1. Paytm Mall has slashed cashbacks by more than 80% across categories including grocery, electronics and fashion
2. Paytm is instead investing big time on O2O
3. In order to save logistic costs, Paytm is removing cashbacks from warehouse supplied items and directing them toward physical store supplies
“Sales have dropped by more than 90% in grocery, people are clearly not buying any more. The cashback offer was up to a maximum 35%, but Paytm Mall stopped giving cashback from December 2 as it wanted to be margin-neutral,” said one of the largest grocery sellers on Paytm Mall.
“If they don’t make money, they don’t want to lose money either.[Source: (ET)]