Page 26 - Banking Finance December 2022

ARTICLE

stakeholders for more competitive rate for the need to perform regular maintenance checks to
merchant. As a result, the merchant will be able to reassess the customer base and competition.
increase its income and become loyal customer.
¢ Creating business plan - Creating a plan in which
5. Diversifying product/service portfolio - Apart from PAs define exactly what they'll provide and the
making charges competitive, there is need to diverse need it will meet, describing their ideal customer,
the product and services portfolio. Be always well- and deciding on a pricing model. Fine-tuning
informed of the market and knowing new and unique business idea to reflect what they have learned
services being provided by the competitors is important. about their target audience.
The payment aggregator market is evolving very fast,
Market business to specific audience - Just as
and technology is bringing disruption very frequently.
product or service is niche, their marketing efforts
So, the merchant will prefer those aggregators who are
should be focused as well. Targeted ads, blog posts
providing latest and updated technology solutions.
and podcasts are invaluable tools for getting
6. Creating a niche segment - There are several niche message out to the merchants likely to be
markets within every industry. If PAs think of a very interested in their niche business propositions.
specific product that serves one of customer's unique
needs, it can probably be classified as a niche business
Conclusion
idea. five-step niche strategy:
Apart from other factors, charges levied by the aggregators
Selecting target customers - To identify niche, PAs
are the most important factors which the merchant would
can begin by selecting the general market. A good
be taking into consideration before choosing any aggregator,
approach is to focus on an area where they are
as it affects the profitability. Therefore, in this fierce market
knowledgeable.
competition, where several aggregators are trying to grab
Defining an underserved need - Analysing target the market share, it is necessary to keep one's charges
customer and identifying gaps in the marketplace. competitive to become market leader.
Products or services should soothe a pain point that
the customer is currently experiencing. References

Research the customer base - Researching target https://www.rbi.org.in
customers to understand their needs, goals,
https://enterslice.com
motivations, frustrations, and expectations. Getting
https://www.atomtech.in
the customers involved as early as MVP (minimum
https://medium.com
viable product) development is essential. There is

Creditors realise Rs. 2.43L cr via insolvency resolution process
Banks, financial institutions and other creditors of stressed companies have realised Rs 2.43 lakh crore through NCLT-
supervised insolvency resolution processes against total claims of Rs 7.91 lakh crore till September 30, 2022. So far
532 CIRPs (Corporate Insolvency Resolution Process) yielded resolution plans, said the quarterly report of the Insolvency
and Bankruptcy Board of India (IBBI).

"Till September 30, 2022, the creditors have realised Rs 2.43 lakh crore under the resolution plans. " The fair value
of the assets available with these CDs, when they entered the CIRP was estimated at Rs 2.14 lakh crore and liquidation
value of Rs 1.37 lakh crore against the total claims of the creditors' worth Rs 7.91 lakh crore," it said.
The creditors have realised 177.55 per cent of the liquidation value and 84 per cent of the fair value (based on 456
cases where fair value has been estimated), the newsletter said. "The haircut for creditors relative to the fair value
of assets was less than 16 per cent, while relative to their admitted claims is of around 69 per cent," it added. The
report also added till September 2022, 740 CIRPs have been withdrawn under the provisions of section 12A of the
Insolvency and Bankruptcy Code. Moreover, the report also highlighted that 64 per cent of the ongoing CIRP has
taken more than 270 days, beyond the permissible time frame under the IBC.

26 | 2022 | DECEMBER | BANKING FINANCE