Thread by @jshilanjanm

Tech had always been HDFC Bank’s big weakness. And, @bhavintu led Zeta is set to change that forever! ✅

HDFC Bank’s apps & website have earned a serious reputation for bugs & recurring outages.

Here is all there is to know its Digital 2.0 project meant to solve this 👇

The project was meant to rebuild its consumer-facing tech 🤳🤳

For this, it brought in Zeta with the precondition, that it won't take any new project from another Indian bank for a set timeline.

But, what’s Zeta?

It’s an 8-year-old banking tech startup that has previously worked with likes of RBL Bank, Axis Bank & IDFC FIRST Bank.

However, HDFC Bank’s mandate is Zeta’s most consequential project ever.

Think this way 👇

HDFC Bank is India’s No.1 private sector bank with 7.5cr+ retail customers & Rs 20Lcr+ deposits.

Yet, it couldn’t build a good consumer-end tech. And if Zeta makes it happen, that will be a big boost to its credentials.

Zeta is building 2 things:
📲 an all-new PayZapp application
💳 a credit card issuance tech stack

The launch of the platforms is due in the next few weeks.

Let us first talk about PayZapp 👉

🔰 It was always pitched, promised & promoted as a competitor to Paytm, PhonePe & SBI’s Yono

🔰 But, all it is recognized as is a slow-loading payments app

🔰 Zeta’s new PayZapp is meant to change that

The fact that Zeta has previously worked on similar use-cases with 30+ fintech companies & banks helps boost its credentials & capabilities.

Moving on to the new credit card issuance stack 👉

It’s actually abt challenging the BNPL challengers.

To the consumer, BNPL systems are no different from credit cards. There is hardly any difference in the core offering, except the lack of lounge access & deals.

🔰 What Zeta is building for HDFC Bank is something similar

🔰 They are building a stack wherein anyone could get a *digital* credit card issued in a few clicks

🔰 This will help the bank attract new customers, and to contain the credit share loss to challenger BNPL platforms

But, why is the project so important to Zeta?

🔰 It will be free to sell those platforms to other banks in coming years

🔰 Like Infosys’ launch of Finacle in ’99- That one product played a big role in turning most of the global banks into an Infosys customer

It is that very potential, banking on which it has raised $280mn since the deal was signed! 💰💰💰

The investors have taken a bet that Zeta’s banking products will end up being the must-haves for every serious bank out there.

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