A Number of Xendit Business Plans After Becoming a Unicorn

Xendit officially became unicorn after completing $150 million worth of C funding. In total, the company managed to raise a total equity fund of $238 million since its inception in 2015. There are a number of plans that will be carried out next. This was conveyed by Co-Founders Xendit Moses Lo and Tessa Wijaya in a limited media meeting opportunity.

The first thing that will be boosted is to continue the regional expansion that has started from the Philippines since 2020. Even to increase the penetration of its services in the Philippines, Xendit is building strategic partnerships by investing in players fintech local dragonpay.

Responding to the post-funding M&A strategy, Tessa said the possibility exists, especially now that the company is also focusing on the MSME market. Even if it will take strategic actions such as investment, the goal is still within the corridor of supporting the expansion and expansion of the user segment.

Open a wider market

Founded in 2014, Xendit was originally a platform provider payment gateway, helping digital businesses provide payment portals for their consumers. As it develops, services fintech in it expands to accommodate various needs, including fund transfer services for businesses. Most of Xendit's services are API based, its users integrate these services through backend site or application.

Moses said that one of the series C funding allocations is to develop the service ecosystem it owns. He calls it "value added services", contains various supporting features to enable partners to deliver capabilities fintech in a better way. For example, they will optimize risk management services to help businesses prevent fraud. Then will also present the platform lending to help businesses grow.

The latest data submitted, Xendit has recorded an increase in total payment volume of 200% yoy in the Indonesian and Philippine markets. Some of these achievements were obtained from clients who came from technology companies such as E-commerce or other consumer applications. To unlock greater potential, Moses said Xendit will enter the market of -based digital solutions "no-code".

Services "no-code" generally in the form of ready-made digital solutions that can still be customized according to user needs. With this approach, Xendit has also confirmed its intention to embrace the SME market as its next business target. In its debut, several solutions have been presented, for example in the "Xendit Business" application on the Playstore. With this service, business owners can create a special link to send to their buyers, simplifying the transaction process without having to integrate into a website E-commerce.

Previously Xendit had also launched Xendit Inventory Sync. The platform is in the form of multi-channel technology to help businesses manage inventory stock of products sold online at Tokopedia, Shopee, and sites such as Shopify and WooCommerce. Thus, business people can more easily monitor the amount of stock in each channel in one neat and integrated dashboard.

No IPO plans yet

When asked about the plan go public, either through a traditional IPO or SPAC, Moses said that currently there are other options that still strongly support the company's business, including private markets. Until now, 100% of management's concentration is to execute the above plans, especially the expansion of business expansion. The investor support obtained is also seen as an important response by investors stakeholder in the midst of market growth and competition.

In Indonesia itself, there are currently several players who provide services payment gateway. Some of them are players who have been in the industry for a long time. The list is as follows:

According to data compiled by Statista, the total value of digital payment transactions in Indonesia is projected to reach $56,7 billion by 2021; and grow to $90,2 billion by 2025 at a CAGR of 12,18%. One of the biggest contributors is e-commerce, with a total transaction value of $53,3 billion this year.