MobiKwik vs. FreeCharge: another war on blogs

Two of India’s biggest mobile wallet companies have been throwing punches against each other on their respective blogs. It was MobiKwik vs. Snapdeal-owned FreeCharge last Wednesday.

It all started when MobiKwik raised a stinker with the latest Nielsen Informate Mobile Insights Report concerning mobile wallets in India. The report places Paytm as the most popular wallet in India, followed by FreeCharge and MobiKwik.

In a blog post titled ‘the truth behind Nielsen Mobile Insights’, Akash Gupta, the GM Marketing at MobiKwik expressed his wrath against research firm Nielson, and how ‘they mock the ecosystem.’

“We reached out to Nielsen to seek clarification. They said it was meant for internal use, but FreeCharge and Snapdeal were touting it for press and to aid their pending fund-raise”, MobiKwik co-founder Upasana Taku told Business Insider.

“It really pisses you off if somebody has actually not done the work but go around telling the world they are number #2. They also used it heavily in China where they are trying to raise funds from”, Taku added.

MobiKwik also posted screenshots of e-mails from Nielsen.

FreeCharge shot back with a stinging post, titled ‘Don’t shoot the messenger when the message stings!’

MobiKwik’s Allegations:
· It was a paid research
· ‘How can a SAMPLE SIZE OF 6000 be even statistically relevant!’
· A mobile wallet is not just a recharge app

FreeCharge’s Defense:
· It was a syndicated report
· ‘very robust sample size by any standard’
· FreeCharge Wallet app officially launched in September

In a very short time, the size of India’s mobile wallet market has grown significantly. According to a study by research firm RNCOS, the Indian market size for mobile wallet is estimated to rise to Rs. 1,210 crores by 2019.

Payments are turning out to be crucial for India’s e-commerce ecosystem. Flipkart is planning to invest Rs 670 crores to build its payments business, while Paytm is pouring millions into its own. Last year, Snapdeal acquired FreeCharge for $450 million and has not looked back ever since.

This isn't the first time India's startups have had a verbal spat online. Hopefully, it's the last.

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