Tata Sons invests $2 billion in Tata Neu super app, sees surge in business after revamp for IPL 2023

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Tata Sons has made a significant investment of over $2 billion in the super app Tata Neu, resulting in a surge in business following its revamp in time for the recently-concluded Indian Premier League (IPL), according to Tata Digital CEO Pratik Pal. In an interview with ET, Pal revealed that the app, which completed its first year in April, underwent a redesign and improvements to its navigation and payment systems, leading to its best growth phase across all metrics, including revenue.

During the IPL, Tata Neu gained substantial visibility through on-ground branding and achieved around 110 million campaign reach, with 13 million installs and 75 million visits. The app has now reached 75 million NeuPass members and 60 million cumulative installs, with 60% of customers being repeat users. Additionally, multi-category customers have increased from less than 10% to over 25% in the past year.

Tata Digital, the e-commerce subsidiary of Tata Sons, aims to offer a wider range of products through Tata Neu, including those not currently available within the Tata Group’s portfolio. The company is focused on providing end-to-end consumer experiences and enhancing its omnichannel platform to meet evolving consumer demands.

Following its initial launch, Tata Neu received feedback regarding glitches, poor user experience, and payment issues, prompting the company to make significant improvements over the past eight months. The app now offers an enhanced customer experience, and its ratings and performance metrics are in line with industry benchmarks.

In terms of future offerings, Tata Digital is exploring various possibilities, including niche categories like adventure travel, as well as combining services such as 1mg, fitness, insurance, and subscriptions within the app. The company aims to leverage its existing assets and brand partnerships to provide consumers with comprehensive solutions.

Profitability is a key focus for Tata Digital, with plans to achieve profitable growth within the next three to five years. The company is also considering fundraising options and is currently in discussions with international luxury brands to directly retail through Tata Cliq.

Pal emphasized that Tata Neu meets the criteria of a super app by providing consumers with UPI transactions, bill payments, and the ability to purchase electronics and groceries. Tata Digital aims to continually expand the choices offered within the app to cater to a wide range of consumer needs.

While Tata Digital maintains a startup mindset, it combines it with the governance standards of the Tata Group. The company has developed a strong execution team and is focused on organic and sustainable growth based on long-term thinking and calculated risks.

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We strive to uphold the highest ethical standards in all of our reporting and coverage. We StartupNews.fyi want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It’s possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.

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Tata Sons invests $2 billion in Tata Neu super app, sees surge in business after revamp for IPL 2023

Tata Sons has made a significant investment of over $2 billion in the super app Tata Neu, resulting in a surge in business following its revamp in time for the recently-concluded Indian Premier League (IPL), according to Tata Digital CEO Pratik Pal. In an interview with ET, Pal revealed that the app, which completed its first year in April, underwent a redesign and improvements to its navigation and payment systems, leading to its best growth phase across all metrics, including revenue.

During the IPL, Tata Neu gained substantial visibility through on-ground branding and achieved around 110 million campaign reach, with 13 million installs and 75 million visits. The app has now reached 75 million NeuPass members and 60 million cumulative installs, with 60% of customers being repeat users. Additionally, multi-category customers have increased from less than 10% to over 25% in the past year.

Tata Digital, the e-commerce subsidiary of Tata Sons, aims to offer a wider range of products through Tata Neu, including those not currently available within the Tata Group’s portfolio. The company is focused on providing end-to-end consumer experiences and enhancing its omnichannel platform to meet evolving consumer demands.

Following its initial launch, Tata Neu received feedback regarding glitches, poor user experience, and payment issues, prompting the company to make significant improvements over the past eight months. The app now offers an enhanced customer experience, and its ratings and performance metrics are in line with industry benchmarks.

In terms of future offerings, Tata Digital is exploring various possibilities, including niche categories like adventure travel, as well as combining services such as 1mg, fitness, insurance, and subscriptions within the app. The company aims to leverage its existing assets and brand partnerships to provide consumers with comprehensive solutions.

Profitability is a key focus for Tata Digital, with plans to achieve profitable growth within the next three to five years. The company is also considering fundraising options and is currently in discussions with international luxury brands to directly retail through Tata Cliq.

Pal emphasized that Tata Neu meets the criteria of a super app by providing consumers with UPI transactions, bill payments, and the ability to purchase electronics and groceries. Tata Digital aims to continually expand the choices offered within the app to cater to a wide range of consumer needs.

While Tata Digital maintains a startup mindset, it combines it with the governance standards of the Tata Group. The company has developed a strong execution team and is focused on organic and sustainable growth based on long-term thinking and calculated risks.

Disclaimer

We strive to uphold the highest ethical standards in all of our reporting and coverage. We StartupNews.fyi want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It’s possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.

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