eCommerce companies in India are known for spending a majority of their budgets on marketing and customer acquisition activities. Following the same lines, Paytm has allocated a budget of Rs. 500 crore solely for marketing in the year 2015. The money would be used to pump marketing campaigns via online as well as offline channels.
The company had also promoted itself during the recent World Cup, and says that it had received a great response, hence now it has alloted Rs 50 crore out of the above mentioned budget exclusively for the launch of their new brand campaign on IPL.
Shankar Nath, Senior Vice President, Paytm says that “At present the utility transactions are around 3 million per day. On an average there are around 12 lakh recharges everyday, which were less than 2 lakh two years back.”
This Alibaba backed company is competing head on with Freecharge which is now a part of the Snapdeal family, and it appears that it is moving even more rigorously with its strategy to capture the market.