SYMBIOSIS COLLEGE OF

ARTS AND COMMERCE

ADVANCED MARKETING
MANAGEMENT ASSIGNMENT WORK-1
SUBMITTED TO:
Dr. VIVEK SANE
TOPIC: RESEARCH ON G PAY BRAND
BUILDING STORY

NAME: SURAJ DHAKRE

Class: MCOM (PART 1) SEM II
Section: B
ROLL NO: 8133
Date: 03/JULY/2021
Introduction
Originally launched as Android Pay, the service was released
at Google I/O 2015. Android Pay was a successor to and built on

the base established by Google Wallet which was released in

2011. It also used technology from the carrier-backed Soft card

—Google had acquired its intellectual property in February 2015.
At launch, the service was compatible with 70% of Android
devices, and was accepted at over 700,000 merchants. Google
Wallet still powered web-based Play Store purchases and some app-based peer-to-peer
payments.

In 2016, Google began a public trial in Silicon Valley of a related mobile app called Hands Free.
In this system, the customer does not need to present a phone or card. Instead, a customer
announces they wish to "pay with Google" and give their initials to the cashier, who verifies
their identity with a photo previously uploaded to the system. The customer's phone will only
authorize payment if its geographic location system indicates it is near a participating store. On
September 18, 2017, Google launched a payments app in India known as Tez, utilizing
the Unified Payments Interface (UPI). On August 28, 2018, Google rebranded Tez to Google Pay.
On January 8, 2018, Google announced that Google Wallet would be merged into Android Pay,
with the service as a whole rebranded as Google Pay. This merger extends the platform into
web-based payments integrated into other Google and third-party services. The rebranding
began to roll out as an update to the Android Pay app on February 20, 2018; the app was given
an updated design, and now displays a personalized list of nearby stores which support Google
Pay.
On December 21, 2018, Google Payment obtained an e-money license in Lithuania - the license
will enable Google to process payments, issue e-money, and handle electronic money wallets in
the EU.
On November 18, 2020, Google Pay was redesigned for the United States' version of the app,
based upon the previous Indian/Singaporean versions of the app, which now contains
messaging capabilities, an "Explore" tab for viewing and redeeming personalized offers
(including discounts and cashback rewards) and searching Google Shopping by barcode, "Get
gas" and "Order food" buttons that can integrate with participating filling stations and
restaurants, the ability to integrate with banks to track financial status from the new "Insights"
tab. Users can search their transaction history, and can scan receipts with OCR using their
device's camera, or through Gmail messages and Google Photos, to add them to their records.
Google is also introducing a platform known as "Plex", which will allow online banks to offer
checking and savings accounts directly through the app. The new Google Pay uses phone
numbers for authentication rather than Google accounts, and contacts cannot be imported
from the previous app. Debit card transfers within the app are now subject to fees "of 1.5% or
$0.31 (whichever is higher)", rather than having no cost.

Google Pay uses near-field communication (NFC) to transmit card information facilitating funds

transfer to the retailer. It replaces the credit or debit card chip and PIN or magnetic
stripe transaction at point-of-sale terminals by allowing the user to upload these in the Google
Pay wallet. It is similar to contactless payments already used in many countries, with the
addition of two-factor authentication. The service lets Android devices wirelessly communicate
with point of sale systems using a near field communication (NFC) antenna, host-based card
emulation (HCE), and Android's security.

Technology
Google Pay uses the EMV Payment Tokenisation Specification. The service keeps customer
payment information private from the retailer by replacing the customer's credit or debit
card Funding Primary Account Number (FPAN) with a tokenized Device Primary Account
Number (DPAN), and creates a "dynamic security code generated for each transaction". The
'dynamic security code' is the cryptogram in an EMV-mode transaction, and the Dynamic Card
Verification Value (DCVV) in a magnetic stripe data emulation-mode transaction. Users can also
remotely halt the service on a lost phone via Google's Find My Device service.

Consumer Device Cardholder Verification Method (CDCVM)

In EMV-mode transactions, Google Pay supports the use of the Consumer Device Cardholder
Verification Method (CDCVM) using biometrics, pattern, or the phone's or watch's passcode.
The use of CDCVM allows for the device itself to provide verification for the transaction and
may not require the cardholder to sign a receipt or enter their PIN.

Google Pay Founders And Teams

Sujith Narayanan and Sumit Gwalani are the brain
behind Google Pay. Sujith Narayanan is the co-
creator of Google Tez. Sujith is a veteran payments
executive and has enviable experience in the
domain of financial services. He also co-founded
the neo-banking startup EpiFi. Sumit Gwalani
played an instrumental role alongside Sujith in
starting EpiFi. He handled Google Tez’s operations in India. Sumit spend 12 years at google
where he donned multiple hats. Sujith Narayanan, the co-founder of Google Pay, told that
when they were working on Google Tez (another offering by Google), he and his team realized
that a consumer's financial journey extends beyond the digital payments. Moreover, there was
a need to concentrate on the millennials in India and give them a new way to handle financial
services Sujith finally decided on a product called 'Google Pay' which would redefine financial
services for the millennials. Google Tez, a mobile payment service by Google that targeted users
in India, laid the framework for Google Pay. Think of Google Pay as a superior version of Google
Tez coupled with a plethora of offerings.

Google Pay - Tagline And Logo

Google Pay's tagline is "Money made simple". A meaningful and an interesting tagline, isn't it?
With Google Pay, handling money has become easier than ever.

Google Pay - Business Model

Google Pay does not charge its users for access to Google Wallet. Receiving and sending of
money is absolutely free. It allows its users to send money to bank accounts directly and for
free. Previously, the company had an agenda of adding 2.9% fee upon topping up wallets via
debit card. The company makes money from selling advertising spaces on the search pages in
Google Pay's app.

Google Pay - Revenue Model

Google Pay has got several revenue collecting opportunities. It estimates an amount of $4.5
billion every day. Of course, ups and downs are common in these sorts of aspects. The revenue
might come from both transaction fees from banks and also from ads and product requests
within Google Pay. It's a digital platform for money transactions.

In 2017 it had 67 million monthly active users. And it's 2020 now, so it's imaginable that the
rate has increased. More you move forward more you get upgraded by. The app has enabled
more than 2.5 billion transactions and currently has got a running rate of US $110+ billion in
transaction value. Currently, the users have a privilege of paying in more than 200,000 stores in
more than 3500 cities and towns and more than 2700 online merchants.

Google Pay - Challenges Faced

With the backing from Google, one of the largest organizations in the world, Google Pay wasn't
subjected to the problems that small-scale businesses and startups face while starting out.
Neither was there any dearth of resources. Though not exactly a challenge, a technical glitch on
Google Pay's app in 2020 did become a trending topic for some time. Several users reported the
app saying that their bank accounts were removed from Google Pay without any notice.
Complaints on the matter were frequently posted on social media platforms. However, the
issue did not bring about serious consequences. The Google Pay team suggested that it might
have been an unintentional action on the users' part that delinked the app and bank accounts.
A fix was implemented by the team and the situation was restored to normalcy. Google
India issued a statement when it was asked by NDTV Gadgets 360 regarding the glitch.

Ambarish Kenghe, the Director of Product Management at Google Pay said, "We are aware that
some users faced difficulties with linking their bank accounts on Google Pay today. The issue,
impacting a small number of users, was identified earlier today and our teams have worked to
resolve it and have implemented a fix within the hour. The issue stands resolved and users will
now be able to use the app normally. Users facing any issue should reach out to Google Pay
support through our app. We regret the inconvenience caused and are committed to providing
our users a seamless payments experience."

Google Pay - Funding And Investors

Neo bank raised funds of $13.2 million. From this fund, Google Pay came into existence though
before it was known as Tez. During the startup they had 24 employees, coming from Netflix,
Flipkart and PayPal. International investors invested a record of $9.6 billion into start up
lenders.

Google Pay - Growth

In the year 2018 - 19 there was a lot of traction with the payment products. The team launched
few new features successfully and also revamping the payment products globally. Google Pay
specially focused on partnerships, ecosystem approach as it forged deep relationships with
central bank and government to build innovative products collectively. This made the products
to work together within the ecosystem.

Google Pay - Competitors

Google Pay's top competitors are Amazon Pay, Phone Pe, Paytm, and Stripe.

 Amazon Pay is a platform for digital transactions. It is similar to Google Pay in terms of
functionality and features.
 Phone Pe is popularly known as India's payments app. It allows people to use BHIM,
UPI, credit card and debit card to recharge phones and make payments.
 Paytm is an Indian e-commerce payment system. Paytm offers multiple services
through its ecosystem; some of them are e-wallets, bill payments, phone recharges, and
an online shopping store (in the form of Paytm Mall). It is headquartered in Noida, India.
 Stripe simplifies the process of online payments.
Ten things Google Pay did to become the top payment app in India
In order to retain the market share and able to fight with other players google pay did the
followings:

1. Google Pay focused on partnerships, localisation, and ecosystem approach as it forged deep
partnerships with central bank and government to innovate and build collectively, and made
products interoperable and open to work jointly within the ecosystem.

2. Its entity-based UX lets users search who they paid earlier, rather than the transaction date
or time. Under the entity-based model users see individual chat heads of every individual or
merchant they transact with when they have to check a payment record.

3. It introduced the Spot platform: a way for businesses to create experiences and engage their
customers within the Google Pay app. Popular services like UrbanClap, Goibibo, MakeMyTrip,
Red Bus, Eat. Fit and Oven Story were the first to board in its early access programme.

4. It deepened support for small businesses through a new app called Google Pay for Business:
a free and easy way for small merchants and storefronts to enable digital payments without the
hassle of time-consuming verification process.

5. The search giant stepped up its support for job seekers by introducing a Spot on Google Pay
to help people find entry level positions that aren’t always easily discoverable online.

6. It joined hands with the government to roll out ‘Digital Payment Abhiyan’ for increasing
awareness about cashless payment and online financial security in the country.

7. It launched ‘The Vodafone-Idea Phone Line’ to help people in the rural areas, where internet
connection is weak, get information about everything. Vodafone-Idea users can dial toll-free
number, 000 800 9191 000, and seek information, which will be provided to them by Google via
the phone call.

8. The company plans to open a research lab focusing on artificial intelligence applications in
fields like health care and education, and offer public Wi-Fi to villages in three regions.

9. Google has written to the US Federal Reserve Board detailing the successful example of UPI-
based digital payment in India in order to build "Fed Now" -- a new interbank real-time gross
settlement service for faster digital payments in the US.

10. The company launched a new app called GPay for Business -- a free and easy way for small
and medium-sized merchants to enable digital payments without the hassle of time-consuming
onboarding and verification process.
Marketing aspects of Google Pay
Google pay plans different marketing campaigns for brand popularity and benefits are as
follows:

1. Google Pay Holiday Campaign — Stampwali Diwali

Google Pay Diwali campaign, fondly called as Stampwali Diwali is a viral success in India. The
campaign “Stampwali Diwali” is a chase to get 5 stamps—Jhumka, Diya, Lantern, Flower and
Rangoli. Every time you make a transaction via Google Pay you will get a stamp in your app
home screen. When you have collected all the 5 stamps, you get a reward of Rs 251 and also
stand a chance to win Rs 1 lakh. And the minimum amount of transaction is Rs 50. So, the user
doesn’t have to spend a huge amount but yet stands a chance to win Rs 1 lakh and confirmed
prize money of Rs 251.

2. Clear Goal elevates the game

Goal of the campaign needs to be clear - not every time the campaign needs to generate
revenue or purchase, it can be brand awareness, user acquisition, user affinity and user
engagement too.

3. Google’s motto - dominate and monetize”

Google Pay’s idea in this campaign is to dominate the market segment by gaining more users,
engaging the users to make every online transaction through Google Pay. This way they will
dominate the market segment with a large user base and that will help them establish B2B
partnerships with online payment companies, banks and any other financial based institutions.

4. Timing matters
Holiday campaigns or the festive campaigns plan should have the magical pixie dust—the timing.
Well, you might think you have got plenty of time ahead to do your Black Friday planning, but
don’t forget that your competitor also has that same head start.

Google Pay launched their Diwali campaign on October 21, a week before Diwali. They planned
to have the campaign till the day of Diwali, which is October 27, but the users interest made
them to extend till November 11. Launching the campaign before a week of Diwali is an easy
decision. But the lesson here is Google did not forget the basics and identified that, a week
ahead of time is where Diwali shopping starts and people will browse around the e-commerce
apps.
 5. Execution Methods
A well-planned campaign idea with poor execution methods is equal to a pretty picture hanging
on the wall. Clean execution is the need without additional back-end integration to any of the
funnel pages. (First of all, no funnel pages itself) The whole execution is inside their mobile app
and thanks to the push notifications which saves the re-marketing/re-targeting costs.

6. How to make it go viral

A marketing campaign comprises a team of developers to do the tech savvy things, creative
hubs to do the artistic works, shrewd strategists to solve the complicates. And the important
team player, “Your Users” to act as the brand advocacy. In the cluttered noise, only the voice of
your customer or the user is the loudest. Your customers are also part of your marketing team
and include them in your campaign efforts. Google Pay allowed the users to trade the
stamps.  If I have 2 stamps of Lantern and no Rangoli, and you have 2 Rangoli, I can trade my
Lantern and with you for the Rangoli. This clever move by Google Pay made the users to take it
to social media requesting for the stamps. It boosted the social shares. Twitter, Instagram and
WhatsApp was overflowing with screenshots of stamps, especially the Rangoli stamp.

7. Gamification — A little fun would hurt no one

Gamification is the opposite of the marketing mantra, “Don’t make your customer to pull the
extra effort”. While incorporating the gamification part, you are making your user or customer
to stretch that extra mile without them realizing. Stamp collection as a treasure hunt game;
chasing down the stamps, especially the Rangoli stamp. The crucial gamification elements —
FOMO, climax and social celebrity status were covered with all corners pointing their marketing
goal. Thus, their campaign went viral, also led to the app installations. The one who collected all
the 5 stamps couldn’t stop bragging, and it created a strong FOMO for the rest of the users. The
5 stamp collectors became social celebrities overnight.

8. Rewards drive trust and accelerates the campaigns

Be clear in rewarding a confirmed prize to your users when establishing the reward system. Rs
251 is a confirmed prize money if you collect all the 5 stamps. So, no matter what, I am getting
Rs 251, even if I don’t win that Rs 1 Lakh. (I got nothing to lose and I am getting Rs 251 for doing
nothing) So, make sure that your user also gets the same feel.
Conclusion (Remark)
Google Pay is more customised and hugely eases the entire process of money transfer and
payments market in India. It has introduced Google Pay for businesses, a special app that allows
entrepreneurs to connect directly with customers and provide amazing deals. Companies that
have their current accounts linked with the app can even receive payments up to Rs. 50,000
from the customers for free. Google Pay is all set to ace the feature of pre-approved loans by
providing approvals to users through the app in a matter of minutes. It also aims at facilitating
payments at retail stores such as Big Bazaar and FBB.

Google Pay is taking giant steps at revolutionising the payments market in India.
Consumers/users will miss a hoard of features and easy money transfer transactions if they
don’t use the app. If someone is skeptical about mobile banking, they should check what makes
it safe.
The company is planning something new and unique for its users. They are planning to merge
up the entire payment's ecosystem into one universal app for receiving and sending payments
with cards saved in each one's respected Google account. The new design is totally different
than Android Pay and plans of renewing Google Pay is also on. The company presently is not
only concerned with receiving and sending but also it's concerned with easy payment of fares.