Instamojo helps digitisation of over 2 lakh small businesses

Bengaluru: Instamojo, a solution provider for MSMEs, has enabled the digitisation of more than two lakh small businesses across the country, across the last two quarters. Data from the platform showed that more than 70% of the merchants on-boarded did not have any form of online or digital presence before.

Post the early days of the pandemic, the Instamojo platform on-boarded businesses across various categories ranging from education to IT, food and retail, entertainment, travel religion, and to toys and gifts. The platform witnessed maximum sign-ups in the category of education and Jobs which contributed close to 20% of the merchant pool, followed by the services sector at 15%. Sectors such as Not for Profit, and financial services and products saw a contribution of 4% and 2.61% respectively.

Small businesses from Tier 1 cities contributed to maximum merchant sign-ups with Delhi topping the list followed by Pune, Hyderabad, Bengaluru and Mumbai.

Tier 2 cities also witnessed several merchants taking the digital path. The cities of Patna, Lucknow, Jaipur, Ahmedabad, Bhubaneshwar, Bhopal and Guwahati topped the charts. The platform also had merchants from Ludhiana, Raipur, Meerut and the North Eastern city of Imphal signup on the platform.

Sharing his views, Akash Gehani, Co-Founder & COO, Instamojo said, "The current times are a true testament of growth amidst challenges. Along with the several obstacles that the pandemic introduced, it was also instrumental in bringing about a digital wave which in a small way paved the way towards digital progress for MSMEs across the country. For most traditional businesses who showed great resistance towards making the digital shift, this is a start point which also contributing to the larger agenda of Digital India."

He further added, "Though the digital way of life was not new in urban areas, an interesting trend we observed was the traction gained from Tier II cities like Jaipur, Ahmedabad, Indore and Patna – digital adoption in these cities have picked up well, compared to Pre-Covid times. The pandemic has been a great accelerator for small businesses in these markets to establish an online presence for the first time."

Below is a representation of some of the sectors and the percentage contribution.