberg’s Lucas Shaw, “Creators now make so much money from social media that crossing over isn’t the be-all and end-all. They can make millions of dollars in advertising on YouTube and sponsorships on Instagram. They leverage their audience to start their own clothing or make-up line. And unlike many other creative pursuits, the creator economy has proven pandemic-proof.” Thus, there is a huge incentive that is there in this line of career.
You have to be able to build some base audience first and then you can think of some real cash. There is always a first-mover advantage in terms of engagement and reward in views. It is a test that someone has to pass before becoming a celebrity. Yes, celebrity is a real word in the urban dictionary.
It can easily be said that content is the most profitable product of the 21st century. Not just that, but it has grown much. Now, there is a whole industry that works around content. There is a whole ecosystem in place which is trying to help people get more attention sell more and eventually generate more cash. The C2C commerce, Companies for creators.
There are over 6 billion people who use a smartphone device, according to Statista, and almost 4 billion of them are active on a social media platform. This is easy to say that everyone is on their phone consuming content, but few are the people who are creating content. However, you might find them in thousands in numbers but again India has about 130 crores of population. So why is content winning you ask?
It is super accessible. You install a social media app on your phone. Technology is cheap and great, making an account with one email is easy. Sign up and you can access a lot of data information and content. A report said that 30 thousand hours of content is uploaded every hour. It is not just easy for the audience to watch cool things but it is also easy to hop on the content creation ride.
There are many possibilities. Many many possibilities. Those which we discussed in this article are probably just the tip of the iceberg. Never in the history of time, things like these were possible.
You learn a thing, or you find something that is natural to you, you go online, create an account and post content, and you grow. Once you are consistent enough and successful in building an audience, there can be endless possibilities to grow more from that stage. Marginal growth becomes easy and multidimensional.
Money – it is where the money is. Content creation is where the big money lies. It is the place where everyone lives, the online world. That online world is not expected to close/shut down in the near future. That is why it has a lot of potential to earn money.
Another reason why content is winning is that creators are creating not just content, they are creating ‘Asymmetric information’. There are many content creators who know branding and marketing way better than brands and marketers. They know the code of conduct in an online marketplace and that is why brands love to collaborate with them. This is sometimes the very basis of paid partnerships in the online world.
Is Content Creation a Viable Career?
Yes and No. There are still high doubts about content creation being a viable and stable career. When we talk about a career we generally mean something related to two factors. We mostly want stability and high reward. There is stability in the career but it comes with a different definition. There exists high rewards too in this career but only after some tests.
First of all, not everyone can be a content creator. Someone has to be a viewer and follower. It has to be noted carefully. If you’re someone who is just starting out, then you would be looking at statistics a lot. They have to rise if you want more engagement/subscribers/likes/shares. You have to create content that the audience would love.
To be super honest, that is not as easy as it looks from a distance. Instagram Stars like Kusha Kapila, Dolly Singh, Ankush Bahuguna, and others do that every day. It can seem easy from a distance but creativity is not as easy as it sounds and looks. You have to find some hook, on which you can build up. That hook will grab people’s attention. Not to mention that there is always the first-mover advantage.
Secondly, even if you create content, building a community is hard. You have to be super specific in your content and whatever you show and speak online. The likes and shares would look easy but they are hard-earned. So, if you are starting out, try to be clear with your approach.
Try to enhance your content every day and just keep doing it until something big happens, even after that, don’t stop. It is often called luck. Some people call someone lucky to be at some specific place at a specific time. That is not entirely true, and hard work matters a lot.
Another thing that a lot of creators have mentioned countless times is the “Fun” part of creating. Most of them have mentioned that it is about individual preferences. If you’re having fun creating something for the world then you should go ahead and dive into the content game. Metrics like the number of subscribers, likes, shares will come after you have mastered your area. It is always the process and only after a while you do find a happy destination in your career as a content creator.
The recent surge in the pandemic has not affected this economy and it is growing at an even better rate. The Creator’s economy’s adaptability and resilience that it showed during the pandemic added high hopes from this sector. As individuals, now creators can have multiple income streams and that too with growing influences in the market.
Now brands from all over the world can be more and more influenced with the help of these content creators. Instead of investing millions of dollars in advertisements and placing them during prime time television shows, they can use creators for brand placements.
This can help brands with getting a ready-made audience for their products or services. This makes marketing easy and product placements even better.
Social media has been a very crucial part of marketing over the past 10 years. With the advancements in technology and diversification in devices, we are seeing a massive boom in online marketing. All these acts and the current pandemic has boosted the audience that creators have online. Which has in effect turned the content creation into a well profitable game.
In the history of the internet, this is probably the best time one can be a content creator. Moreover, there is now a new online economy solely dedicated to this domain. When everyone is on their devices and giving out free attention to the internet, it is probably a tight time to turn your hobby into a full-time career.
The creator economy, often abbreviated as something that can turn your side hustle into your main hustle is booming. But can everyone be a content creator? The answer is very subjective Yes and No. You have to let go of the skin of the game.
You have to keep upgrading your tools and techniques to get more attention. More importantly, you have to enjoy the process, because if you enjoy creating, then most probably the audience will love interacting with your content. It is a double-edged sword and both the edges are sharp.
FAQ
What is the creator economy worth?
The industry of content creators, content curators, and community builders is worth nearly $20 billion dollars.
How many people are in the creator economy?
As of 2020, there are 50 million global content creators.
What is an economic creator?
Any content creator or community builder who uses platforms like TikTok, Instagram, Twitch, YouTube etc to monetize their fanbase is termed creator economy.
BharatPe became very popular after its launch in 2018 among businessmen as it solved a unique problem. BharatPe’s boost generally happened during the pandemic when no payment app was charging transaction fees below 1.5%. This was the time when BharatPe cashed in on the opportunity. They made transactions absolutely free.
This is why a lot of business owners who had to do large transactions daily, shifted to BharatPe. Today, it has more than 7.5 million active users in its app. Apart from providing free transactions, it also has solved a number of other problems. There is also a lot more to see about the business model which has grown to such an extent in such a small time. So, without any further ado, let us talk about the BharatPe business model.
BharatPe is a fintech company headquartered in Bangalore. This payment aggregator has enabled transactions without any kind of fees. It has leveraged UPI to enable this. It is a QR-based payment aggregator by which you can do any kind of transaction using the app.
BharatPe was founded by Ashneer Grover, Bhavik Koladiya, and Shashvat Nakrani. All of these founders have a great profile. Ashneer Grover and Shashvat Nakrani are alumni of IIT Delhi. Ashneer Grover is a resident of South Delhi and has also graduated from IIT Delhi. He has been working with startups for a pretty long time. Previously he was also the CFO of Grofers, the grocery e-commerce giant. Ashneer has also led the Corp Dev for Amex India.
Bhavik Koladiya has decent knowledge and experience about Fintech in general. He is heading the product and technology of the company.
Shashvat Nakrani is originally from Bhavnagar and is a student of IIT Delhi of 2015-2019. He has done his B-Tech in Textile engineering.
Business Model of BharatPe
BharatPe has a very unique business model and because of this, it has grown exponentially. The major growth of BharatPe happened during the pandemic. In this time, they devised a smart method to expand. They leveraged UPI to enable absolutely free transactions. BharatPe was providing this when its competitors were charging fees less than 1.5 %. This is why a lot of vendors started moving to BharatPe.
Making transactions free encouraged more people to use the platform. It also kind of did indirect marketing of BharatPe. When the vendors came on this platform, they started exploring the platform in a great way. The platform has been designed as a one-stop solution for all kinds of payments. They have devised various kinds of products to cater to the people.
The company has launched the Xtraincome card which is an easy transaction solution, very helpful for business owners. It also gives you a cashback of 1% whenever you do a transaction with it.
BharatPe XtraIncome Card
These applications are actually solving the main pain points of the businessman. Apart from this, they have also introduced BharatSwipe which is an innovative card swapping system. Another product is called BharatPe digital gold.
BharatPe earns its revenue by providing macro to microloans to its business owner. A working professional or businessmen get loans very easily but small business owners face problems while applying for the loan as their CIBIL score is low.
BharatPe tracks the person’s transaction using its various products like Xtremecards and evaluates their capability to return the loan. According to it, they provide microloans to small businessmen without much paperwork. They do not provide loans using the CIBIL score. This solution accurately serves the pain points of small businesses. This is the main source of revenue for the app.
BharatPe Funding
BharatPe has raised a total of $700 million. They have presently gone through 12 rounds of funding. Apart from that, the company has raised a debt of 100 crores. They have secured funding of $370 million from Tiger Global Management. Apart from that they also have acquired funding from Dragoneer group, Ribbit Capital, Coatue Management.
What is Unique about BharatPe
Recently BharatPe has upgraded itself by collaborating with NBFC which are allowed to launch a 12% club by the RBI. This will give them a lot of benefits as compared to its competitor’s who are having the same product. This is because now any customer can go ahead and invest and can get upto 12% interest. They can borrow upto 10 lakhs.
Growth of BharatPe
Since its inception in 2018, this company has shown rapid growth. Today BharatPe ranks 4th after Paytm, Google Pay, and PhonePe in terms of users. Apart from that, it was quick in releasing products which actually solved the problem of merchants and the public at large. Services like 0% fees on any transaction. Products like BharatSwipe and Xtraincome card are unique innovations to solve customer problems. They have also come up with innovative gold loans schemes.
BharatPe has an impressive business model. The whole business is working around solving various pain points of small businesses. Their products are reliable which has led to their word-of-mouth marketing initially. Today they have more than a million merchants using their platforms. BharatPe’s business model is a unique model and an entrepreneur can learn a lot from them.
FAQs
What does BharatPe do?
BharatPe is designed as a fintech company to empower small merchants and kirana shop owners. The company brings QR codes for UPI payments, Bharat Swipe, and an array of fintech products, including small business financing and more.
How many people use BharatPe?
BharatPe serves 7.5 million+ merchants in more than 140 cities of India, as of January 2022.
How does BharatPe make money?
BharatPe earns revenue by providing loans to small business merchants. A major portion of the BharatPe revenue comes from its merchants and its lending products.
Who created BharatPe?
Ashneer Grover and Shashvat Nakrani founded BharatPe in 2018.
Is BharatPe a government company?
No, BharatPe is a private fintech company founded by Ashneer Grover and Shashvat Nakrani in 2018.
I wonder if there’s any space left to be explored in the tech space in the 21st century, or is it just a bunch of first-world issues. With this thought in mind, I present to you a story of a startup that filled the gap of online shopping and retail store closures.
If you purchase food, clothing, or whatever, you are entitled to receive money back. You spend a fortune on shopping, so why not make some money while you’re there? This isn’t about clipping coupons or looking for refunds. I’m referring to Ibotta.
Bryan Leach, an entrepreneur quit law to create Ibotta, a Denver-based company with over 400 staff, 20 m installs, nearly $100 million in funding, and alliances with Target, Walmart, and 1500 other companies. Ibotta, among the most popular mobile shopping apps in the U. S., was built in Denver in 2012. Ibotta aims to persuade millennials to do online shopping, and at the same time halt the trend of retail outlet closures by helping these stores.
Ibotta is a free app that you may get for your smart device. You register an account and then they generate a set of products that you can get at a retail shop, a supermarket if you’re purchasing a bottle of wine or a six-pack of beer. It’ll come in handy when you’re out pet shopping.
Ibotta Homepage
It works everywhere in the physical retail sector, and you choose which things you want to buy, then snap a pic of your receipt with your mobile or pay with your loyalty card, and they offer you a payback incentive right away. It’s essentially a 21st-century version of coupons or rebates, with a quick cash prize that you can collect and use on a gift voucher or deposit into your bank using PayPal or Venmo.
You can now use it for all of your online orders, such as calling an Uber, ordering online, or booking a flight on booking.com, and it will connect you to other e-shopping experiences and offer you quick cashback as soon as it hits a buy-in another app.
How was Ibotta Founded?
Bryan Leach, founder of Ibotta was a Denver lawyer who was glad to resolve global contract issues in arbitration in cities like London and Singapore across the globe, but the most thrilling part of his job was growing his international arbitration practice. When it came to creating his firm and doing the research work, he didn’t find it as enticing as he had hoped, and he hoped to be a part of a group of people who were looking to create something new.
One time, he was a little antsy when he returned from a conference in Rio de Janeiro saw one taking pics of his business cards so he could keep track of who he had just met at the conference, and Bryan thought about the disruptive power of mobile tech and how you could take pics of your receipt from the store and have quick access to data you need.
It turned into a task for him to discover how to convey promos and vouchers and have a direct link between the brand itself and the final user so these shoppers don’t have to take these Lil chits into the shop, and he found that there was a lot of tension with the current methods and a large expense on poor tactics.
The regret of not giving it a shot outweighed the fear of failing at this venture. Although he lacked the necessary business and technical talent to make this app, he travelled to Silicon Valley in search of investors, and to his surprise, the backers were enthusiastic about the concept and were willing to become angel investors. So one step led to another, and he soon found himself with $3 million in initial funding, at which point he formed a team with the right skillsets and the ability to design this app.
Tagline and logo of Ibotta
Ibotta Logo
“Life Rewarded” is the tagline of the Ibotta app, and it couldn’t be more apt. It is a must-have app if you’re hoping to save at least a few dollars upon each purchase. Every moment in daily life, to be exact.
Business Model of Ibotta
Value propositions
It’s an app that links firms and customers. It assists customers by making their life easier. You get accessibility to unique refunds after performing tasks (reacting to polls, viewing films, etc), and cashback on daily purchases. There are real money benefits instead of credit scores.
Channels
The following are the channels used by them: Mobile app, Google Play store, Blog posts, Social networks, Media (Forbes and TechCrunch).
Customer relationships
They build customer relationships via Buying sprees, Couponing replaced by entertaining activities, Referrals, Cashback, brands exploration.
Customer segments
Their target audience is millennials and Retailers (Marketers, Walmart, Target, etc).
Key partners
Their key partners include – Top companies and merchants (FMCG, dining at diners, etc), PayPal and Venmo are two popular payment options, Investors, LiveRamp Alliance
Key activities
The activities performed by Ibotta are Cold calls, Auditing, Client Support Systems Engineering, Ecommerce, Data Analysis, Conflict Resolution, Promotion, Project Management, Content Creation, Research Strategies, Ads, Sales, PR, Staffing.
Key resources
It’s a framework for smartphone use. The face recognition feature allows you to claim your deals by scanning your receipt. Other key resources include Designers, Salesforce, records of suppliers, Product details from customers, Analytics, and Investment.
Cost structure
Their cost structure comprises Lead generation, Branding, Promotion, IT infrastructure and communications, Software design, Operations, and Client service.
Revenue streams
Ibotta generates revenue by making the app Free for users, by earning modest fees from brands and stores, Answer polls, and paid ads.
Ibotta has used an associate fees business approach to earn revenue since its inception in 2012. Ibotta makes money for each sale made via their application by working with over 1,500 designer labels. Ibotta earns any moment a client buys the product through Ibotta at a partnered label.
Ads
Ibotta also earns money by offering marketers ad spaces and displaying them straight to users. They have a total of 8 different ad formats, like banner ads, instant messages, emails, etc.
Account Upkeep Charges
On profiles that have been idle for at least 6 months, it imposes a fee. It earns by taking funds from idle customers’ Ibotta account “rewards” balances to pay for the cost.
Ibotta’s influencer program
Performance marketing is the most intriguing part of lead generation and the transition to the sale for them and their affiliates. They don’t charge for display ads, views, or hits; instead, they charge per piece sold performance, which is how their influencer program works.
They pay those who recommend a pal or post material that leads to someone utilizing their app. They split the profits based on the value of the user to them. They make it worthwhile for them to convey the narrative of how Ibotta saves folks time/money.
They found that the sector’s general trend is to become apt to draw the distinction that assigns that traffic to the location where you bought that ad and away from inaccessible algorithmic media, which has induced firms like P&G to put a complete halt on display ads unless there’s the best approach, and they portray one of those best methods.
How is Ibotta Helping some of the Biggest Brands?
They deal with over 1500 consumer packaged goods firms, the majority of which are attempting to tell their brand’s narrative. They also collaborate with merchants with distinct goals. When it comes to FMCG firms, they just want to expose you to a unique product type and explain what makes their brand unique, but drawing your focus is difficult.
In a nutshell, they’re a one-of-a-kind space where folks can explore a wider customer base eager to learn about what they’ve built. They understand that once customers test their brand, it’ll become a frequent purchase. So what they’ve done is the brand connection in the form of small bite-sized factoids, recipes, and clips that let brands reach out to clients and target people known who prefer rivals’ products, which is Ibotta’s major value.
Stores are losing a big chunk of their market to e-commerce, but the fact is that mobile-influenced sales account for about $4 trillion in the US economy, which is ten times greater than e-commerce.
So, how can the technology be utilized to encourage consumers to return to their retail outlet?
Ibotta is providing a reminder and a reward to attain desired targets. They’re expanding cart sizes and the number of visits to those shops while also making an effort to have the same chat about what sets their brand apart.
What is the Secret to Ibotta’s Success?
3 most important factors in making an app that’ll be on people’s device’s homepage throughout the globe are:
An explicit benefit offer, in this case getting cash rewards for daily transactions via a free app.
Using an app that works in every case where you’d like to buy something important, hence why, you now can book an uber and place orders on the app.
High rate of usage: they cover aspects where you can return to Ibotta and begin with Ibotta every time if it’s online shopping or binge-watching rather than solely focusing on key value and rare deals, as others do.
Therefore, they’ll escalate the range of situations in which you can use Ibotta. On your dashboard, they’ll make it a lot simpler to find highly relevant data. Their search is one of the greatest, allowing you to browse the catalogues of all places you would wish to buy something at once.
Future Expansions
The app will be expanded beyond the US. They’re one of the top 5 best e-commerce platforms in the US, and there’s still ample space for them to flourish. They’re quite thrilled about launching the app in the UK, Australia, Canada, and the East – Asian nations. They’re actively working on it.
I can’t believe I am now finding Ibotta, although it’s existed since 2012. Just for shopping, you’ll get your money back? Gladly accept my request. Because of Ibotta, our daily regimen has altered, but it is worth giving a shot.
FAQ
Who is the CEO of Ibotta?
Bryan Leach is the current CEO of Ibotta.
How does Ibotta give money?
Ibotta earns money from its commission partners, ads, and influencer program, and shares the profit with the users.
How much do people earn with Ibotta?
An average Ibotta user earns between $10 to $20 a month.
The world has evolved over time and technology has played a great role in that. Money isn’t just paper anymore, it has taken the form of digital currency as well. The word cryptocurrency is always on-trend now. People are realizing its characteristics slowly but steadily.
A few years ago, the concepts of cryptos were not that popular. The cryptocurrency was invented in 2008 by an unknown individual or group called Satoshi Nakamoto but started gaining momentum in recent years.
To be specific, Cryptocurrency is nothing but a form of digital currency that runs on blockchain technology which means it is decentralized in nature and cannot be controlled by any Government or any mediator.
Cryptocurrency can be exchanged through various trading sites and amongst all those sites, we have CoinDCX. In this article, we will talk about India’s first crypto unicorn, CoinDCX’s business model and how it makes money. So let’s get started.
“Cryptocurrency will change market structures, and maybe even the architecture of the Internet itself.” -Abigail Johnson
CoinDCX is a company that focuses on providing cryptocurrency-related financial services and is into cryptocurrency trading networks. It concentrates on giving the customers a quick, risk-free, effortless, and reliable trading experience. It is also considered the safest and largest cryptocurrency legal exchange platform where one can buy and sell various types of cryptocurrencies.
CoinDCX Website
The company has developed a trading platform where traders using CoinDCX have given the facility to trade various industry-first products by using exchange liquidity.
CoinDCX was founded by Neeraj Khandelwal and Sumit Gupta in the month of April 2018, both of the founders have graduated from IIT Bombay.
Neeraj Khandelwal and Sumit Gupta
When Bitcoin started gaining momentum in 2014, the founders realized that it would be great to take the support of blockchain technology to get started with financial inclusion.
Both of them strived hard to make this site the safest place for traders to buy and sell cryptocurrencies. As of over 188 people are working in CoinDCX as their employees.
Features of CoinDCX
CoinDCX is attracting the attention of crypto traders because of its several amazing features. Some of them are down below:
It is quite easy, simple, and fast. One can just start investing in just 10 minutes.
Another significant feature is that is CoinDCX is safe to use. Any kind of trading or investment is safe here on this site.
The adding and withdrawing of the fund can be done very quickly. It is not time taking.
Target Audience of CoinDCX
People who are interested to buy and sell their cryptocurrencies in huge amounts are mainly the target audience of CoinDCX. It is in a mission to entice the people from millennials and Generation Z. It is operated worldwide and is for all types of traders taking into consideration their trading history, risk tolerance, and the number of times they have traded.
CoinDCX provides a number of tokens for exchange to the traders. Some of the popular tokens are:
Bitcoin
Ethereum
Bitcoin Cash
Litecoin
Binance Coin
Chainlink
EOS
Tether
Cardano
Stellar Lumens
Ripple
Tron
Matic Network
Basic Attention Token
Business Model of CoinDCX
The development of the single point access by the CoinDCX helps in trading all kinds of cryptocurrencies that can be found in over 500 markets. Such is their trade machine engine is built that it is able to process 1 million transactions in just a second.
CoinDCX makes money like any other trading platform by charging a transaction fee during every exchange. Apart from that the company also makes money through the withdrawal sum, deposit fees, and the commission received from trading. INR is converted into cryptos by the trader and cryptos are converted into INR on DCXInsta.
How Does CoinDCX Make Money?
CoinDCX basically makes money from deposit fees, withdrawal fees, trading commission, and listing fees. Deposit fees are charged while exchanging currencies. Plus withdrawal fees and trading commission are derived from any normal transaction and exchange.
Revenue Of CoinDCX
CoinDCX’s current value is $1.1 billion and with people taking an interest in cryptocurrencies the amount will increase in the near future. Recently, it has been able to raise funds over $109 Million from five investors, thus leading it to add its name to the list of unicorns and it has also become the first crypto unicorn of India.
Current Scenario Of CoinDCX
With the sudden bump in the journey of cryptos, the company’s future is also in question. After the ban on cryptocurrency by the Chinese Government, the digital currency market faced a big loss.
CoinDCX at first during the early period of this year roped in Bollywood superstar, Amitabh Bachchan as their Brand Ambassador. Following some tension regarding the cryptocurrencies clarity in its legality, Bachchan withdrew his name as its ambassador.
CoinDCX Amitabh Bachchan
After that CoinDCX again announced Bollywood actor Ayushmann Khurrana as its new brand ambassador for their campaign ‘Future Yahi Hai’. This campaign was set to promote the safety of the platform for trading cryptocurrencies and acknowledge all the concerns related to cryptos.
In the last few weeks, there is a huge ruckus going on regarding the legality of cryptocurrencies in India, the decision regarding the future of Crypto would be taken on the 13th of December 2020 by the Prime Minister of India, Narendra Modi. The fate of CoinDCX and its other competitors will be decided in just a few days.
Cryptocurrency, even after its fluctuating nature was able to hold the attention of the people, naturally trading platforms like CoinDCX were quite a help for the traders that wanted to exchange cryptocurrencies safely. It tried its level best. Although the future of the company is unknown and depends on the Cryptocurrency bill of the country, one cannot deny the successful model and ways of the company that helped them in becoming the first Unicorn that too in the field of cryptos in just a span of three years.
FAQ
How much does CoinDCX charge per trade?
CoinDCX charges takers 0.04%, and makers 0.06%.
What is CoinDCX and how it works?
CoinDCX provides crypto-related finance services. It has a trading platform that traders can use to invest in crypto.
Who is the founder of CoinDCX?
CoinDCX was founded by Sumit Gupta & Neeraj Khandelwal on 7 April 2018.
Owning a luxury car is one of our childhood dreams for most of us. Be it owning a normal car or a luxury beast on the road, a four-wheeler is one of the goals that people dreamt to achieve in their life. Luxury cars are quite common in the cities of UK, US and UAE but now they are gradually becoming familiar in the streets of the cities of India as well.
What’s better to choose your dream car from a showroom that has some of the biggest collections of luxury cars? In this article, we are going to talk about India’s largest buyer and seller of luxury used cars that is Big Boy Toyz. So without any wait, let’s look at how does Big Boy Toyz make money.
“Take care of your car in the garage, and the car will take care of you on the road.”
Big Boy Toyz is also known as BBT was founded in the year 2009 by Jatin Ahuja. His goal was to transform and make the previously owned exotic car business big in a country like India. One can find cars like BMW, Audi, Range Rover, Aston Martins, Bentley, Lamborghini, and others parked in their showrooms.
Jatin Ahuja, Big Boy Toyz Founder
At first, it was a one-showroom company based at Gurugram, it is also where the headquarter of the company was situated. Now, it can be found in Hyderabad and Mumbai as well. Ahuja started the business with an investment of just ₹70,000. It became so popular that, in its very first year it experienced a turnover of ₹6 Crore.
Big Boy Toyz Showroom
Over the years the brand has secured to expand its name over the industry and secured its name in the list of top businesses in the country. In 2017, it gave an opportunity to its customers to buy luxury cars online, a first for any company in the country. Not only that, but BBT also started dealing with Premium motorcycles like sportbikes, cruisers, and other exotic two-wheelers in 2019.
By 2023, it is said that India’s used car market is to cross the $25 billion mark and Bigg Boy Toyz seems to be leading this industry with its strong calibre.
Target Audience of Big Boy Toyz
Jatin Ahuja started this business with premium car dealers. Since 2009, BBT has supplied over 6000 cars to people from different cities of India. The prices of the cars are somehow between ₹50 Lakhs to ₹4 Crores, naturally, they target the customers who are celebrities or are from the upper-middle-class that want on getting luxury in their collections of four-wheelers.
Jatin Ahuja with Bollywood Actress, Neha Dhupia
These people are free from the stigma of buying pre-owned cars and are at the age of 35 to 50 years. With its price range, it has now started working on making luxury cars accessible to other sections of society as well.
Business Model of Big Boy Toyz
BBT mainly focuses on selling luxury four-wheelers to the customer and that is mainly how they make money. The quality of the cars that they sell to their customers is what makes them more unique. Their USP is all about making their customers happy.
Price definitely plays a big role in attracting customers but apart from that, another thing that plays a significant role is how pre-owned cars are owned by some of the biggest celebrities in the country. To be able to drive a car that is driven by their favourite celebrity is quite a good offer to be missed.
How does Big Boy Toyz Make Money?
Celebrities from the Bollywood industry and sports industry are some of the major customers of Big Boy Toyz. They mainly buy and sell their cars as well, because they lose interest in the luxury beast quite quickly than expected when another catches their eyes.
With its showrooms in three of the business cities in the country, it has been able to attract the attention of the customers quite well. In a year, it has been able to sell 340 to 400 cars easily. They mostly sell one to two cars a day. This is how the company generates revenue mostly. It has also partnered itself with Dharma production and with MTV Music Television Channel;
What is Unique About Big Boy Toyz?
Some of the features of BBT that make it unique are listed below:
It mainly deals with buying and selling luxury cars and now some bikes as well.
Every car that is in the showroom of BBT goes through 151 quality checks before it is certified by BBT.
Big Boy Toyz provides all the insurance history of the preowned cars to its customers.
BBT also takes note that all the cars have not run more than 20,000 KM.
BBT ensures that none of the car’s meters is tampered with or face any kind of problems and is as good as new.
Revenue of Big Boy Toyz
The revenue of Big Boy Toyz was between ₹100 – ₹500 Crore as of the financial year 2020. Surprisingly even during the Covid, the brand was able to sell over 140 luxury cars in just the first half of the fiscal year. BBT experienced a 48% increase in the demand for luxury cars post the first lockdown during the Covid.
BBT is a kind of company that is literally giving an opportunity to their customers to own their dream cars. The best part is that, even after the Covid lockdown, they experienced a surge in the demand for luxury cars. The company is proving its mettle every day, by growing its business in the tough time, it is surely going to lead the pre-owned car market in the near future.
FAQ
How does Big Boy Toyz make money?
BBT sells preowned cars to customers, its main target audience is celebrities or the upper-middle class who are looking for a preowned luxury car. They sell one to two cars a day.
What is the business of Big Boy Toyz?
Big Boy Toyz mainly focuses on buying and selling pre-owned luxury cars.
Who is the owner of Big Boy Toyz?
Jatin Ahuja is the founder and managing director of Big Boy Toyz.
Alan Joseph
