"EDITION 155"

Published: 9/15/2020

Good morning, Anmol here and it's Tuesday. Seems like Oracle has beaten Microsoft to the punch in a move that doesn't really give the company significant ownership of TikTok but moreso boosts their cloud business. And in other news, Amitabh Bachan will be the new voice of Alexa (tbh I think it'll be a little weird to be woken up to Big B's voice every morning). On to the day's news- fresh off their IPL sponsorship, Dream11 has raised a new round & we have another Dukaan entrant.

  • https://tcrn.ch/2ZDm8Gh: Dream11 raises $225M, valuing the company at $2.5B
  • ➡️ Dream Sports (parent company of Dream 11) has announced a new financing round totaling $225M from the likes of Tiger Global Management, TPG, and other which will value the company at $2.5B.

    ➡️ The company had also, last month, won the rights to be the title sponsor for this year's IPL with a winning bet of $30M. And with the season set to begin within the next week,I'm sure the company has been beefing up their marketing & ad spends.

    ➡️ The company is most well known for the Dream11 app which lets people play fantasy sports and make money on them. The app is not available on the Google Play store but relies on users to download it from their website- they also have over 100M users.

    ➡️ In recent months, Dream Sports has also expanded into additional categories like merchandise, but Fantasy sports will likely continue being a large part of the company's revenue for a while. Sponsoring the IPL this year seems like a massive bet taken by the company ($30M is quite a sum), but the company can also see massive growth & usage given the fact that the country loves cricket and is itching to watch live sports in this lockdown.

    2. https://bit.ly/3kleA2S: Dot launches Digital Dukaan- entering a crowded field

    ➡️ Digital storefronts for SMEs & Kiranas seems to be in vogue currently. And we have yet another entrant in the space- this time around it's the PayU-backed Dot that has launched "Digital Dukaan" to help people launch digital stores instantly.

    ➡️ Over the last 2-3 months we've seen a lot of these apps by companies come to the market- Dukaan, Khatabook, OKCredit, Bikayi, MSwipe & Magicpin. The question I pose is if there is really a need for 5+ apps all doing the same thing without much differentiation?

    ➡️ Dukaan & Bikayi were probably the early adopters here with Khatabook also launching in that time frame. Dukaan & Khatabook have already seen their Dukaan product been downloaded by over a million users, with Bikayi having over 500k downloads & the others further behind (Dot only has 100+ installs currently).

    ➡️ These apps mostly function the same way- a business signs up, uploads their inventory, shares a link of their store over WhatsApp with its customers, and watches orders trickle in. In some cases the app has an integrated payment gateway & in others the business just collects cash-on-delivery or over UPI. These apps usually are free, other than Bikayi which has several different paid plans

    ➡️ I'm quite certain that some of these apps will definitely die out and I wonder if a first movers advantage is helpful here- OKCredit & Dot are severely behind in this regards. Enabling the digitization of SMEs & Kiranas is certainly in trend currently (especially with the Dukaan apps & PagarBook)- but how many of these company will actually survive & thrive vs how many will die out as being pretenders?

    Feedback & ❤️ always appreciated BONUS (Tweet of the day): https://twitter.com/ahmedmakda_am/status/1305424606539382784

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