GoPaisa eyes Rs 120-crore gross merchandise value this festive season

E-commerce firm GoPaisa expects gross merchandise value (GMV) on its platform to rise three-folds to Rs 120 crore, driven by cashback and coupons, during the festive season till Diwali, the company said on Friday.

The firm claims it clocked GMV of around Rs 40 crore during the festive season a year ago, GoPaisa co-founder and Chief Marketing Officer Ankita Jain said.

"GoPaisa is targeting a GMV worth Rs 120 crore for the festive season alone concluding on November 4," the company said in a statement.

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GoPaisa claims to have around 1,100 brands registered on its platform and recorded 35 lakh registered users by the end of September.

"Cashback industry has been growing in sync with eCommerce, and in the last one year, the growth rate has only accelerated. We ourselves are expecting it to contribute to over 20 per cent of the entire year's sales, given that we also have some major brands on the portfolio as an added advantage," Jain said.

She said that to attract traction on the platform, GoPaisa's strategy is to offer cashback which remains valid for a year and it can also be directly transferred to banks unlike others where it has to be used to make some purchases only.

"We have increased our marketing budget by 45 per cent compared to last year. The idea is to leverage the new shift by customers towards e-shopping. Also we have some major brands on our platform that give up an edge over our competitors," Jain said.

The company has, however, reduced the overall GMV target for the current fiscal to Rs 200 crore from Rs 275 crore it registered in 2020-21 due to uncertainty around the pandemic situation.

Jain said that due to the pandemic, a lot of people switched to online for their shopping requirements.

"No doubt that during this transition period e-commerce witnessed significant growth. However, given the uncertain times of lockdown and peak of Covid-19 early this year, in terms of business it was important to focus more on sustenance, hence we looked at a conservative target of at least clocking Rs 200 crore," she said. PTI