Two Indonesian fintech startup giants, Ovo and Dana, were officially merged several days ago. This issue circulated last 2019, but both parties did not give any clarification. According to people familiar with the matter, Ovo and Dana do this because they want to fight Gopay, an online payment from Gojek. It will be a great story for Indonesian fintech since Ovo and Dana are backed by famous companies. Ovo is a part of the Softbank group and it is supported by Grab Holdings Inc. Meanwhile, Dana is supported by Alibaba Group Holdings. Gojek’s investors are Grup Djarum, Facebook Inc, Paypal. This merger is done due to some factors. One of the reasons is to reduce cash burn for Ovo and Dana. But it also said that the merger between Ovo and Dana is to fight Gopay.
Is it a good idea to merge in order to reduce cash burn?
This Coronavirus is not only influential to small enterprises but also to startups. In this situation, every business needs to think on how to survive while investors, clients, and potential customers are down. Businesses could think which department is mainly potential to run much money for its operation. The marketing department is the answer. Marketing department’s function is to promote and expand the market through the promo, Bazar, or even discount. Due to reduced cash burn, Ovo and Dana are merged. It can be a solution for them to strive and survive during this pandemic situation.
Do they really want to fight Gopay?
The rumour says this collaboration is to fight their competitor, Gopay. But the public relation of Gopay still not confirmed yet about this issue. In comparison, Lippo Group-backed OVO claims to serve more than 60 million middle-class users, while Go-Pay claims 115 million users based on Go-Jek application downloads. Currently, Dana has 20 million users. Regarding this data, do you think these outstanding startups merged because they wanted to beat Gopay?
How to create your own e-wallet application?
Forgetting about this issue, and let’s build your own fintech startup company. There is potential marketing in Indonesia in the fintech fields. Indonesian people like to use credit cards or pay later. Through this business model, you can run a fintech startup.
The first step is to do research about the fintech company, you can learn how Ovo, Dana, and Gopay e-wallet to grab their customers. Define your core business. If Gopay e-wallet has pay later features, then create what is your unique e-wallet. For instance, your e-wallet can split the budget based on what user’s need. After that, look for a developer. There are many ways to find a suitable developer for your business such as post a job portal or go to outsourcing. If you prefer to hire a team of developers than hire an individual, Emveep is the right choice for you. Emveep is an enterprise software solution. We helped startups develop apps from scratch, help entrepreneurs launch, and optionally maintain and enhance the tech product for the long-term.
We worked on projects from various countries with different business types. We built their website and mobile application based on their business and need. So if you are looking for a team of developers to start your startup, we are here to help you. Don’t hesitate to contact us and feel free to discuss.