Truecaller’s takeover of Indian payment app Chillr is a shot in the arm for the entrepreneurs of Kerala. The Swedish giant’s target was founded by four Kerala-based entrepreneurs in 2013. The payment app’s chief executive, Sony Joy, speaks about the deal and its ramifications.
Joy will be a vice president at Truecaller after the closing of the deal.
The future course
“Chillr will not wind up its services all of a sudden. It will continue its services. Chillr users will be offered a chance to migrate to Truecaller Pay (a payment service to be created with the Chillr acquisition.) after a few months. The plan is to maintain only one app and that would be Truecaller Pay.”
Digital India
“Financial transactions worth Rs 20 crore are held digitally in India every month. This is expected to increase to Rs 100 crore by December end, as per the present growth rate. That is a five-fold increase. We could also introduce customers in the debt, mutual funds and insurance sectors to digital transactions.
“The plan is to make available useful services like these in a simplified form to Truecaller’s present customers. The financial services sector has unlimited potential. We aim to progress to introducing products in the financial services sector gradually.”
Rural challenges
“About 60 per cent of Truecaller’s current customers live outside metros. This is a relief. Public sector banks are stronger in these areas. More than 80 banks already have a presence in the unified payment interface (UPI). This system has a capacity to accommodate about 100 banks.
“Since all banks in the rural areas are already in the UPI, rural customers will find it easy to join Truecaller Pay when it is launched. We expect to increase usage in rural areas because we already have a lot customers.”
On WhatsApp
“The digital payment sector is on a growth trajectory. Even if WhatsApp and the existing service providers expand to their maximum, it still leaves a lot of room for us. We do not see the possibility of a service provider getting into another service provider’s turf under the current circumstances.
“WhatsApp and Truecaller will have an advantage because their services are not limited to payment. Since most other apps are only limited to payment, we expect users to switch to our services.
“With Truecaller Pay, you can even pay those who are not on your contact list, like an electrician, plumber or taxi. It will also have options to pay bills and recharge money. The other apps do not have this feature.”
On Kerala startups
“If a European company zeroes in on a startup in Kerala and try to take it over, that will have positive impact on the startup space. More college students may be inspired to form startups. Even investors may have a more proactive response.
“If you believe in your product or the idea behind it, follow it with all your energy. Whoever is your customer, his satisfaction is the most important factor. If you can satisfy your customers, you can count on your investors’ support. Your colleagues will stand by you. You can expect financial rewards, an IPO or a takeover like in our case. Each or these options are worth it.”
To Chillr
“I went to the College of Engineering in Thiruvananthapuram. I joined my friends to start Mobme in my third year in the college. Chillr was started at the end of 2013. The app was released to users in the beginning of 2015.
“My father served the Indian Bank for 34 years. So I had an affinity to the payment service sector. By 2012-13, we were in a stage where we did not have to rely on telephone service operators to offer our services to the customers. I shared my thoughts with my friends. They were on the same page. That was how Chillr was born.”