How does freecharge make money?
Anyone has any ideas?
Member • Jun 2, 2015
Member • Jun 2, 2015
Administrator • Jun 2, 2015
Administrator • Jun 15, 2015
This is scary when you put it like that. I read an interview of Freecharge CEO Kunal Shah, where on asking about their revenue model, he wrote:Kaustubh KatdareBasically - they take money out of your pockets by making you believe that you're getting it all for free. It's just a part of the entire game, you see! 😀
We don’t have a defined model – sometimes there is listing fees, redemption model, or just distribution of coupons. We’re focused on giving value to merchants.Do you guys think that a mix of the three elements he has listed is how freecharge makes money?
Member • Jan 29, 2016
Administrator • Feb 9, 2016
Interesting point raised by Liju here. They are left with hardly 0.5% of revenue per transaction. (Not profit). From I saw earlier Freecharge offered coupons and it got commission from brands whenever someone redeemed their 'free coupon'. However, the rate definitely has to be really low. I guess it is the site's popularity (read: huge market share) that keeps its boat afloat.Liju P NandananI don think they really make money. Because the commision which they get from service providers is very much low, approx 1.7-2.5% if its a bigger player like Airtel,Idea,Vodafon. They also need to pay almost 2.5% +tax for the payment gateways. then how they would be prifitable?
Member • Feb 10, 2016
Administrator • Feb 11, 2016
That information would be difficult to get. You'll need to get in touch with a company insider who's aware of the contracts. But as I'd guess; they are into 'volume' game with thin margins. But that's just my guess and I've no knowledge of how they work. Maybe we'll get their founder to do an AMA session on CrazyEngineers? 😀surendrakumar999from where will i come know how much commission will they get.urgent pls reply
Member • Aug 18, 2016
Member • Aug 18, 2016