MobiKwik to invest Rs 300cr to increase user base

Mobile wallet company MobiKwik is aiming for 150 million users by the year end from its current user base of 50 million. And to achieve this mark, the company has announced an investment of Rs 300 crores.

The increase in user base is also expected to boost MobiKwik's annual Gross Merchandise Value (GMV) to $10 billion by end of the year from the current $2 billion, the company said in a statement in Mumbai.

"The investment of Rs 300 crore will be deployed in loyalty initiatives, expanding our reach and network, and launching other financial services such as loans and investments on our platform," said Upasana Taku, Co-Founder, MobiKwik, in a statement.

As part of its expansion plans, MobiKwik is also launching a loyalty initiative called 'Supercash' that allows users to earn reward points at all MobiKwik merchants. These points can then be used by users to save money in the following transactions. MobiKwik users can start earning Supercash points from next week.

MobiKwik had recently announced setting up offices in 13 cities by the end of the first quarter of 2017 and is in its hiring spree to drive business growth. The company currently has over 1.4 million merchants on its network and aims to grow the base to over 5 million by year end, said the statement.

Earlier this week, leading mobile payment platform Paytm also announced to invest Rs 600 crore in its QR code-based payment solution to enable digital payments for merchants across India.