Business model of Zest Money ~ Business Plan, Revenue Model, SWOT Analysis


ZestMoney is a platform that uses mobile technology, digital banking, and Artificial Intelligence to make getting loans easy. While many lending organizations hesitate to lend money in the absence of proper credit history, ZestMoney is the platform that does not see the absence of credit history as a barrier to getting a loan. The business model of ZestMoney includes its business plan, revenue model, competitors, SWOT Analysis and many more.

ZestMoney through its AI-based machine learning decision engine creates a risk profile for every borrower. The ones who do not have sufficient credit history just need to provide some additional information based on which ZestMoney’s Decision Engine analyzes the credibility of the borrower and lends him money.

ZestMoney Finalising Funding Round From Existing Shareholders

Business Plan

ZestMoney’s business model comprises efficient working strategies like – Processing the Application, Credit Assessment, Approval of Credit Limit, and Partner Integration.

While making a payment through ZestMoney, you can pay in installments. After the purchase, the customer needs to repay the loan amount in monthly installments. ZestMoney provides a repayment schedule outlining the due dates and amounts for each installment.

ZestMoney: Fastest way to shop on EMI without credit card

Revenue model

ZestMoney generates the major chunk of its revenues from the Direct Selling Agency Fees, which is the money that the company collects from its lending partners (NBFCs) as a result of the various services like lead generation, KYC, customer care and branding, which it provides.

ZestMoney also charges a merchant commission on a fixed rate on products and services purchased by the borrowers from the merchants. Arranger fees are another vertical of revenue that ZestMoney has along with the other verticals, which consists of income from any other revenue wing.


Some of the major competitors of ZestMoney are:

  • Finzy
  • LazyPay
  • Snapmint
  • KredXIndia


STP is considered one of the best ways of marketing. segmentation divides the market into smaller groups on the basis of geography, demographic or behavioral profile. targeting refers to determining which segment you must focus your marketing tactics on in order to achieve your desired results and positioning means creating an image of your brand in the minds of the targeted audience.

ZestMoney segments its audience on the basis of geographic profile that is tier 1, tier 2, and tier 3 cities, and also on the behavioral profile according to their lifestyles.

ZestMoney targets tier 2 and tier 3 cities and on the basis of lifestyle, it targets middle-class people who cannot afford the full upfront payment of expensive items that they desire to purchase.

ZestMoney positions itself in the minds of its target audience by being a partner of all the big online sites and also creates awareness through content marketing.


ZestMoney is a Bangalore-based Fintech startup that is making borrowing possible for people who have an insufficient credit history. It offers personal loans only to customers who are using ZestMoney’s ‘Credit Limit’ service. As such one who wants to take a personal loan from ZestMoney needs to apply for ZestMoney ‘Credit Limit’ first. The article’s goal is to share knowledge and ideas about ZestMoney and how it emerged to be India’s top lender.