Policybazaar IPO

PB Fintech Ltd. IPO - SWOT Analysis

Strengths:

Policybazaar serves as the country’s largest digital insurance marketplace and occupies a market share of 93.4 per cent in terms of the number of policies it sold in FY2020.

It has high rates of renewal that show clear visibility to its future operations and has delivered well.

Policybazaar makes use of a capital-efficient model, which incurs minimal operating costs.

Weaknesses:

Policybazaar’s dependency on the cooperation of insurers and lending partners is a potential liability for the company.

The ongoing Covid19 pandemic continues to have an adverse effect on the economy, which in turn impacts Policybazaar.

Opportunities:

The presently online insurance retailer is now seeking to create an offline presence for itself via 15 physical stores. Expansionary goals seek to eventually have 100 stores spread across the country. New group health insurance programmes will be available to SMEs, MSMEs and large corporations.

Threats:

The fintech landscape within which Policybazaar operates online is highly competitive.

Disruptions to its IT systems and infrastructure can prove to be detrimental.