The Indian government suddenly announced on November 8 that the old 500 rupee and 1,000 rupee banknotes would cease circulation from 0:00 on November 9, and at the same time, new 500 rupee and 2,000 rupee banknotes would be issued. People can have them in their hands before December 30
Exchange old banknotes for new ones.
Due to the insufficient supply of newly issued banknotes, this has caused a lot of trouble. Long queues have formed in front of banks and cash machines all over the country to "change banknotes."
At the same time, most people also face the dilemma of having to go home due to insufficient new banknotes and start all over again the next day.
The Indian government claims that this move is to combat corruption and unexplained black money. However, ordinary people have been deceived.
You said, if you want to change banknotes, just change banknotes, you have to get vaccinated in advance. The "demonetization order" was announced so suddenly, which caught the people completely off guard.
Or maybe you have to prepare enough new banknotes. After queuing for a day, it’s finally my turn.
Fuck, the teller told me there was no new money, please come back tomorrow!
Even if someone successfully exchanges new banknotes, they cannot feel relieved.
Because the first new banknotes to be released in large quantities in India were only the new 2,000 rupee banknotes, while the new 500 rupee banknotes were very rare.
The main banknotes in circulation in the market are 2000 rupees, 100 rupees, 50 rupees, 20 rupees, 10 rupees and coins.
This means that even if ordinary people have 500 rupee notes in their hands but cannot spend them, 100 rupee notes have become a scarce commodity that can be effectively circulated.
In addition to withdrawing money, it is another headache for people to deposit the abolished 500 rupee and 1,000 rupee notes in the bank.
Because according to regulations, depositing old banknotes into a personal bank account requires you to submit various identity and address information according to different amounts for verification, and the procedure is very troublesome.
Under normal circumstances, it often takes more than a year or even two or three years for a currency to exit the market in an orderly manner.
The speed of India's actions this time is simply lightning fast!
India is a country that relies heavily on cash, with more than 90% of transactions completed in cash.
In this context, 86% of the banknotes in circulation are abolished at one time. One can imagine how big a blow this "demonetization order" will have on the Indian market!
As soon as the demonetization order came out, the Indian stock market plummeted, highways were blocked and paralyzed due to traffic strikes, the agricultural sector was damaged, and commercial activities were largely suspended.
The entire market transaction in India has been paralyzed, which affects not only economic activities, but even the daily life of every Indian.
Also hit are banks!
People flocked to the banks from all directions, and every bank was caught in a run.
There was a long queue of people exchanging banknotes, and people who could not exchange banknotes made trouble in front of the bank, and even smashed the bank. There was chaos everywhere.
Major financial institutions around the world have lowered their expectations for the Indian economy.
Zhang Yida received the news as soon as the demonetization order was issued.
Ruixiang Industrial Investment Fund has invested hundreds of millions of dollars in India, investing and acquiring 6 technology companies; Zhang Yida also personally invested US$100 million in OYO hotels.
Most of these companies will face a big impact due to demonetization.
The only exception is BBPay.
The introduction of demonetization is bad news for other industries, but it is good news for the electronic payment industry.
Within the first hour after the demonetization order was announced, funds in BBPay accounts across the country increased by nearly $2 million, compared with a typical daily increase of only $200,000.
Zhang Yida held an emergency remote video conference and told BBPay CEO Singh to start spending heavily on advertising and make sure to take advantage of this wave of policy dividends.
After receiving Zhang Yida's instructions, BBPay took action, and huge billboards quickly erected in large supermarkets such as New Delhi and Mumbai.
On the other side of the increase in payment customers is the widespread popularity of payees. Not only major shopping malls, restaurants, hotels, but even taxis and grocery stores have begun to collect payments through BBPay.
The Indian government has also taken measures to strongly encourage electronic payments.
For a time, the electronic payment industry not only found good opportunities for rapid development, but also helped the government and people reduce difficulties during the transition period.
More than a month has passed, and the shock caused by India's demonetization has gradually subsided.
Zhang Yida contacted Singer again through video conferencing software, ready to inquire about the development.
A bearded Singh appeared on the screen in the conference room, his majestic body taking up more than half of the screen.
The first thing Singer said was, "Boss, you are really good at predicting things! Haha!"
He smiled again, "Now that the impact of demonetization has gradually subsided, we at BBPay are definitely one of the biggest beneficiaries of this incident!"
Zhang Yida smiled and nodded, "Tell me about it! How about data growth?"
Singh said with a happy face, "In more than a month since the demonetization order was implemented, more than 20 million people have started to use BBPay wallet.
Traffic to the company's website soared sevenfold, and smart client application downloads tripled.
The total number of registered users has exceeded 75 million, and the number of cooperative merchants has exceeded 1.5 million, which is initially the same as the number of merchants that accept credit card payments."
Zhang Yida frowned, still a little slower, and asked again: "How is the situation with Paytm? I heard that their registered users have exceeded 150 million? Their number of cooperative merchants has exceeded 2.1 million?"
"Yes," Singh said with a heavy face, "In the Indian market, Paytm is the well-deserved number one in the industry. Our BBPay can only rank second, and the third place is 3e.
In addition, I also heard that Samsung Group plans to launch a payment application Samsung Pay;
The instant messaging service app with 200 million users in India is also exploring providing payment options to Indian users;
The Indian government also plans to launch the Bharat QR code payment system, which will allow users to easily transfer money between bank accounts;
Flipkart acquired the UPI payment platform Pho founded by its former employee. The major shareholder behind it is Penguin Group from China;
In addition, Google and Amazon are said to be launching their own mobile payment wallets in India..."
The demons are dancing wildly!
Zhang Yida lamented that with a population of 1.3 billion, India is an extremely fat piece of fat!
Domestic Internet giants Ali, Penguin, mobile phone giant Samsung, international Internet giants Facebook, Google, Amazon, and the Indian government are all eyeing electronic payments.
A market as big as China's. Although the economy is slightly worse than China's, it is still as big as a continent.
Isn’t Xiaomi just trying to make a fortune in India?
India's economy has been unable to develop due to social conditions such as the caste system, the low status of women, and wealth inequality.
In fact, even with these circumstances, India's GDP growth rate last year was 7.3%, and this year it is expected to be 7.1%.
From 1978 to 2013, China's GDP growth rate was far ahead of India's almost every year.
By 2014, India's GDP growth rate began to overtake that of China, becoming the fastest-growing major economy in the world.
However, last year, China's total GDP was 11 trillion US dollars, while India's was just over 2 trillion US dollars. China's per capita GDP was 8,000 US dollars, while India's was only over 1,700 US dollars.
Anyway, regardless of comparing countries or per capita, the gap is four to five times.
Of course, India does not recognize this data! They believe that their country’s GDP is more than twice that of China.
Indian Prime Minister Modi is still very iron-fisted. This time he carried out currency reform under such great pressure to force Indian people to deposit cash in banks.
Promoting currency digitization and systematization will lay the foundation for the development of India's modern payment system, which is conducive to the long-term development and circulation of Indian commercial trade.
At the same time, it also facilitates tax supervision.
There is a clause in the demonetization order that if residents deposit old currency worth less than 250,000 rupees (approximately 25,000 yuan) into the bank, the government will not ask questions;
After exceeding this limit, residents will face a punitive tax of up to 60% if their savings are not consistent with reasonable income.
The reason why Zhang Yida is so concerned about India's demonetization is because after the demonetization, mobile payments exploded in India.
With Europe and the United States unable to enter, India has become Mobao Pay's most important overseas market, which has to be taken seriously.
"Singh, I have allocated 50 million US dollars to BBPay. Do you have the confidence to increase the number of registered users to 150 million by the middle of next year?"
Singh is in a bit of a dilemma. To double the number of users to 75 million in half a year, the expenditure is only 3.4 billion rupees, which is less than 50 rupees per user.
He said: "Boss, this may be a bit difficult! Although the demonetization order has promoted the development of the electronic payment industry, it is also very difficult to increase 75 million users in half a year.
I think it is more realistic for us to adjust the target to between 100 million and 120 million."
Zhang Yida shook his head and said, "Singh, I don't like bargaining. At present, the number of our C-end users is almost double that of Paytm. If we don't catch up, do you just want to be the second best for ten thousand years?"
In terms of the number of cooperative merchants, we are not much behind Paytm. Therefore, the gap between us and them is not as big as you think, and it is not as insurmountable.
As far as I know, the current customer acquisition price of financial products in India is only about 0.5 US dollars, which is equivalent to 3.44 yuan, 34 rupees.
I will provide you with 3.4 billion rupees of funds. If used properly, you can get 100 million users."
When he said this, Zhang Yida was also very envious.
At a time when the customer acquisition cost of domestic mutual gold products is as high as thousands of yuan, India is still in peace, and the customer acquisition cost is only more than three yuan...
It can also be seen indirectly that the competition among start-ups in the Indian Internet financial industry is not yet fierce, and there is not much hot money pouring into this industry.
Maybe the situation will be different next year. Giants from all walks of life will enter the market, and there will soon be a fight between gods. Then the cost of customer acquisition will definitely skyrocket.
Spend more money on advertising now and save money in the future.
The thousand-year-old dick hit Singer’s sore spot!
Before BBPay was acquired, he was still the boss, and when the company was still called MobiKwik, he was constantly suppressed by Paytm and was the second in the industry for several years.
Later, facing the excessive money burning in the electronic payment industry, he could not afford it, and he could not raise financing for Paytm, which was backed by the giant Ali, so he chose to sell the company to Zhang Yida.
Deep down in his heart, he still has the idea of taking BBPay to the top in India, but he has never received strong support.
He is not one of those untouchables who idle around all day long. As a noble Kshatriya, his name is "Lion" and he also has his own pride.
"Okay, 150 million is 150 million. I will definitely achieve this goal."
Singer was heartbroken and agreed.
"Okay, when a man wants to do business, he just has to show some courage and don't be coy."
Zhang Yida added: "The cooperation between OYO, Zomato, and Ola and BBPay is going smoothly, right?"
Singer nodded, "It went quite smoothly, thanks to several of their companies, which greatly expanded our payment application scenarios.
Hotels, takeaways, and taxi rides are all high-frequency payment scenarios, which are very helpful to increase the transaction activity of BBPay users."
Zhang Yida smiled. These are the remaining models played in China. They were copied to India to test the water. It seems that the effect is not bad.
“However, Ola seems to be opening a new round of financing to launch its own mobile payment platform Ola Money.
If this is true, our BBPay will be greatly affected." Singh said worriedly.
"Okay, I get it! Just ignore it for now and be mentally prepared!"
Zhang Yida sighed, there are really no tigers in the mountains, and the monkey is the king!
This is the case with Grab and GoJek in Southeast Asia, and the same is true with Ola in India.
Does Didi in China dare to launch its own payment platform? Two fathers, Ahri and Penguin, will teach him how to behave.
There are no giant Internet companies in places like Southeast Asia and India, so there are far fewer constraints and you can do whatever you want.