Growth of CRED in India

CRED is a Fintech startup based in Bengaluru that enables its clients to make credit card payments using its application and access limited deals and other benefits on the web.

Furthermore, CRED has provided home lease installment options, Rent Pay; adaptable credit lines, CRED Cash; and CRED Mint, through which loan experts may loan their inactive cash to borrowers with decent FICO assessments at interest rates of around 9% per year. If you want to learn more about CRED, its Startup Story, Founder and Team, Business and Revenue Model, Growth, and so on, you may read the CRED example of overcoming hardship below.

About CRED

CRED is a startup situated in Bangalore. It enables credit card customers to pay their credit card bills through this stage and increases rewards for each transaction. The fintech stage moreover enables customers to pay their house lease installments and benefit from all of the advantages of the short-term credit lines that the app now gives. The firm pays close attention to detail in protecting the clients’ information and data. As a result, the application is completely free of any risk.

Kunal Shah founded CRED in 2018 and typically refers to it as a TrustTech firm rather than a FinTech. This is because his fundamental motivation for establishing CRED sprang from tackling trust issues in Indian society, which he believes is the path to financial prosperity.

CRED Success story

The goal was pretty clear. It was to set the way for a better and more organized living. The pioneer needed to provide greater honors and benefits to those with good credit scores. Making a flywheel impact for extra folks was also necessary to improve the scores. Everyone, from new businesses to government agencies, has focused on the majority. The organization’s founder is required to focus precisely on individuals, the trustworthy people who pay taxes conveniently. He believed that no one had addressed their problems before.

As a result, CRED was founded with the primary goal of addressing residents’ concerns and rewarding them with appealing incentives.

Meet the CRED Team

Kunal Shah – CRED’s organizer and CEO is Kunal Shah. He is an Indian businessman who is known for launching new ventures for a short period of time. Kunal was a Wilson College Philosophy graduate who then went on to get an MBA at the Narsee Monjee Institute of Management Studies, but he left out halfway through to pursue his dreams of being a business visionary. Kunal began his inventive journey with PaisaBack, a portal for cashback, discounts, and other customer suggestions co-founded with Sandeep Tandon. Nonetheless, he eventually stopped operations to launch FreeCharge, which the pair founded in 2010. As a result, CRED was founded with the primary goal of addressing residents’ concerns and rewarding them with enticing incentives.

Snapdeal acquired FreeCharge in April 2015, although the company continued to operate as an independent entity led by Shah. He quit the business the next year and, finally, founded CRED in 2018, which will become a unicorn on April 6, 2021. Axis Bank acquired FreeCharge once more in July 2017.

Kunal Shah was born in the Indian city of Mumbai in 1983. His hobbies outside of work include chess and poker. He enjoys munching on tortilla chips and guacamole. He enjoys Socrates’ philosophy and G.B. Shaw’s plays.

CRED Business Model

The organization’s business model is divided into four sections:

• The CRED application – The CRED application is a slick-looking, precisely structured application that customers may use to browse the offers available after they pay their credit card bills. They may easily join up for the application and discover all of the deals from which they can earn.
• Companies that make offers on the application – CRED customers may also get a large range of offerings from other businesses. CRED has organizations placed and works with them to accomplish this. Along with assisting CRED and its consumers, who may benefit from the businesses’ offers, it is also a mutually advantageous agreement for the firms. This is due to the fact that they benefit enormously from their perceivability.
• Clients who pay their credit card bills – CRED also serves as a seamless and rewarding stage for clients who pay their credit payments. In contrast to banking or other applications, end-users may use CRED to pay their credit card bills and receive other offers and benefits. Clients who enjoy the application, on the other hand, share CRED with their friends and family.
• CRED Mint – On August 20, 2021, CRED presented its new component, CRED Mint, which is designed as a shared loaning stage help that would aid CRED clients with loaning their inactive cash to financially sound persons. A straightforward interaction only allows dependable Cred persons with a minor financial evaluation of 750 or more to be the borrowers. Furthermore, the loan specialists may withdraw their cash whenever they want using the premium that they have accumulated for the duration.

CRED Revenue Model

CRED earns money in two ways:

• Posting products and offers – As we all know, CRED keeps track of a wide range of items and offers that benefit its clients from a variety of companies. As a result, these organizations pay CRED a fee for their perceivability. Cred generates a payment whenever a client takes advantage of the offers.
• Using customer financial information – CRED collects financial information from clients who use the platform to pay their bills, and that’s only the beginning. Along with giving CRED the opportunity to provide more recommendations to their consumers by employing this information, CRED also has various banks and financial organizations that pay them a fee for access to this information. These organizations, banks, and financial foundations would eventually advance to approach potential clients with their own arrangement of products according to their preferences.

CRED Growth

CRED has shown constant growth over time. As a firm founded in 2018, it essentially joined the unicorn club on April 6, 2021, when it closed its Series D financing, which netted the company $215 million. CRED continuously controls “22 percent of all credit card installments in India,” according to Kunal Shah’s explanation presented in April 2021.