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It's showtime for 'Made In India' apps

Ban on popular social apps like TikTok, WeChat, Helo, among others, shifted consumer attention dramatically towards local Indian apps playing in the same arena.

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Published : Jul 1, 2020, 7:18 PM IST

Hyderabad: Earlier this week, taking note of the wave of anti-China sentiment sweeping across the country, the Indian government banned 59 Chinese apps in an unexpected move, sending Indian tech companies and start-ups into a tizzy, but for a good reason.

The ban on immensely popular social apps like TikTok, WeChat, Helo, among others, meant that consumer attention could now dramatically shift towards local Indian apps playing in the same arena that till now were the ‘non-preferred’ substitute. And that’s exactly what happened.

As Internet service providers blocked video-sharing platform TikTok, which has a user base of an estimated 120 million in India, similar homegrown apps like Chingari and Mitron started reporting massive increase in downloads just few hours later.

Sumit Ghosh, co-founder and chief product officer, Chingari app, wrote on Twitter on 29 June (the same day the ban on Chinese apps was imposed): “100,000 downloads per hour, guys please be patient! we are working on the servers and getting things up and running asap!”

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Hyderabad: Earlier this week, taking note of the wave of anti-China sentiment sweeping across the country, the Indian government banned 59 Chinese apps in an unexpected move, sending Indian tech companies and start-ups into a tizzy, but for a good reason.

The ban on immensely popular social apps like TikTok, WeChat, Helo, among others, meant that consumer attention could now dramatically shift towards local Indian apps playing in the same arena that till now were the ‘non-preferred’ substitute. And that’s exactly what happened.

As Internet service providers blocked video-sharing platform TikTok, which has a user base of an estimated 120 million in India, similar homegrown apps like Chingari and Mitron started reporting massive increase in downloads just few hours later.

Sumit Ghosh, co-founder and chief product officer, Chingari app, wrote on Twitter on 29 June (the same day the ban on Chinese apps was imposed): “100,000 downloads per hour, guys please be patient! we are working on the servers and getting things up and running asap!”

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In an official statement, Chingari’s co-founder and CEO Biswatma Nayak later said: “Since the word spread that Indians now have a homegrown and more entertaining alternative to TikTok, we have been recording traffic beyond expectations on our app.”

Highlighting the financial repercussions of the development, Nayak added: “As Chingari is setting new benchmarks, a lot of investors are showing interest in our app. We are holding crucial discussions to get a good investor(s) on board so as to scale up our free-of-cost social platform.”

Another Made-in-India video app Mitron, which had already gained traction in India after the Coronavirus-triggered lockdown began in the country, has now seen over 10 million downloads on Google Play Store within two months of its launch in May, and a rating of 4.5 out of 5.

Sanjay Enishetty, MD and CEO of India-based early-stage venture fund 50K Ventures, said: “This is a good opportunity for Indian apps to position themselves, as some of the apps which have been banned were deeply penetrated in the Indian market.”

Read more:TikTok CEO assures Indian employees there will be no layoffs or salary cuts

He added: “In today’s time, it’s not just ok for consumers to remove the app, but they also want a replacement. Indian apps can take advantage of this situation with the help of some good marketing and campaigns.”

Talking of positioning and campaigning, companies like regional social media platform ShareChat are being seen boasting of their Indian legacy, as they understand that Indians are now specifically looking for ‘Made in India’ apps and not any other foreign alternatives.

After the ban, ShareChat, which would directly benefit from the ban on Helo, welcomed the move from the government against platforms that have had “serious privacy, cybersecurity, and national security risks”. “As the largest Indian social media platform, we will continue to stay committed to our Indian legacy and heritage,” it said on Twitter.

  • @sharechatapp welcomes the move from the government against platforms that have had serious privacy, cybersecurity, and national security risks. As the largest Indian social media platform, we will continue to stay committed to our Indian legacy and heritage. pic.twitter.com/q4davGtVpV

    — ShareChat (@sharechatapp) June 29, 2020
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The current frenzy in Indian social media apps space reminds of a similar turning point witnessed by digital payments apps like Paytm, PhonePe and MobiKwik immediately after demonetization in 2016, when suddenly there was no need to convince Indians to substitute digital payments for cash. But will Mitron, Chingari or ShareChat be able to convert this opportunity into sustainable and successful businesses, given the fact that behemoths like Facebook, Google and Twitter still rule Indian social media space? Only time will tell.

(ETV Bharat Report)

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