Bengaluru-based travel fintech company, Scapia, has recently secured $9 million in a seed funding round led by Matrix Partners India. Other investors participating in the funding include Tanglin Venture Partners, 3STATE Ventures by Binny Bansal, and prominent angel investors such as Keki Mistry, CEO of HDFC Ltd. This funding will be instrumental in fueling the company’s operations and enhancing its technological capabilities.
Founder Anil Goteti highlights the opportunity to cater to millennials’ growing interest in travel by offering a primary card that effectively rewards them with travel benefits and perks. Scapia envisions meeting this demand by providing a trustworthy app with transparency in its services. Notably, the company aims to tap into India’s burgeoning credit card market, where less than 5% of the population currently own credit cards, and the country is projected to have 200 million credit cards in circulation by 2030.
At the core of Scapia’s business model is the conversion of customers’ everyday expenses into travel rewards, which are accumulated and stored in a co-branded card launched in collaboration with the Federal Bank. This card operates on the Visa network and offers a lucrative 10% reward on every transaction, converting these rewards into Scapia coins.
Customers can then utilize these Scapia coins to redeem flights and hotel bookings, providing them with the flexibility to travel when they desire. Additionally, the company offers convenient payment options like ‘travel now, pay later’ to enhance the overall customer experience.
Scapia goes above and beyond by providing various rewards, including a zero-forex markup, access to domestic lounges, and zero joining and annual fees. These added perks make the card even more appealing for travel enthusiasts and savvy consumers.
In conclusion, Scapia’s successful seed funding round will undoubtedly empower the company to cater to the growing demands of millennials seeking travel benefits. With its innovative approach of converting expenses into travel rewards and a host of enticing perks, Scapia is poised to play a significant role in India’s rapidly expanding fintech landscape.
