With Happycredit You Can Get Rewarded On Ecommerce Platforms And Credited With Savings On Multiple Shopping Deals
The Originality And Christening Of A New Story
Have you felt the anxiousness creep up when you see the debit side of your monthly expenses? Or have you felt happy and relieved when noticing a credited amount? Let’s face it, we love shopping, and yet the anxiety of seeing rows and rows of debited charges is nightmarish. Shopping is a necessity; debits are a must. But what if there is a system where you are rewarded for your purchases?
In the quick-click world of e-commerce, the ease of shopping is unparalleled. The founders of HappyCredit, Jitendra and Ashish, noticed a post-pandemic shift in the e-commerce space. They realised the potential of using savings, rewards, and credits to nudge shoppers to adopt the e-commerce experience.
Ashish Virmani, Co-founder, HappyCredit shared, “Cashback and rewards are a significant part of the e-commerce ecosystem, and with HappyCredit, we want to make the process a seamless affair. We are very excited about the traction so far and the new set of products that we are about to launch”
Based on the simple insight about the joy we feel from seeing credit messages in our account, the founders aptly named their new venture HappyCredit. October 2020 was a ripe time to launch the platform. The motivation? To bring delight to first-time online shoppers in the form of rewards, cashback, and credit.
Isn’t it exciting to get a small cash-back reward as a shopper? This laid the foundation of HappyCredit, an intersection of e-commerce, rewards, and credits. It is an exciting space with a huge potential to grow exponentially due to the boom in e-commerce retailing.
Let’s Go Behind The Business Scenes With Happycredit
Jitendra Kumar, Co-Founder, HappyCredit, said, “The eCommerce market is dynamic and has been increasingly becoming the preferred mode of shopping amongst consumers across urban and rural India. We want to provide consumers with a one-stop shopping destination wherein they are rewarded for making a purchase. We are ready to scale to a bigger Bharat audience.”
To make shopping a delightful experience, HappyCredit launched its rewards product, “Aishback”, in the market earlier this year. The rewards received through Aishback are instant and can be transferred to the bank directly, making it a superior form of cashback program to the existing lot. They are making online retailing a delightful experience for 400mn Bharat users with rewards, credit, shopping inspiration, and more.
This Is What The Business & Market Insights Say…
The primary target audience is the household’s Chief Shopping Officer, who is between 22 and 40 years old and comfortable using Credit Cards or UPI transactions for online shopping. They visit online shops to purchase every house need, from tea powder to teacups. Currently, they have over 8 lac registered users on the app who are satisfied with the service they receive. On average, the Chief Shopping Officer places orders worth Rs 10,000 per month through HappyCredit. The industry ecosystem is that they operate in multiple industries; the rewards and gift card ecosystem and the Instant Credit/BNPL ecosystem.
The e-commerce market has been thrown wide open to 400mn Bharat users thanks to the COVID pandemic and the UPI boom. Users are not limited to tier – 1 users but are open to everyone. With multiple businesses vying for the consumer’s attention, nudges in savings, rewards, credits, and more are what tip the scale in favor of HappyCredit.
Challenges, Competitors, And Scope For Scalability
Every journey is rife with challenges and holds for HappyCredit. One challenge was to teach customers to start their shopping journey from HappyCredit. It took tremendous effort, continuous engagement, and features to make inroads in customers’ shopping experiences. This proves the app’s stickiness and retention quality.
Competition is healthy for every industry; HappyCredit considers Magicpin and Cashkaro their key competitors in the rewards space. In the Credit space, their main competition is the Credit Card Challenger apps.
HappyCredit, a B2C app, is massively scalable and aims to impact 400mn Bharat users. They support 200+ online shopping merchants and aim to take it to 1000+ partners, including offline retail merchants.
So What Does Their Revenue And Marketing Model Look Like?
HappyCredit charges their merchant partners a fee on every purchase through their platform. Incoming revenue streams from users are also in the works. In the short duration since its launch, they are already close to becoming Contribution Margin (CM) profitable and maintaining a steady growth of 15x YOY.
HappyCredit’s chief target is to acquire shoppers organically or at a very low Customer Acquisition Cost (CAC). They believe they can achieve this by using a mix of collaborations between creators and influencers and a best-in-class referral program that drives word-of-mouth advertising across the app. Moreover, they recognise that the web is an important channel and plan to leverage SEO and build a healthy top-of-the-funnel.
Additionally, they intend to keep adding relevant shopping partners over and above their 200 partners. This will give more avenues for shoppers to earn rewards and cashback.
Who Are Included In Their List Of Investors?
Angel Investors – Kunal Shah (CEO, CRED), Krishna Kumar (CEO, Simplilearn) as well as the US and Canada-based investors like MyAsiaVC, Alex Lin (CEO, Outlier), Jeremy Cai (CEO, Italic), Chris Ye (CEO, Uken Games), Pravin Jadhav (CEO, Raise & Dhan), Abhishek Goyal (CEO, Traxcn), Kunal Sinha (CEO, Glowroad)
Here’s What The Road Ahead Looks Like…
HappyCredit will keep building on its vision to become a one-stop shopping app that offers unmatched shoppers rewards, credit, and shopping inspiration. Very shortly, they will launch more exciting products, including offline retail.
Over the next 12 months, they have a clear vision to expand their core team and scale up the core e-commerce vertical while focusing on delighting customers and hitting the target continuously.