Friday, January 29, 2016

CashBack from Film Producers-Unexplored market

In the last couple of years, Indian eCommerce buyers have been bombarded with ‘CashBack’, offers from all Online shopping sites.

             CashBack is normally of the following types:-

  • Straight Discount over MRP – given by the seller or the online shopping site
  • CashBack Credit – This is given by the online shopping site. The CashBack amount is credited to the buyer’s account within a specified time period and the buyer’s can redeem in future.
  • CashBack Credit – This is given by the Digital Wallet companies. The CashBack amount is credited to the buyer’s digital wallet and the buyer’s can redeem this amount in any participating online sites.
CashBack or Discount is offered for almost all categories of goods.

Major eCommerce companies announce the amount of CashBack budget through which they plan to attract shoppers to their sites.

              @ Flipkart, Amazon and Snapdeal expected to burn Rs 2,000 crore in months leading to Diwali

              The first recorded history of CashBack is the program run by credit card companies wherein a percentage of the amount spent is paid back to the card holder in terms of points, airline points, or straight monetary amount.

              The CashBack is treated as normal marketing expenses.

              However, till date no CashBack has been offered on movie tickets.

              The marketing budgets for recently released Indian movies(Hindi,Telugu,Tamil etc) are sky-rocketing.

              Movie makers are unveiling innovative ideas to grab the viewers’ eyeballs. The trick is to get as many as viewers into the movie theatres.

              ‘Saala Khadoos’ publicity budget is INR9 crores. The majority of the budget is being spent on nationwide tours by the main cast.

              ‘Airlift’, publicity budget is INR15 crores give plus or minus a couple of crores.

              However, no movie producer is offering CashBack to the movie-goers. Technically this is feasible.

              Which eCommerce Site/Digital Wallet will be the first in world to offer CashBack to movie goers.

Sunday, January 24, 2016

Public/Private Sector Banks should be banned from opening PMJDY Accounts

          The PMJDY launched by Prime Minister Narendra Modi in August 14, has transformed many lives across India. The PMJDY implementation has not only transformed the lives of the PMJDY account holders but also the lives of the Implementation Team across various participants.

          Read here about success stories in Public sector banks viz: Canara Bank, Central Bank of India, Dena Bank, IDBI Bank, State Bank of Bikaner and Jaipur, State Bank of India, State Bank of Patiala and Union Bank of India.

          Each bank has devoted considerable human capital to ensure the success of PMJDY scheme. Yes, there are other success stories which are hidden from the public.

          As usual there are two sides to a coin, Success and Failure. Success or Failure depends from which view point the person is representing.

          PMJDY is a success as can be seen from the below infographic.  

          The next step is to prepare the base to enable new participants to widen the accomplishments of PMJDY.

          The following 11 steps will introduce PMJDY to a new set of Players in the Indian Banking system.

          In the next 12-18 months, Payments Banks and Small Finance Banks will start rolling out their offerings to the Indian public.

          The 56 Regional Rural Banks to be grouped under Small Finance Banks for the purpose of MUDRA Loans.

          The District Central Cooperative Banks to be grouped under Payment Banks for the purpose of PMJDY Overdraft Accounts.

01)   Payment Banks should have the exclusive rights to open PMJDY accounts.

02) Payment banks should have the exclusive rights to open PMJDY Overdraft Accounts.

03) All new entrants to Banking system should open a Bank account with a Payment Bank.

04) All credits from Government schemes should only be to bank accounts with a Payment Bank.

05) Payment Banks should not issue Cheque Books to their account holders. Transactions should be through Digital mode or self-withdrawal slips.

06) PMJDY Overdraft facility should be granted automatically to all PMJDY accounts wherein Government Credits are received.

07) The concept of ‘Family Accounts’, to be introduced to minimise over-indebtedness

08) Account Number portability to be activated from Day 1

09) PMJDY Overdraft account should be tagged to a physical Payment Bank Branch which is within a radius of 10  kms from eligible account holder’s residence. As and when the account holder shifts his residence, the PMJDY OD Account should be auto-ported.

10)  Mandatory physical address verification of PMJDY OD Account holder through the centralised eKYC agency. The eKYC agency to tag the GPS coordinates of the account holder in the central repository.

11)  The PMJDY Overdraft Limit be increased to INR10,000/- to accounts which are of 3 years vintage.

Regulatory Backing:-

a)     Payment Banks to be allowed to open PMJDY Overdraft Accounts

b)    One of the key assessing factors for MUDRA Loans applicants is the successful track record in servicing their PMJDY Overdraft Account.       

Additional Reading Material:-

AMMA Loans

Introduction to New Small Finance Banks

Introduction to New Payment Banks

Monday, January 18, 2016

11 tips for hassle-free Lalbagh Flower show-Bengaluru experience

              The 203rd edition of the Semi-Annual Lalbagh Flower show is currently open to the public. 

              The show opened on 16th January 2016 and is open to public till 26th January 2016.
              11 tips for hassle-free Lalbagh Flower show-Bengaluru experience

01)   Maximum rush is expected on 19th January, 24th January and 26th January. On 19th January, 26th January School children will have free admission i.e no need to purchase entrance tickets. 24th January is Sunday i.e Holiday.

02)   The best time to visit the flower show is around 9 am, when the show opens for public and visitors have not yet started to come in.

03)   This is the best time to take a number of photos too.

04)   Plan car-pooling or two wheelers for minimal walking distance to the park main gates.

05)   Carry minimal luggage. Only water bottles, caps are to be preferred.

06)   Carry plenty of monetary change as the same will be required for quick payouts at the food counters, stalls etc

07)    Update your FB status, tweet your presence at the Lalbagh flower show, to attract more visitors to Lalbagh.

08)   Prefer not to litter and throw all the waste in the designated dust-bins only.

09)   After coming out of the park, walk/travel down to VV Puram-Eat Street to relish mounth-watering street food. The added attraction is the Avare Bele Mela 2016

10)   Prefer not to loiter near the flower stalls, let all the visitors view the multiple flower attractions.

11)   Prefer not to take photos for at least 3o minutes when in Lalbagh and instead just savour the magnificent atmosphere.

Additional reading material:

Lalbagh's Gate Collections Spike on Sunday

Saying it With Flowers