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Justdial Business and Revenue Model

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Justdial Business & Revenue Model

Justdial works on a collection of Data process providing information to users through


Phone, SMS, and the Internet. The Revenue model of the company is of Premium
subscription or listing of classified ads, Analytical reports and Data selling to buyers.
Initially, it used to work as a telephone directory-based model.

The company has extended its services to Canada, UAE, UK and USA apart from India.

Justdial Competitors

• Sulekha.com
• Zomato
• Google
• Gaadi.com
• Bro4u
• ZatSe

Above all Sulekha.com, Google and Zomato are the top competitors.

Further this is how JustDial works.

➢ They have field executives whose Major works involves collecting data and feed
them into database.

➢ They are also being asked to convert those small vendors, shop owners and even
a Juice maker (Road side juice Vendors) into paid members.

➢ Apparently not everyone pays them. So JustDial hires Process associate (tele
callers) whose job is to fix the meeting with those business owners.

➢ Marketing goes to those clients after fixing meeting. And they have to convert
them into paid members.

➢ Paid membership includes A Platinum package, Golden package and silver


package.

➢ Now they have also started creating Apps for the paid members and also includes
their Banner listing and other Advertisements on the portal.
➢ Customers or service seeker calls on the 08888888888 Searching for a particular
product or service thus become a requirement.

➢ He then becomes a prospective buyer. Then theirs’ (buyers' requirement) is sent


to the suitable sellers of that particular area or region.

➢ Information is passed only to the paid supplier (who paid JustDial to get the
instant buyers' requirement).

➢ Buyers can also contact a supplier through their website.

Promotions and Endorsements

➢ Just Dial used traditional as well as digital media to promote its business
including Television, Print and Radio as well as Online media. The base of the promotion
was made easy in the initial stage of establishment of the business by selecting a super
easy number 8888888888.

➢ Amitabh Bachchan and Boman Irani were brand ambassadors to promote over
television and radio.

➢ According to a disclosure by the company in its IPO prospectus, Mr. Bachchan


was allotted 62,794 shares at a price of ₹10 each in 2011, valuing his original investment
at just ₹6.27 lakh. His holdings are now valued at around INR 9+ crores.

➢ Justdial placed hoardings at crowded places like airports, busy centres, major
railway stations.

➢ During the wedding seasons, it offered numbers of shopping spots across various
locations.

➢ It also sponsored for IPL in 2014 as an official partner of Royal Challengers


Bangalore and in 2015 as the associate sponsor for Delhi Daredevils.

➢ It also hooked up with the 93.5fm radio station for promotional ads to win
vouchers worth 2500.

➢ Justdial launched its app for mobile users as well to increase its market
and collaborated with its one of top contenders Zomato to provide food coupons
to users.
Success formula

JustDial gained more advantage and recognition with the Indian Local Search Market. It
followed the key factors that contributed to building solid brand name across the world.

A. First comers Benefits


B. It’s consistent delivery of quality.
C. Quick response to search queries.
D. Quality of company’s database.
E. Word of mouth presence in the market.

Revenue Model

Cost per Lead Model

Cost per lead model- mostly services categories like laptop repairs, pest control, Packers
movers, RTO services, Municipal services, interior decorators and 40+ odd categories.
The service providers have bought leads packages. The leads are distributed among 4–7
competitors. One has to be very proactive, best price, prompt services.

Then the conversions will be high. Around 30% leads are mere enquiries. Balance 70%
are real requirements.

Business Listing Model

• Health care services, product dealers and few other categories businesses buy
this. They are several types of priority listings with or without leads commitment, zone
specific, area specific etc.

• They do offer packages including promotional products on web and mobile app
as well.

• They also have ecommerce platform, but that's O2O

Directory portal business model is generally a combination of free and paid services. The
listing is made available at free of cost to get traction and paid service are included to
generate revenue. Paid service might vary from online booking to consumer
management system based on the domain of directory portal.

Here is a pictorial generic view of directory portal revenue model -


Other Revenue Models

✓ Registrations fees

✓ Paid Listings with Different Packages

✓ Data Analytics Consulting (Featured Products)

✓ Service Management (Sales of Data Base)

✓ Advertisement.

Expenditures

Fixed Cost

✓ Office Expenses

✓ Man Power Cost (Salary)

✓ Technology Cost

✓ Marketing Cost

Expenses Variable.

✓ Operational Cost

✓ Customer Care centre Infrastructure

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