PhonePe: Democratizing Payments in India

The co-founders of PhonePe, India’s leading digital payment platform are considering pursuing various growth opportunities in a huge country just entering the digital age. In a highly competitive industry, the founders are keenly aware that making the right choices is not only a matter of opportunity cost but critical to preserving the company’s market leadership. PhonePe began as an enabling platform between parties and, unlike some of its competitors, did not get involved up to now in the direct delivery of goods and services. But PhonePe’s brand and reach make it relevant now to revisit the question. In the next board meeting, three areas of obvious digital potential are likely to come up: lending, education and gaming. Another is taking the model international. What should the founders recommend to their board?