Corporate Wars

Case Study - JUNIO

Team Name- Annhilators
Name- Sarthak Gupta
- Vansh Jain
Email Id- sarthakgupta333@gmail.com
- vanshjain2222@gmail.com
College- Keshav Mahavidyalaya
- Sri Guru Gobind Singh College of Commerce
1. COMPETITIVE ANALYSIS
Competitors considered for analysis :- Domestic Competitors- Fampay & Y Pay
International Competitors- PixPay & Famzoo

JUNIO FAMPAY YPAY PIXPAY FAMZOO

FUNDING $4M $42.7M $0.54M $12.5M $1.1M

CUSTOMER BASE 400K 1.35M 100K+ 150K+ 13K

Junio has a very strong foundation. When compared to some of its larger competitors, such as fampay and pixpay, junio has raised a fairly
small amount of money. Furthermore, the company's growth pace is remarkable. Company’ s customer base is good but still far behind that of
FamPay. We can confidently say that Junio gives a tough competition and the only major threat or big player in their segment is FamPay.
KEY VALUE PROPOSITION :-
● Junio’s investor base is very strong and supportive and includes some renowned angel investors like Bharat Pe’s CEO Arshneer
Grover, CRED’s CEO Kunal Shah and Policy Bazar’s CEO Yahish Dahiya.
● The customers have to just pay a mere amount of Rs.99 to get Junio’s card which is beneficial as its other competitors like FamPay
charges Rs.299 .
● Speaking of the Fintech Sector Junio has been innovative and has tapped the never deeply explored market of finance for teenagers
and kids. It help inducing the spirit of savings and financial literacy.
● Customer Acquisition Cost of Junio is Rs. 150-175 which is comparatively low and its main source of income i.e. the MDR is charged
1% which can also be increased in future to increase revenue
● Also, there is a major scope of growth as it can expand its operations for various other sectors of market like for adults, corporate
houses, etc. .
● This app is based on interaction between parents and children while others merely focuses on payments
2. MARKETING STRATEGIES

Marketing strategies that Junio can use :-

I. Strengthen their digital presence- Junio could take notes from other fintech businesses, such as fampay and its competitors, on how
important it is to have a good digital presence when it comes to acquiring clients. Collaboration with digital influencers, making
their social media handles more user friendly, and conducting social media marketing through instagram, facebook, and snapchat are
some of the ways junio can achieve the same. It must also target its strategies at parents, given the majority of its customer
inquiries originate from youngsters.

II. Search engine optimization, or SEO, is the practise of ensuring that a website appears among the top unpaid (or "natural") search
results on search engines such as Google, Bing!, and Yahoo, in order to increase knowledge of – and traffic to — that website.
Organic SEO will be the most effective technique to assist Junio in increasing traffic to their website. Its benefits include lower
customer acquisition costs, increased internet traffic, and more cost-effective and efficient business operations.

III. Content marketing focuses on developing and disseminating content relevant to prospects' requirements in order to attract
individuals who are most aligned with — and most likely to buy — a product or service. For junio, this will be a two-edged sword.
It will, first and foremost, assist in attracting new customers to this platform, and it will, secondly, assist in keeping customers
engaged and feeling a part of this company. Junio can also use its social media accounts to promote its merchandise and enhance
sales.
3. COLLABORATION
If Junio ever gets an opportunity to collaborate with zerodha it should definitely grasp on it.
Zerodha is an Indian broking firm providing various kinds of different financial services. It also has a platform named ‘Varsity by Zerodha’ which
provides in-depth knowledge of financial markets free of cost.
Junio is based on imparting financing habits in teenagers and making them financially responsible.
So, If Junio is to collaborate with Zerodha they work together on making models to make children learn the importance of personal finance and
investment.
Junio can keep a proposal towards Zerodha to reward (monetary) kids on passing certain levels of modules as a measure to encourage them.
Zerodha can agree to it as they would be directly investing in growing its future customer base as those kids when attain the proper age would be
the ones investing in financial markets.
Also a simulation platform can be created through which kids can experience how it is to invest in real-life like situations and about portfolio
management. This can also be incentivized as mentioned above.
Now talking about how this collab would be beneficial for Junio :-
● Firstly, it will provide Junio an edge over its competitors as no other similar platform currently furnishes this need of financial literacy;
thus providing us the first mover advantage.
● Also, Zerodha is an established brand recognized by many; partnering with them will naturally provide us with extensive publicity.
Estimating the percentage increase of number of users from collaboration :-
Zerodha has an active retail customer base of 34 lakhs out of which if we assume that even if half of them have kids (age< 18, Junio’s target
market) i.e. 17 lakh parents.
India’s fertility rate is 2.20 so assuming everyone has around 2 kids it gives Junio a potential market of 34 lakh kids and now considering that
many already are using another platform or many of them might not be interested, we can estimate an approximate value of 20 lakh kids.
And out of those 20 lakh kids if only one-third of them also take Junio seriously, then we can have an estimate growth of 6.5 lakh customers.
That is a percentage increase of 433% (as Junio adds 1.5 lakh annually)
4. PRODUCT INNOVATION
Junio can consider the following ideas to incorporate :-

● Junio can launch two smart card varieties: the first is a basic smart card called smart card, which will provide all of the fundamental
services such as transaction processing, earning cash back points, and other services. The second card, dubbed Smart card plus, will
offer a number of premium services, including an increase in transaction limits, free Amazon Prime membership, additional
promotions and prizes, and access to instructional content. These two cards can be priced at 99 dollars for the smartcard and 299
dollars for the smartcard plus an annual fee.

● Junio can also adjust the look of its smart card to appeal to the Genz demographic. It should result in a more simple card with
minimum add-ons. It should also strive to make the card numberless in order to improve security even if it gets misplaced.

● Juino can also conduct workshops to teach pupils financial literacy as another innovation. As a result, it can enter from fintech to
the budding ed-tech sector. It can works with a number of ed-tech businesses, including byjus, vedantu, studytoday, and others, to
achieve this goal.

● Junio might also provide a cashbacks as an additional incentive. When someone uses the junio’s smartcard, they will be rewarded
with junio points based on the value of the transaction. These points can then be redeemed at the Cash back store, where Junio
points can be used to purchase gift cards from a variety of brands or maybe Junio’s own merchandise.
5. TOTAL SERVICEABLE OBTAINABLE MARKET
India’s total population is 138 crores out of which around 36 crores lie under the age bracket of 0-14 years (according to official records)
considering the population of infants aged 0-3 or 4 years will compensate for population of 15-17 years; we can say that the Total
Addressable Market (TAM) for Junio is 36 crores approx.

Now, speaking of Serviceable Available Market (SAM) if we consider the urban- rural divide of India, which states that only 31% of the
population lives in urban areas and assuming that only that fragment has access to technology and would be more probable to adopt these
tech-savvy instruments we can say that Junio’s SAM stands at an whooping 11.16 crores.

Total Serviceable Obtainable Market (SOM) will be calculated merely based on certain assumptions like:-
● How likely is a customer to choose Junio for its operations over its competitors
● How many customer would be convinced that they need these type of service (financing for children)
● And even if they are convinced, how many of them would seriously act on it

Considering all the aforementioned assumptions and estimating that 20% of Junio’s SAM would be serious and choose Junio we can state
that it will have a total serviceable obtainable market of 2.22 crores approx.

NOTE- We have clearly estimated the value of 20% as there is a lack of data and we also have made general assumptions considering the
mindset of a typical Indian household. The real value may vary but would depend on the above enlisted assumptions.