Engagement & Retention | Simpl | Priyal Jethva | GX28

This little project is all about figuring out why users leave, forget, or ghost an app like Simpl Pay — and then bringing them back in ways that feel thoughtful and human. Hope you enjoy reading through it as much as I enjoyed building it.

But, hold on!

Let me take you back in time first.

Remember those days when the month-end hit you harder than you expected?

Salary is still three days away, but your friend’s birthday dinner is tonight and you really want to gift them that handbag, and your heart’s stuck between “I really want to go” and “My bank account says no.”

Now imagine a world where you don’t have to choose between “I want” and “I can’t.” That’s the world Simpl Pay stepped into — a world where financial flexibility isn’t a luxury, but a default. Where buying now and paying later (BNPL) isn’t a gamble, it’s empowerment.

Welcome to Simpl Pay. Where your needs and your timing finally sync. #makingmoneysimpl

In short, Simpl was born out of the need to simplify payments. Most people didn’t want to enter card details, OTPs, and wait for payment gateways every time. And credit cards weren’t accessible to everyone. Simpl offered a seamless, one-tap alternative that built trust, speed, and simplicity into every payment.

1. User signs up and is given a spending limit. Simpl decides your spending limit using smart tech instead of traditional credit scores. It looks at things like how long you’ve had your phone number, how you use apps, and your repayment history. The better your track record, the higher your limit gets over time.

Example: Let’s say a user named Riddhi signs up for Simpl:

• She’s had her SIM for 4 years.
• She shops regularly on BigBasket and Swiggy.
• She installs Simpl and repays her first bill on time.

Simpl may initially give her a limit of ₹1,000. After 2–3 successful cycles, her limit could go up to ₹3,000–₹5,000.

2. Shops across any partner merchant platform.
3. At checkout, chooses "Pay via Simpl."
4. No OTPs or card info – just one tap.
5. Every 15 days, Simpl generates a bill.
6. User repays the bill via UPI or NetBanking. And it's done #moneymadesimpl

• Instant 1-Tap Checkout: No need to enter details repeatedly.
• No Interest or Hidden Charges unlike traditional credit cards.
• Two-week Payment Cycle: Shop now, pay biweekly.
• Trusted Across India’s Top Merchants: Available across 10,000+ online and offline retailers like Zomato, BigBasket, JioMart, MakeMyTrip, etc.
• Universal Digital Tab: Works across categories—food, travel, groceries, D2C brands.

✨No Interest on Late Payment✨

Unlike credit cards and few other BNPL apps which charge late fees + interest on pending amount beyond due date, Simpl charges only Late fees. Below is the late fees charged by Simpl as per their FAQ page:

Late Fee Slabs (Inclusive of GST):

• Bill amount (0 to 100): Fine of Rs 11.8
• Bill amount (100 to 250): Fine of Rs 29.5
• Bill amount (250 to 500): Fine of Rs 59
• Bill amount (more than 500): Fine of Rs 118 

The late is fee is applied at the end of every payment cycle if there are pending dues. So for example, your bill was generated on 31st and you had to pay until 5th. If you missed paying by 5th, late fees as stated above will be levied on 6th and this will be visible in the bill generated on 15th for which payment due date is 20th. If you do not pay this time also, another late fee will be levied on 21st.

Reduced Risk

Using Simpl also helps reduce the risk of leaking sensitive information related to net banking/credit card. So if you made 30 purchases in a fortnight via Simpl, you will have to enter net banking/credit card details only once (while clearing Simpl bill) instead of 30 times.

Empowering India's young consumers with instant purchasing power and flexible repayment options, while building their credit journey responsibly.

Simpl Pay empowers young, digital-first Indians to access everyday credit without friction, forms, or fear, offering a 1-tap checkout experience with flexible, interest-free repayments that integrate effortlessly into their lifestyle.

What this means for users:

Step 1️⃣: Discovery
The user first comes across Simpl as a payment option at checkout on partner apps like Zomato, BigBasket, or Blinkit. This is the moment Simpl's core value starts shining — it positions itself as a smarter, faster alternative to cards, UPI, or wallets. The user sees “Pay Later” and is fascinated by the idea of paying later

Step 2️⃣: Frictionless Checkout & Account Linking
Once a user selects “Pay Later” during checkout and chooses Simpl Pay (like on BookMyShow), they’re guided through a seamless, OTP-less linking experience:

• The user taps “Link Account” next to Simpl.
• A prompt appears to confirm redirection and mobile number.
• Simpl app opens with a secure, OTP-free link request.
• With just one swipe, the payment is completed.

Step 3️⃣: Checkout Experience
The real core value lands here. The user completes their purchase in a single tap. No OTPs. No entering card details. No waiting. It’s seamless and incredibly fast. This frictionless checkout becomes a reason to choose Simpl again and again.

Step 4️⃣: Post-Purchase Transparency
Immediately after the purchase, the user receives an SMS and/or email confirmation with transaction details. It reinforces trust and transparency — the user knows exactly how much they owe and when. Simpl’s communication is clean, clear, and non-pushy.

Step 5️⃣: Bill Reminder & Summary
A few days later, as the billing cycle ends, the user gets a polite reminder to clear their dues. Inside the Simpl app, the upcoming bill is neatly laid out — no hidden fees, no interest. This is where users feel the control and simplicity of managing their dues without stress.

Step 6️⃣: Easy Repayment
Repaying the bill is just as easy. The user can pay via UPI, NetBanking, or any preferred mode. The process is smooth, the interface is simple, and repayment is done in seconds — reinforcing the sense of ease that Simpl promised from the start.

Step 7️⃣: Trust Loop & Limit Growth
After a few successful cycles, the user sees their credit limit increase. This feels like a reward. It builds brand trust and nudges them to keep using Simpl for more purchases across categories. The user now associates Simpl not just with credit, but with reliable convenience.

How often a typical user interacts with Simpl Pay in a month.

An Active User on Simpl Pay is someone who makes at least one transaction via Simpl in a 15-day billing cycle, which aligns with the product’s repayment schedule.

Alternatively, core active users can also be defined as those:

• Who transact ≥2 times/month
• AND pay bills within the cycle (indicating retained trust & repeat usage)

Here's what each of the engagement focuses mean, the metrics tracked for each of them and the value they hold in the context of Simpl Pay:

Now that we understand each component, let’s assess what matters most:

What is Simpl’s core feature?

⚡ Frictionless, fast, and trust-based checkout experience for daily purchases using BNPL.

To drive real engagement, we must:

• Encourage users to use Simpl frequently
• Ensure they're repaying
• Nudge them to use it across multiple categories

Hence…The best engagement framework for Simpl Pay is Frequency.

In conclusion:

• Frequency is the most important engagement metric for Simpl Pay,
• Depth and Breadth are also crucial but play supporting roles.

Let's look at Customer Segmentation now...👇

First, who is an active user again?

At its core, an active user on Simpl Pay is someone who’s used the product at least once in a 15-day billing cycle. But honestly, that’s a bare minimum. We’re more interested in the retained, repeat users—the ones who:

Transact 2+ times per month

AND clear their dues within the cycle

These users are not just “active,” they’re engaged and trust Simpl enough to keep using it regularly. So our focus will skew slightly toward this group as the most valuable for long-term growth.

So, which segmentation frameworks make the most sense for Simpl?

We’re a frequency-driven product. People use Simpl because it’s fast, frictionless, and repeatable. So the segmentation types that actually help us understand our users deeply would be:

✅ Power/Core/Casual (based on behaviour)

✅ Natural Frequency-based

✅ ICP/Persona-based (backed by user interviews)

We’re not focusing on:

• Revenue segmentation (because txn size varies and isn’t always the right success metric)
• Feature usage (not standalone, better when layered)
• RFM or advanced churn flags (comes later, once the base is stronger)

Segmentation 1: Power/Core/Casual

Segmentation 2: Natural Frequency-Based

Same buckets as above, but framed around how naturally Simpl fits into their life:

• Daily Habit Users = Eg: someone who orders daily from Blinkit or Zepto
• Weekly Planners = Someone who shops for groceries on BigBasket every Sunday
• Occasional Spenders = Think: movie tickets (BookMyShow) or beauty products (Nykaa)

This view helps in designing better nudges, bill reminders, and offers.

Segmentation 3: ICP/Persona-Based

This one requires actual human stories. So let’s approach this like we’re building characters:

Why do user calls matter?🧐

Now, based on expected patterns + user calls, here’s a first draft of 4 Ideal Customer Profiles:

SIMPL - Ideal Customer Profiles

Now that we’ve got our characters, let’s map them:

Problem Statement:

Primary Pain Point:

• Many users try BNPL once but don’t return, often due to lack of habit, trust, or perceived value.
• Users are not always aware of all merchants where Simpl Pay is accepted.
• Some users face friction at checkout or worry about bill repayment and credit limits.
• The market is competitive with many BNPL options; differentiation and habit formation are key

Current Alternatives

• Competing BNPL providers (LazyPay, ZestMoney, Paytm Postpaid, Amazon Pay Later, etc.)
• Credit/debit cards, UPI, wallets
• Cash on delivery or direct bank payments

🎯 GOAL:

Increase user retention and transaction frequency by making Simpl Pay the default, most trusted, and rewarding way to pay later across online and offline merchants in India.

Success Metric

• Monthly Active Users (MAU)
• Repeat Transaction Rate
• Customer Retention Rate (CRR)
• Average Revenue Per User (ARPU)
• Net Promoter Score (NPS)

✅ SOLUTION:

Build a seamless, habit-forming, and rewarding BNPL experience by:

• Proactively educating and nudging users about new merchant partners and offers.
• Gamifying payments and repayments.
• Offering tailored reminders and incentives for timely repayments and frequent use.
• Making onboarding, checkout, and bill payment frictionless and transparent.

Detailed Version with User Flow

User opens app → Onboards/Logs in → Sees merchant offers → Shops using Simpl → Receives confirmation → Tracks rewards/streaks → Gets reminders → Repays bill → Unlocks rewards → Repeats cycle

✨ Success Metrics:

Metrics to track:

• Engagement: Session frequency, app opens/week, transaction frequency
• Financial: GMV per user, credit utilization, repayment rates
• Growth: New user acquisition, referral rates, merchant expansion
• Experience: NPS Score (Target: 70+), Support ticket resolution time.

Campaign 1: First purchase activation

Target Segment: New users who have completed KYC but haven't made their first transaction

Goal: Drive first purchase within 7 days of signup to establish purchase behaviour.

Campaign 2: Transaction frequency increase

Target Segment: Active users with 1-2 transactions in last 30 days

Goal: Increase transaction frequency from monthly to bi-weekly to build habit

Campaign 3: Increase credit limit

Target Segment: Users using more than 70% of credit limit consistently with good repayment.

Goal: Increase credit limits to enable higher value purchases and deepen engagement and usage.

Campaign 4: Category Cross-Sell and engagement.

Target Segment: Users shopping in single category only

Goal: Expand category usage to increase platform stickiness and AOV

Campaign 5: Users who are inactive - Re-engagement for them.

Target Segment: Previously active users with no transactions in last 45-60 days

Goal: Win back dormant users and prevent churn.

After the campaigns ---> Simpl Pay to it's users:

👉 In this section, I’ll walk you through my approach to retention design for Simpl Pay. Here’s what I’ve done: scoped out the problem, gathered secondary data, estimated metrics using industry benchmarks, identified key retention factors (like time-to-value, frequency, competition, brand trust), and drafted insights based on cohort segmentation. The goal is show how Simpl Pay can retain users better even without our internal data.

Based on fintech industry benchmarks and our ICP analysis, I am doing Simpl Pay's retention strategy focusing on our highest-potential segment: Solopreneur (ICP 2), which shows the strongest retention characteristics for BNPL payment solutions. This is because I want to focus on depth of designing it for 1 ICP that keeping it general

Fintech App Retention Benchmarks (2024-2025)

Based on industry reports from AppsFlyer and more:

Metric 
FinTech Avg.
BNPL / Payment apps
Simpl Target
Day 1 
25%
22-28%
30%
Day 7 
12%
10-15%
18%
Day 30 
5.8-9%
4-7%
12%
Day 90 
3-4%
2-5%
8%

Why This ICP Shows Highest Retention Potential:

Demographics:

• Demographics:
• Age: 27, Male
• Occupation: Early-stage Startup PM
• Income: ₹60K/month
• Location: Bangalore
• Behaviour: Every day

Retention Drivers:

1. Highest Frequency - 8-12 transactions monthly (2-3x per week)
2. Consistent Need - Grocery 2x/week + Food 3x/week
3. Time-Sensitive - "No time for failed OTPs" = values speed
4. High Perceived Value - "Every day saviour app"
5. Predictable Patterns - Work-life balance routine

Solopreneur (Kunal) - Primary Target

Timeline
Retention Rate
Key Behaviour
Critical Actions
Day 0
100%
App install, first grocery order
Seamless onboarding
Day 1
35%
Second transaction (food order)
Instant approval demo
Day 7
22%
Weekly routine established
Grocery reminder setup
Day 30
15%
Monthly habit integration
Usage pattern recognition
Day 90
10%
Loyal user base formation
Advanced features intro
Day 180+
8%
Curve Flattens
Loyalty program activation

Solopreneur (Kunal) - Primary Retention Features:

1. 0.3-Second Approval - Critical for time-pressed users
2. Spending Analytics - Monthly business expense tracking
3. Multi-Merchant Integration - Swiggy, BigBasket, Amazon
4. Smart Notifications - Delivery tracking, payment reminders

Feature
Adoption
Retention Impact
Priority
Instant Approval
98%
30%
Maintain
Auto-Reorder
45%
50%
High
Expense Tracking
38%
45%
High
Multi-merchant
85%
25%
Maintain
Smart Notifications
62%
35%
Medium

Channel Performance Analysis:

Channel
Solopreneur ICP 2
Student ICP 1
Couple ICP 3 
Best fit ICP
LinkedIn Ads
18%
3%
8%
Solopreneur
Instagram Ads
8%
15%
12%
Student
Referral Program
22%
12%
20%
All ICPs
Merchant Partnerships
16%
10%
18%
Solopreneur/Couple
Campus Marketing
2%
20%
5%
Student

Early warning signals four our ICP 2, Solopreneur:

Behavioural Red Flags:

• No grocery reorder within 4 days
• Skipping regular food delivery pattern
• Using only 1 merchant (down from 3-4)
• Order frequency drops below 6/month
• Average order value decreases >30%

Technical Indicators:

• App Engagement: <4 opens per week (vs normal 8-10)
• Session Duration: <45 seconds (vs normal 2-3 minutes)
• Notification CTR: Drops below 8% (vs normal 15%)
• Payment Delays: Late payments >2 times in 30 days

Phase 1: Onboarding (Days 0-7)

• Smart Setup: Auto-detect grocery + food delivery apps
• Time-Saver Demo: Show 0.3-second approval vs OTP wait
• Pattern Recognition: Learn weekly routine, suggest optimisation

Phase 2: Habit Formation (Days 8-30)

• Routine Reminders: "Your usual BigBasket order ready?"
• Efficiency Rewards: Bonus credits for quick checkouts
• Business Expense Tracking: Monthly summaries for tax filing

Phase 3: Loyalty Building (Days 31-90)

• Advanced Features: Expense categorisation, receipt management
• Exclusive Access: Early access to new merchant partnerships
• Premium Support: Dedicated customer success for high-value users

Phase 4: Retention & Growth (Days 91+)

• Referral Incentives: Extra credits for startup founder referrals
• Business Networking: Connect with other entrepreneur users
• Seasonal Campaigns: Festival bonuses, year-end expense summaries

Primary KPIs focused on our ICP 2 - Solopreneur

Metric
Target
Current Benchmark
Success Indicator
Day 30 Retention
15%
6% industry avg
2.5x improvement
Monthly Transactions
10+
8-12 range
Habit formation
Revenue per User
₹4,800/month
₹3,200 average
50% increase
Churn Recovery
30%
N/A
Reactivation success

Leading Indicators:

• Auto-Reorder Adoption: >50% (currently 45%)
• Multi-Merchant Usage: >3 merchants/month
• Notification Engagement: >12% CTR
• Payment Compliance: <5% late payments

Before we jump in, let me first clear why I have chosen these 5 resurrection campaigns🧐

So while designing resurrection campaigns for Simpl Pay, I didn’t want to take a one-size-fits-all route. Instead, I broke it down by intent signals and types of churn.

Broadly, churn happens in two ways as we saw earlier:👇

I focused on 5 super-specific user cohorts, each showing a totally different behaviour vibe. Here's who they are and why I think they're perfect for a resurrection comeback:

Resurrection Campaign 1: For users who haven’t made a transaction in over 60 days despite having an active account previously.

✅ Why this campaign + pitch makes sense:
Because let’s be real, most people don’t hate the app, they just kind of forget about it. Life’s busy. Notifications pile up. And before you know it, it’s been 2 months 😅 So, to bring them back, we're giving them some motivation in actual currency terms.

Resurrection Campaign 2: For users who recently raised a complaint or gave negative feedback (low NPS / support ticket).

✅ Why this campaign + pitch makes sense:
This isn’t just saying sorry, it’s showing it. High-value users need more than verbal reassurance — they want accountability. The pitch makes it emotional but also action-oriented. Offering a subscription gives them actual value they can enjoy. It’s personal, empathetic, and shows we are invested in the relationship, not just the transaction.

Resurrection Campaign 3: New Installers who haven’t transacted yet.

✅ Why this campaign + pitch makes sense:
New users don’t want a lecture. They want quick value. This campaign combines guidance, reward, and emotional relief by giving them their preferred merchants curated list. 10% off feels earned, not handed out. It's friction-reducing, not conversion-pushing.

Resurrection Campaign 4: For users who started a payment or cart but didn’t complete it (abandoned flow).

✅ Why this campaign + pitch makes sense:
This campaign gently reminds users about their saved cart, tapping into their original interest without being pushy. By offering a small reward like cashback or partner perks, it provides just the right nudge to complete the purchase. It’s a simple, friendly way to bring back potential buyers and boost conversions effectively.

Resurrection Campaign 5: Users who have disabled notifications or opted out of marketing emails.

✅ Why this campaign + pitch makes sense:
This pitch works because it gives control back to the user — they decide what kind of alerts they want, or none at all. It doesn’t chase them or spam them with notifications. Instead, it gently invites them in with a reward, making them feel valued, not targeted. By clearly explaining the benefit (Simpl+ Insider) and letting them choose their vibe, it removes the usual marketing noise. It’s peaceful, respectful, and still effective.

Now go forth, resurrect like a pro 🪄
Because behind every ‘inactive user’ is just someone waiting for a little attention (and maybe a cashback)

~ Priyal Jethva 👋