ZestMoney Acquired
ZestMoney: Business Model Canvas
The nine-block Business Model Canvas, filled in only where a public source states it — empty blocks mean we haven't found a citable fact yet, not that the answer is zero.
Value Propositions
A fully automated digital customer onboarding and servicing system, enabling customers to apply for and receive digital credit instantly at the point of sale.
sourceDigital affordability solutions witnessing unprecedented growth in India, making EMI financing a reality for a billion Indians by accelerating efforts to make ZestMoney ubiquitous.
sourceCustomer Segments
ZestMoney operates a B2B2C model where it partners with online merchants to offer consumer finance for online purchases, with a ticket size ranging from $75-$1500 (INR 5k-100k) and flexible tenure of up to 24 months.
sourceMerchants who partner with ZestMoney see a significant increase in checkout conversions, increase in average transaction size as well as higher levels of customer loyalty and retention.
sourceCustomer Relationships
Channels
It has more than 80,000 merchants across India including Amazon, Flipkart, Myntra, MakeMyTrip, Nykaa, Samsung, Apple, Vivo, Croma, and Reliance Digital.
sourceKey Activities
Their pioneering 'Cardless EMI' enables online merchants to offer a seamless checkout financing solution to their customers.
sourceFunding used to further augment its risk engine and develop better in-house technology, and to expand its partner network and bring 'Pay Using ZestMoney EMI' to the majority of ecommerce websites and apps.
sourceKey Resources
Key Partnerships
ZestMoney generates revenue via Direct Selling Agency (DSA) fees collected from its lending partners (NBFCs) for services such as lead generation, KYC, customer care and branding.
sourceMore than 80,000 merchants across India including Amazon, Flipkart, Myntra, MakeMyTrip, Nykaa, Samsung, Apple, Vivo, Croma, and Reliance Digital.
sourceZestMoney and Xiaomi launched Mi Finance to enable purchase of Xiaomi products through card-less EMIs; Xiaomi also invested $13.4 million in the company's extended Series A round.
sourceRevenue Streams
Direct selling agency fees (DSA) comprises the amount collected by ZestMoney from its lending partners (NBFCs) for the provision of services such as lead generation, KYC, customer care and branding.
sourceThe company charges a 'merchant commission' on a fixed rate on products and services purchased by the borrowers from the merchants.
sourceArranger fees from the merchants which stood at Rs 12.81 crore while technology usage fees and other related incomes aggregated to Rs 4.14 crore in FY20.
sourceCost Structure
FAQs on ZestMoney
What is ZestMoney's business model?
ZestMoney's core value proposition centers on Instant point-of-sale digital credit, no credit card needed, EMI financing for first-time credit users.
How does ZestMoney make money?
ZestMoney's cited revenue streams include Direct Selling Agency (DSA) fees from lending partners, Merchant commission, Arranger fees and technology usage fees.