"EDITION 81"

Published: 6/5/2020

To be quite frank, this was not a great weekend in the United States. And writing today's newsletter was not easy, not because there wasn't any news over the weekend but because it just doesn't feel right to talk about anything else. Police brutality against minorities is a huge problem in the United States (especially against African Americans) and the weekend's protests are a huge indicator of that. #BlackLivesMatter

Coming to the day's news, Dunzo integrates with Google Pay & Instamojo launches loans on WhatsApp:

  • https://bit.ly/3eH60sl: Dunzo integrates with Google Pay
  • ➡️ Dunzo, the hyperlocal delivery service, has partnered up with Google Pay, Google's UPI payment app, to deliver essentials & groceries for orders placed within Google Pay's app itself.

    ➡️ The integration is though Google Pay's Spot platform where companies can build mini-apps to be used within Google Pay's app. A couple current mini-apps include the mutual fund investing app Groww and food delivery service Zomato

    ➡️ Google Pay's spot platform is somewhat akin to WeChat's mini-program, but they have definitely been rolling it out quite slowly as there is still only a handful of mini-apps on the spot platform.

    ➡️ Google is also one of Dunzo's investors and participated in the companies Series B round back in 2017. And Google Pay is used by 67M MAUs so I'd be interested to see if Google promotes Dunzo ahead of other mini-apps given their vested interest in wanting Dunzo to do well and succeed.

    ➡️ Dunzo is currently fulfilling 100k deliveries a day, which is still a far cry from the likes of Zomato and Swiggy (in their pre-pandemic numbers) but Dunzo continues to carve out a niche for itself with a sticky product, a bunch of consumer love and an increasing AOV and deliveries/week.

    2. https://bit.ly/2ZYYoNB: Instamojo's new product is on WhatsApp

    ➡️ Instamojo has taken it's "sachet loans" to WhatsApp. Merchants on the platform can apply for the loans through WhatsApp and be approved for it within minutes.

    ➡️ Sachet loans are small-sized loans for micro, small and medium businesses. The company has currently run a pilot with 140 merchants to process 290 loans worth ₹19L, while the interest rates range between 0.25% (next day payout) and 1% (instant payout).

    ➡️ Instamojo is still running the new product on a small scale and it is only available to a select number of merchants. Currently the average ticket size is ₹6400. Currently only merchants with valid credit scores can participate in the pilot.

    ➡️ SMEs are struggling with working capital during the pandemic, so Instamojo will definitely be rolling this out to a larger merchant base. The company has historically low NPA rates so it will be interesting to see how that changes with not as creditworthy merchants.

    Feedback & ❤️ always appreciated

    More tomorrow :) BONUS (Tweet of the day): https://twitter.com/mayankdhingra/status/1267148881751465984