Madpiggy to make hyperlocal deal discovery easier with iBeacon integration and QR code-based check in
Offering discount coupons or promotions has always been a popular and effective way for companies to create brand recall and get repeat customers. Only that a few decades ago, coupons would come as newspaper ads or flyers, to be redeemed physically for discounts or freebies.
And today with the wide-spread use of the internet and mobile devices, coupons and flyers have gone digital. Startups and established players are now renting digital real estate (banner ads, email marketing, pop-up notifications) to reach out to their customers. With IoT (Internet of Things) picking up, the stage is set for contextual ads on mobile devices, and Madpiggy aims to capture this segment.
What is it?
Madpiggy is a location-based mobile app and web service, which allows users to see deals at outlets and shopping malls. The app comes packed with features such as iBeacon integration, QR code-based check in, loyalty solutions, and location-based push notifications.
The app is live on Android and iOS, and has a web platform for merchants and shopping malls. Though presently the app has restricted its operations to NCR to build focus. They plan to expand it to other cities in next quarter of the year.
The team
Madpiggy was co-founded by former colleagues Deepak Chauhan and Abhishek Kumar. The two had just not shared a common job place, but the common idea of entrepreneurship. The idea of Madpiggy struck them, and they came together to work on it.
Abhishek holds a B.Tech from IIT, Roorkee and an MBA from ISB, Hyderabad. He has experience of about 10 years in IT, manufacturing, and sales and marketing. Prior to founding Madpiggy, he had founded SoftDive Technologies, and worked in business development at pharmaceutical companies such as Biocon amd Dr. Reddy’s. And now brings on board his experience in technology and business. Deepak is the co-founder with technical proficiency, with nine years in devising solution architecture.
How it works
Madpiggy is free to use for customers and merchants. Customers can download the app and see nearby deals and discounts. Merchants can also signup on Madpiggy and post deals from their outlets targeting users in the area. The app also works in shopping malls, giving merchants a portal to access their outlets or franchises for mall-specific events and promotions.
To bring more users on the platform, reward points are given to buyers who use the app and refer it to their friends.
The business model
While the basic features are free for merchants, they have to pay for advanced features such as iBeacon integration, QR code-based loyalty solutions, flash sale coupons, and notification to nearby users.
The initial funding for Madpiggy came from the founders. They also received angel investment from Manish Bharati, the country head of LF Fashion, India, who is also on the board of advisers.
Currently the team has a strength of 30, including development, marketing, and operations. The marketing team of four professionals is busy with the Delhi/NCR region. Madpiggy says that on an average, they sign up around 30 retailers everyday. For user adoption, they are resorting to campaigns in colleges, and social media and internet marketing.
Others in the sector
Discount Me, Desidime, Synapse, Niffler, Roposo, Wooplr are some other players in this sector who aim to make discovery of deals easier. Bluebook is another player in this sector but it is an actual physical book that provides offers and discounts to users.
Marketing campaigns and future plans
The immediate challenge for Madpiggy is to reach the critical mass in terms of platform adoption by merchants and consumers. To achieve this they plan to focus on marketing and reaching out to their target audience -- that is, smart shoppers and the youth. Abhishek adds:
Currently, we are looking to raise investment, as we want to soon launch our services in 8-10 cities of India within this year. Further, we wish to signup as many merchants and deals as possible to give real value to our consumers.
Madpiggy aims to break even in the second financial year of its operations and become a $100 million business in the next five years. Their plan is to cover Delhi/NCR completely in next one month or so, and then launch services in four more cities. In a year from now, they aim to cover ten cities in India and cross 1,00,000 active users on their platform.