Paytm – An Introduction
On August 2010, Paytm was founded in India by Vijay Shekhar Sharma. He is the founder and CEO of the company. The headquarters of the company is situated in Noida, Uttar Pradesh, India.
Paytm is an Indian e-commerce payment system and digital wallet company. The Paytm wallet can be used for making various payments like mobile recharges, bill payments, travel, movies as well as in-store payments at grocery stores, fruits and vegetables shop and many such places with the help of the Paytm QR code. The platform is available in 10 Indian languages including Hindi, English, Marathi, Gujarati, and others.
The birth of Paytm
The founder and CEO of Paytm, Vijay Shekhar Sharma, started off Paytm in 2010 with an initial investment of $2 million. In the initial stages, it was a prepaid mobile and DTH recharge platform. As time passed by and people started using Paytm, they also give the option of data card, postpaid mobile, and landline bill payments via the platform in 2013.
By January 2014, the company introduced the Paytm Wallet. Soon, the Indian Railways and Uber added the Paytm wallet in their payment options. The company then decided to get into M-commerce and did the same by introducing online deals and bus ticket reservations.
The Growth of Paytm
By 2015, Paytm had unveiled many uses of the platform right from education fees to metro recharges to electricity gas & water bill expenses. Paytm also started powering their own payment gateway for the Indian Railways. In the year 2016, Paytm introduced movie, events, and amusement park tickets as well as flight bookings. In the latter half of the same year, it launched rail bookings as well as gift cards.
The registered user base grew from 11.8 million in August 2014 to 104 million in August 2015. Every month, over 2 million tickets were booked using Paytm, which in turn resulted in its travel business annual GMV run rate to cross $500 million!
By 2017, Paytm became India’s first payment app to cross 100 million downloads. It also launched 2 new wealth management products by the name – ‘Paytm Gold Savings Plan’ and ‘Gold Gifting’ plans to simplify long-term savings.
Paytm Payment Bank
In August 2015, the Reserve Bank of India gave Paytm a license to launch a payment bank. This bank is a totally different entity in which the founder Vijay Shekhar Sharma owns 51% stakes, One97 Communications to hold 39% and 10% to be held by a subsidiary of One97 and Vijay. The Finance Minister of India, Mr. Arun Jaitley inaugurated the payments bank in November 2017.
Awards and Recognitions received
• Outstanding Startup of the Year Award at Forbes Leadership Awards 2016.
• GQ India has named him among the 50 Most Influential Young Indians for 2017.
• India Today magazine ranked him at No.18 in the list of India's 50 Most powerful people of
• Paytm wins the Best Digital Wallet Award at the 11th IAMAI India Digital Summit. The $8 billion-valued company has been planning to compete with Whatsapp by launching their own person to person messaging applications and also games. The messaging application is expected to be launched in beta by end of August. Paytm has been a company which has taken every step strategically and has been successful in whatever they have stepped into.
Do you think they will be able to succeed in the field in which they are about to step into?