Engagement & Retention project | Vyapar App | Poorna Muthyala
"Ab Har Business Banega Digital"
What is the problem with Billing and Accounting for MSMEs?
Even today, 70% of SMEs in India still create bills on paper. Most of their productive time is consumed in making manual entries and calculations. When small things go wrong, the entire business goes down, simply because there is no place to fall back. Not having the resources can wear out the business owner driving them away from doing what matters most.
- Tiresome to store and fetch records.
- Almost impossible to track payments on time.
- No view of the stock status and trends in stocks
- Party payment reminders.
- Unable to bill quickly for FMCG or Kirana space.
- Compile sale and purchase bills every month/quarter to make GST compliances - Tedious task/Heavy cost involved (payments to CA).
- Unable to grow business digitally - say create a domain or online store to share items for purchase.
- Track expenses of the business and do optimizations wherever necessary.
- No visibility of prices and discounts for the customers.
- Cannot create a brand and printer heavy etc.
Behold Vyapar App
Vyapar is a Business Billing and Accounting Software built for Indian small businesses to deal with invoicing, inventory, accounting needs, etc. The goal is to make a businessman’s daily routine less tiring and let them focus more on growing their business, and less on paperwork.
Vision Statement
- To get all business onto Digital platforms and make data a powerhouse for business success.
- Help them solve for compliances accurately and on time.
- Make Billing so easy that business can only need to focus on Growth!
Use cases of Vyapar across business types
Currently, we have 15 day trial version of Desktop and then the user has to pay up to use any of the basic features of Vyapar.
The mobile version is a freemium model with 80% of features open and core modules closed for paying users
-> GST / Non GST Billing
-> Inventory Management
-> Party Payment Reminders
-> GST Filing Reports
-> Business reports and metrics
-> POS
-> Online Store Creation
-> Automated Data Backup
🤖 Who is an Active user?
- An active user creates all his bills via the Vyapar application and uses the same to keep track.
- A user who manages all purchase bills on the platform
- Uses GST report as is to make GST and ITR filings
Core product?
Vyapar app aims to make billing as seamless as possible for an SME without making any changes to his regular flow of business. The end goal of the app is to be a one-stop solution for all things related to business.
The core value proposition of Vyapar with features and benefits!
Vyapar aims to make MSME of India Digital about billings and accounting.
Mobile free users primarily engage on the Vyapar App to make bills and this acts as a channel of acquisition for Desktop Subscriptions
- Make unlimited GST/Non-GST bills - To keep track and share with customers with a click of a button.
- Manage Party bills and Payables.
- Send Party Payment Reminders.
- Keep Track of inventory.
- Quick billing for retail stores with POS.
- GST reports make the monthly filing process efficient.
How do users experience the core value proposition of Vyapar repeatedly?
- For retailers making bills daily is given and for other categories like distributors or wholesalers this frequency and number of bills raised comes down
- Checking the Vyapar App on the day end to see party payment reminders
- Checking Inventory daily basis
- Adding new stock to the application to track inventory and make bills
Platform:
- Mobile application
- Desktop App
Engagement and Segmentation of ICP Users
Segmentation
Basic Demographics | ICP 1 | ICP 2 | ICP 3 |
|---|---|---|---|
User Name | Rakesh | Pawan | Amit |
Age | 40-45 | 40-45 | 30-35 |
Gender | Male | Male | Male |
Business Type | Dealer | Distributor | Retailer |
Business Category | Electronic accessories | Agro | Electronic accessories |
Turnover | Upto 5 crore | Upto 5 crore | Upto 50 lakhs |
Personal Apps used | WhatsApp, YouTube | Money Control, NCDX, YouTube, WhatsApp | Gpay, BharatPe, Instagram, Photoroom |
Can you walk me through a typical day of your life? | Makes a to-do list for the day for follow-ups, and delivery & other operations. | The user oversees all the procurement as this is an unorganized market, so the majority of the day goes into negotiations with agents and farmers. | From morning to afternoon tries to complete the operational work for the shop, after that invests time in figuring out how to grow the business. |
How many people are working in your business? What are the responsibilities of each individual? | The owner does all the accounting and billing. | 13(4 Delivery, 9 Operations & maintenance) | 3 ( 2Salesman, owner) Salesman interacts with customers, generates bills, helps owner in managing inventory |
Engagement
| ICP 1 | ICP 2 | ICP 3 |
|---|---|---|---|
How did you get to know about Vyapar the very first time | Word of mouth from brother | Playstore | Google search |
How do you store your inventory? | Use barcodes to keep track | Marg- For~58 products, does PSV twice a week | manages 100% inventory on Vyapar, Sticks Barcode to each item, Enter purchase bills |
Paid user / Free User | Paid | Paid | Paid |
Why did you decide to go with Vyapar? Can you tell us one particular thing that stood out for you? | Cost & features, easy to use. | Features, Sale, purchase, party ledger, pdf generation of report. | |
Desktop - How frequently do they use Vyapar | Daily | | |
Android - How frequently do they use Vyapar | Daily | Daily | Daily |
What features do you use on a billsdaily basis? | Regularly make sales bills | Regularly make sales & purchase bills | Make bills, see reports, track sales in SYNC |
Which features do you find most useful/critical? Can you please name them? | Serial number search | | Reports, Backup |
Retention
| ICP 1 | ICP 2 | ICP 3 |
|---|---|---|---|
Desktop - How easy is it to use our product on a scale of 1 to 5? | 5 | 5 | |
How dissatisfied will you be if we shut down our service? | Not disappointed | Somewhat disappointed | Very disappointed |
What is the main benefit that Vyapar brings to you? | Easy to maintain business | Easy to manage | Intelligence from Reports |
Do you feel Vyapar is value for money? | Yes | Yes | Yes |
Have you ever considered moving away from Vyapar to any other software | No | No | No |
Would you renew Vyapar’s licenses again based on what you feel at this very moment about the service/product that you consume? | Yes | Yes | Yes |
What is the one thing that we can do better to serve you - includes customer support, releases, and features. | 1. AMC, Service Management for sold goods. significant profits come from AMC & it helps build relationships with customers | Customisation is required to integrate the APP he is developing for personal use | Bulk messaging to party for promotion |
Advance Segmentation | Needs attention→Loyalists | Needs attention→Loyalists | Champions |
The natural frequency of usage of the Vyapar App
Users typically raise invoices daily, so the natural frequency of the App usage will be daily either in Mobile or Desktop versions
Casual, Core, and Power users
User Type | Features used | Frequency of usage |
|---|---|---|
Casual | Sale Billing - User who comes to the for a one-time use case and gets using Used by the owner only | 3 to 4 times in a week |
Core | Sale Billing and Party Reminders - Users who make all the sale bills in the Primarily used by the owner and salesperson | Uses on a daily frequency |
Power | Sale and Purchase billing, Party reminders, Item management, and Online Store The app is used by multiple people right from owners to salespersons and accountants | User the app daily. Acts as necessary to run a business |
Advance Segmentation
ICP | Plan Purchased | Frequency | Recency | Type of user | Most used feature | Advance Segment |
|---|---|---|---|---|---|---|
ICP1 | Gold 1 Year | 3/4 times a week | < 2 days | Casual | Billing | Potential Loyalists |
ICP2 | Gold 1 Year | Daily | < 1 day | Core | Sale and Purchase Bills | Loyalists |
ICP3 | Gold 3 Year | Daily | < 1 day | Power | Billing, Inventory, and Reports | Champions |
Three main types of engagement metrics based on user segments can be looked at
- Type of user
- Natural frequency
- # of features used
The below grid shows user segmentation basis sale invoices generated in 3 month period
Best Engagement Framework for Vyapar
We will be using the framework to decide on the best possible engagement
Engagement Framework | Key Metrics | Selected? | Rationale |
|---|---|---|---|
Frequency | Invoices raised | Yes | To be engaged with the product, the user has to enter all his business details in the App daily |
Breadth | Number of features used | Partially yes | Depending on the type and category of the business usage of the features varies but users with multi-feature usage are prone to stick to the platform |
Depth | Understanding of the feature depth and settings | No | Very specific to the business case and depth is not an indicator of the consistent usage of the application. |
Frequency of engagement is the best framework to increase Vyapar’s usage and is the most promising way of engaging users.
How to acquire users for Vyapar App-
Engagement Campaigns
Campaign Formats
- Desktop Notifications:- Once a user completes a Sale bill, a pop-up will be shown below with videos, text, or user journey mapped on how to add purchase bills.
- WhatsApp nudges: An illustrative WhatsApp message highlighting the out-of-stock alert. Refer to the image below.
- Sample user template for users to check the application
Retention
Birds Eye View: Currently out of the users who have logged in successfully to Desktop only 3.5% retain after a trial period of 15 days and the curve flattens from there on
The retention curve typically flattens at 15 days due to trial period closure and almost all the basic features are locked for the user.
Desktop
Microscopic View:
- Which ICPs drive the best retention?
➜ ICP 2 & ICP 3 drives the best retention out of all.
- What channels drive the best retention?
➜ Organic channels and Referrals drive the best retention in the current portfolio.
- What subfeatures or subproducts drive the best retention?
➜ WhatsApp Integrations to share greetings and invoices and multiple invoice formats (Eway bills, Einvoice) drive the best retention
Churn of users
Reason | Type of churn |
|---|---|
Lack of product features | Voluntary |
There was only one use case | Involuntary |
Too much hassle to add inventory | Voluntary |
Business shut down | Involuntary |
Alternative competitor | Voluntary |
No product integrations | Voluntary |
Delayed customer support | Voluntary |
Customer engagement optimization | Involuntary |
Too many notifications | Voluntary |
IOS App release | Voluntary |
Negative actions to look out for
Resurrection campaigns
The majority of the users seem to have problems that can be addressed through campaigns or better flow optimizations. We will prioritize the below channels to tackle top issues.
- SMS and In-App Notification
Campaign #1
Offer:
Apologies for the delayed support, Vyapar regrets this inconvenience and would like to solve this issue ASAP. Please reply to the link below to connect with the agent.
In addition to this, we would love to offer a 15-day license extension as a token of appreciation, stay connected for more updates !!
Segmentation: Core/Power who are about to churn
Channel: WA, In-app notifications
Frequency: Dependent on issues
Timing: As soon as the user call drops from support
Success metrics: Rating received post the Cx call
Campaign #2
Offer:
📱 Exciting News, Vyapar Users! 🎉
Our iOS app is coming soon! Get ready for all your favorite Vyapar features on iOS, plus exclusive benefits just for you. From enhanced functionalities to special offers, we're making it worth the wait!
Stay tuned for updates. You won't want to miss this!
Thanks for your support. We're excited to bring you the best Vyapar experience yet!
Warm regards,
Team Vyapar
Segmentation: Core/Power who are about to churn
Channel: WA, In-app notifications
Frequency: 3 times a week
Timing: a month before the IOS app launch
Success metrics: users click on the banner to see benefits.
Campaign #3
Offer:
🔔 Renew Your Vyapar License Now! 🔔
Renew your Vyapar license today and unlock amazing benefits!
Get an extra 30-day license extension,
priority customer support,
and discounted GST filing.
Don't miss out on these exclusive perks! Renew now and elevate your Vyapar experience.
Thank you for choosing Vyapar. We appreciate your continued support!
Warm regards,
Team Vyapar
Segmentation: Core users who are about to renew
Channel: WA, In-app notifications
Frequency: 3 times a week
Timing: a month before the renewal
Success metrics: Renewal percentage of the TG
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