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How Instamojo captivated Paypal’s clients to become the #1 payment gateway in the country

During its early days, Instamojo served as a platform which had the purpose of selling digital products, now it has become the #1 payment gateway in India.

Instamojo is a digital payments platform which has bundled with loads of e-commerce features. These features enable in helping an individual to sell his business and also to manage and grow it effortlessly. Instamojo also aids in cost-effectively securing your business.

The platform of Instamojo has built upon the financial infrastructure, which is existing in many credit cards, bank accounts, or other digital payment appliances. This step is taken up by the platform to create a real-time payment system which is pervasive and persistent.

The platform assures everyone of delivering a product which is suited ideally for Indian SMB’s, merchants who undergo online transactions and other individuals. This factor comes as a boon for many people as they are currently stuck with the underserved conventional payment instruments.

Instamojo has created a platform which has removed the barriers of technical entry and upfront costs, making it the simplest payment solution to use in the digital market. It provides instant access to distribution channels on websites and mobile applications through e-commerce features which have enabled with various up-selling and cross-selling tools.

This step initiated by Instamojo has helped in boosting time for marketing small business in selling and collecting their payments. It has also assisted these businesses in managing and increasing their growth.

Now, let us get a fair idea about what Instamojo is by learning its past, present, and future ambitions and directions.

Instamojo: the early days..

During its early days, Instamojo served as a platform which had the purpose of selling digital products such as eBooks, software, music, and various other products. Instamojo enabled the audience to directly downloading these products by sharing a link.

Once you click on the link, it would direct you to a landing page which has optimization across all types of devices such as a mobile, tablet, or a computer. The landing page used to carry information about the product, such as file type, images, description, price, and other relevant information. Sellers always create such links which help in instant purchases from buyers upon sharing the link.

But what was the work of Insatmojo when buyers themselves were creating such links? Instamojo used to host the digital files and process the payments made by the buyers through credit cards, net-banking wallets, and debit cards. Instamojo used to provide a secure delivery transaction once the amount was processed successfully.

This step enabled many merchants to sell their products and collect payments directly from customers by sharing a payment link. The long list of merchants included freelancers, entrepreneurs, SOHO businesses, and individual startups.

Instamojo: the present-day..

The present work process of Instamojo has described in detail below. Instamojo has got wiser and smarter about its offerings. This process of the company has also enabled in understanding its users in a better way. It has also resulted in significant growth in the digital markets sector.

The growth of Instamojo has also assisted it in taking advantage of utilizing the data and insights based on user experiences. This advantage has given them the ability to make smarter and better decisions in the coming future, in which they had failed earlier.


1. Processing of Digital Payments and Transaction: Payments have always been the core business of Instamojo, and it will remain to be the same in the future. Instamojo is a payment organization which aids in the processing of payments and transactions for all businesses of all size.

These businesses include freelancers, entrepreneurs, SOHO, individuals, and alike. To differentiate itself from other payment gateways, Instamojo has invented an innovative, customized, and a localized method for payment transactions.

Firstly, if you are using Instamojo, you don’t have to set up a merchant account with a ready-mage website. This step has usually been the prevalent norm in India, for processing online card payments. You can start setting up your account immediately by uploading your bank statement on the platform and also your PAN number. The best feature about the platform is that it continually strives to update itself by bringing out new features.

It helps in enabling the merchants to open their account with no means of any physical paperwork. It doesn’t need any ad-hoc requirements, no mandatory API/technical integrations, and no need for any website or physical address. And most importantly, you don’t have to wait for weeks or months to get started with your online transactions in Instamojo.

Instamojo enables you in starting your online transaction minutes after opening your account. It also rapidly processes your payments due to the presence of its backend powering payments, sales, and transactions.

2. The way of showcasing prices in a precise and transparent method – The pricing in Instamojo has been reduced to 1.9%. Upon reduction of 1.9%, the sales tax is added later for every successful sale. But for digital downloads, Instamojo charges a price of 5% with the addition of the sales tax as it hosts the files, processes the payments, and helps in the secure delivery of goods.

This process means that you can get started with your online transactions, which involve debit cards, net-banking wallets, credit cards, and even the easy-month-installments method. You do not have to worry about the AMC fees, wait period for approvals, developer costs, and setup costs as all of this get covered at just 1.9% of the fees paid to Instamojo.

Instamojo is working hard to add several payment options, which includes even International payment options such as PayPal and other modes of payments accepted internationally.

3. Free purchase of online web stores– Do you want to have your brand store without paying any extra costs? Then Instamojo is the right option to use. It furnishes the user with a new branded online store for free by default. What is the use of a branded online store? It helps you in marketing and instantly selling all of your products.

If the buyer wishes, he can start his online payment by adding the products to his cart. He can even use the QR code presented with the product to buy it online.

The merchant can use his payment link to sell his products and collect the payments credited from it. The merchant can also set up his payment link within minutes after the activation of his account.

This step essentially means that Instamojo provides you with a ready to host and a ready to market online website with no sorts of investment form your side, basically for free. An example of the username, in other words, the online store is as follows –

4. It helps in collecting payments for any business – The noteworthy feature of Instamojo is that it has added various types of functionalities which help in the selling and collection of amount. This functionality comes to use while marketing event tickets, membership, subscription, physical products, and various other types of services.

This feature of Instamojo means that merchants who do not endorse digital goods can also open their account in Instamojo. Anything under the sun can be sold legitimately on the internet. Instamojo provides this service within a single click.

​​​5. The lucrative Instamojo Appstore – The Instamojo Appstore provides you with value-added services within the platform itself. This feature assists the merchants in managing their businesses efficiently and sell their products quickly. This feature also helps in increasing their market base on mobile and web without any worry or hassle.

6. The promising 24*7 support service for solving all disputes of its customers – Instamojo always promises its merchants by protecting it from various online scams, frauds, and other malicious activities. Instamojo bestows trust on its customers as it knows that the primary job of all merchants is to create and sell their products on its platform.

Instamojo houses a sophisticated risk management system which is predominantly powered by automated algorithms.

These automated algorithms have based on various heuristics & human oversight, which protects the buyers silently 24*7. It encloses a highly skilled dispute resolution center which sits right in the center to do its job correctly and efficiently.

7. Instamojo provides 100% buyer and seller protection – Instamojo works hard each moment in its operation just for the sake of offering 100% protection to buyers & sellers. It is mainly for helping these buyers and sellers who depend on Instamojo to pay and to get paid. This attribute shows the commitment of Instamojo and its honor code.

8. The innovative dashboard of Instamojo – The place where every online transaction and sale consummates is the dashboard of Instamojo. This dashboard of Instamojo tries to give a clarity of the bigger picture happening in the market. It also provides the information to all its customers about how a deal has clocked through consumer analytics.

It also provides a pre-look of the activities between sales and customers, swift customer interaction employing e-mail and the initiation of immediate 1-click refund. It also includes information about other events, which helps in keeping your business up-to-date within a single window.

9. The presence of a diversified customer segment – Instamojo right houses 50,000+ MSMEs which includes entrepreneurs, individuals, mid-large customers, SOHO, and homemade businesses. Many of the merchants under the platform include Shopo, Rentomojo, MyGola, Neemrana Hotels, Milaap, Online Prasad, UrbanClap, and 100’s more.

The reason why all these merchants love Instamojo is the presence of simplicity in the platform. This simplicity is exceptionally addictive for using the platform and also for bestowing their trust with it.

10. The enhanced and power-packed integration kit – The main point in digital markets is that customers get evolved as soon as the business starts to develop. For this reason, Instamojo apart from providing an online web-store or selling or collecting payments with the help of payment links or merely requesting a remittance, it also endorses a pretty elegant way of integrating a set of API’s into your website and mobile app.

Instamojo, to make a developer’s life easier has added a lot of integration modules. An example of one of the integration modules is as follows – A higher number of such modules will get added in the next set of months.

Instamojo: the future

In the coming future, you can expect several features which may include faster processing & payouts. You may also experience much more straightforward experiences from Instamojo, which loves to create easy steps for its customers. While doing so, the platform wants to keep all the features and options available now intact.

Some of the features and options to be made available in the future are as follows:

1. Instamojo wants to spend more amount of time thinking and experimenting with ideas on how to evolve this business. The platform would also love to innovate some more design in providing a smoother experience for its buyers and seller.

We will be expending a lot of time thinking and experimenting with ideas around how to drive business for our sellers & merchants. Most of the designs are already stimulated and has produced encouraging results in its preliminary tests.

2. The thinking process of Instamojo is very alike with the sellers/merchants. The prime reason for this thinking is because the consumers/buyers are responsible for the success of both Instamojo and merchants. Millions of consumers interact with Instamojo, which has provided Instamojo with a good headstart on its thinking process.

So, discussions and research are developing day by day in Instamojo to add value to both sellers and buyers in the platform. This quality assists in creating a unified experience to both the buyers and sellers in the platform.

3. Constant developments have forced, and more work has been done to convert Instamojo Appstore into a genuinely world-class ecosystem which bestows lots of benefits to its users.

4. Instamojo is striving towards extending lots of support to its sellers in terms of financing, logistics, delivery, accounting. This step is initiated by the platform to make the life of these sellers far simpler & productive. Something more meaningful has also been created to extend to its growth partners.

5. Instamojo also considers its buyer community in equal with its seller community. Hence, the platform is keen to extend its core support to the buyer community from both support infrastructure and trust fabric. This step is the stages of initiation, primarily to allow everyone to use Instamojo to pay any unknown/untrusted party without the worries of any liability.

6. And Finally, Instamojo has big plans in creating a platform where sellers, buyers, and developers can participate and derive values in equal parts. The foundational work for this attribute is already laid on the platform, and the changes can be experienced quite quickly in the future.