Pélocal Secures $5 Million in Funding to Enhance Payment Solutions
Fintech platform Pélocal has successfully raised $5 million in its latest financing round, led by Unleash Capital Partners and Unicorn India Ventures, along with a consortium of other strategic investors.
Previous Funding and Future Plans
Based in Noida, Pélocal previously closed a $2 million funding round with Unicorn India Ventures last October. The latest influx of capital is earmarked for expanding product development and bolstering the company’s marketing strategies, aiming to capture a larger market share in the fintech sector.
Innovative Solutions in Payment Orchestration
Founded in 2021 by Vivekanand Tripathi and Vikas Garg, Pélocal offers an advanced artificial intelligence (AI)-powered payment orchestration platform. This innovative solution seamlessly embeds payment functionalities into widely-used messaging platforms like WhatsApp, enabling businesses to facilitate transactions and engage directly with customers.
Diverse Clientele and Applications
Currently, Pélocal’s services are utilized by over 40 firms across various sectors, including banking, financial services and insurance (BFSI), public transportation, and utilities. Notable clients include Canara HSBC Life Insurance, Delhi Metro, Oriental Insurance, Mahanagar Gas, and Asianet Broadband.
Transforming Payment Experiences
Tripathi emphasized their goal is to bridge the gap between payments and communication, offering tailored solutions to large enterprises. He noted, “Many companies have relied on outdated technologies that hinder payment efficiency and customer convenience. We aim to innovate by creating solutions around WhatsApp and other communication platforms that integrate payments with customer support.”
Impressive Growth Metrics
Pélocal has reported a sixfold increase in total payment value since its previous fundraising, with annualized payment volumes now surpassing $500 million. The company is on track to achieve an annual execution rate of over $10 million within the next 18 to 24 months.
The Future of Payment Integration
Garg anticipates that Pélocal will significantly bolster its technological capabilities in the coming years. “We are already a pivotal payment orchestration platform actively used by more than 40 companies monthly. With the advancements in AI, our capacity to serve these enterprises will only continue to improve,” he stated.
Investor Interest in Fintech Solutions
The rising trend of conversational commerce and integrated payments in India has piqued investor interest. Natsuki Sugai, Managing Partner at Unleash Capital Partners, remarked, “Pélocal is redefining how businesses interact and transact with customers by incorporating payments into conversational interfaces like WhatsApp. With AI at its core, the company addresses a significant issue for Indian enterprises and possesses the potential for global scalability.”
Competitive Landscape
Pélocal faces competition from players like Gupshup and Twilio, which also facilitate payment and customer engagement integrations on platforms such as WhatsApp. However, Pélocal stands out by focusing specifically on end-to-end payment journeys for industries like BFSI, transit, and utilities, setting it apart in an increasingly competitive market.