Fifteen months back, The Ken published a story about a startup called Tapzo (known earlier as Helpchat). At the time, Tapzo was a well-funded company backed by over Rs 200 crore ($30 million) of venture capital money from marquee firms such as Sequoia India. Tapzo was valued at approximately Rs 600 crore ($90 million). The problem though was that Tapzo’s tale was one of what we then called “incondite pivots”—morphing from one form to another, changing business models and markets constantly over each avatar.
Tapzo: Has the Ouroboros finally devoured itself?
The “all-in-one” mobile app company Tapzo has a history of pivoting and reinventing itself every few years. It seems it might have finally run its course. And in doing so, it leaves the ecosystem with several takeaways
In FY17, Tapzo clocked a loss of almost Rs 100 crore. Almost 20 times the topline from its commission business
Last year, Tapzo tried wallets, a subscription model, and integration with banks to retain and add new customers
In an internal meeting, Ankur Singla, CEO, Tapzo, promised his employees that the company would break even by March 2018
The last round of funding Tapzo raised in December 2017 valued the company at Rs 308 crore, nearly 50% less than the valuation of the previous round