Sampad Swain is co-founder and CEO at Instamojo – a platform that lets you sell & collect payments instantly by just sharing a link. Today, individuals & businesses are using Instamojo to sell & collect payments for digital downloads, physical goods, event tickets, services, subscriptions & much more. He was also the co-founder of WanaMo.com and DealsAndYou. In this #PNHangout he spoke to us about his journey at Instamojo and the Instamojo Mantra.
The marriage of commerce with payments
The basic premise around which we started Instamojo was – how can we help the common man accept online payments from his customers. Payments typically have always catered to people who understood technology or who could afford to have a team who understands technology. So our aim was to cater to the rest of the world who are not tech savvy. He or she wouldn’t necessarily use technology but he or she would accept payments from her customer and it is around this hypothesis that we have been building our product ever since.
Now what we were doing at Instamojo is bring the convenience of online payments to the common man which essentially meant marrying commerce with payments. Moreover, as we had started the company in the US and not in India, we realised that we had to funnel our core hypothesis to one of bringing payments to a non-tech savvy person. So we knew we had to build a structure around this. India is the first market we are trying to get a strong foot hold in and we are working on expanding to other geographies using the same model where you can share a link and you can collect payments with it. We are skimming the surface of what we are trying to achieve at Instamojo but the last two years have been a brilliant journey of us not only building the product but also learning how the payment system works as there are a lot of stakeholders (such as the banks, regulators like the RBI, etc.) involved and more importantly, our customer base has expanded to over 10,000 customers worldwide and it continues to grow.
The evolution of Instamojo
Our journey from when we began to where we are now has had three distinct phases:
The idea phase:
When we started, we wanted to release a product to the market which caters to non-tech audiences collecting payments and we realised that the easiest way to do this was to give the Instamojo user a unique URL (a.k.a. imojo.in payment link) which he can share with his customers over sms, email, social media, etc. which they can click on to pay for his product. This was the core product that we started building.
We were not concerned with releasing a perfect product when we began as our main focus was to test if our hypothesis was correct. So we knew that we had to release the product as soon as possible and then iterate rapidly based on the feedback we received from our customers. In fact from the idea to the release it took about 3 weeks to roll-out the product to the market. We would talk to our customers’ everyday through social media channels like twitter and blog posts where they would give us their feedback which we would then allocate to one of three different buckets – reach, revenue and retention. Reach was our primary focus early on, so we built features at Instamojo which accentuated that portion of the business model. We had to ship products which catered to the statement of reaching more people as early as possible. Take feedback, iterate and make it better every day, so that when somebody comes back to use the product again they would see that it is a better product compared to what they had used previously.
The product building phase:
The product building phase started when I went to Silicon Valley for six months where we were part of the 500 start-ups accelerator program in Mountain View – California. At this point we had crossed the reach phase of our three buckets and we were looking at enhancing our revenue channels. So we focussed on features that helped us increase our revenue month over month and we released around 24+ features which aimed at increasing our revenue base. After Silicon Valley, we went onto to raise almost $500K from our investors and now with some money in the bank, we decided to focus on retaining our customers.
The business building phase:
We now had gained traction in reach and revenue. So we began building features to retain our customers. For example if a user had previously faced issues while using Instamojo, he would consider using a different product. So the idea was to keep the platform as simple as possible without demotivating the user. The user would share a link and collect payments; nothing else thereby providing a simplified user experience. This is how the product has evolved from idea to conception in the last 18-20 months.
The Instamojo Mantra:
At Instamojo, our philosophy is very practical i.e. release those products which are more data driven to the market because the chances of getting a product right in the market increase significantly as data never lies. Consequently, we do everything based on the three buckets i.e. revenue, reach and retention. It is critical to understand what matters to the business because when you are a small company, your resources are limited and your bandwidth is limited. Since you have to do more with less, it is very critical that you are aware of what the business needs right now. Also, I have seen very few companies who have succeeded at focusing on these three aspects together early on.
So when implementing features, we keep a tab on the customer feedback that we receive as we already have thousands of feedback requests from our current customers. We then try to tag the feature request to the three buckets and we analyse which bucket’s problem this feature will help us solve. If our focus is revenue and the feature falls into reach, then it would not be worked on at that instant. Implementing a feature because I love how to engineer it is something that we have never done.
There are three specific traits that we look for when adding someone to our team
- The person should be more engineering driven in their mind-set. When I say engineering driven I mean that his software should do more work than human effort should.
- He or she should be an independent “tinkerer” i.e. he or she can work independently while working as a team and he or she can basically tinker with a problem statement.
- The most important one for the company is a get shit done attitude – getting up and saying that I can get this done and doing it quickly.
These three aspects are what we really care about and this is what our Instamojo culture is.
#PNHANGOUT is an ongoing series where we talk to Product Managers from various companies to understand what drives them, the products they work on and the role they play in defining the products success.
If you have any feedback or questions that you would like answered in this series feel free to email me at appy(dot)sg@gmail(dot)com.