Pine Labs counters Paytm's ad with a swipe at credibility

Paytm, the embattled payment app, faced a direct hit from rival Pine Labs after the former published a front-page ad on February 19. The Pine Labs ad took a subtle dig at Paytm, stating, "The front page can be bought. Trust cannot." This jab was a reference to Paytm's recent regulatory troubles with the RBI, as the platform failed to comply with regulations despite repeated warnings.

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.#IndiaTrustsPineLabs #Payments #Fintech pic.twitter.com/Vceqi2k9X5

— Pine Labs (@PineLabs) February 20, 2024

Interestingly, while Pine Labs aimed to criticize its competitor, it paradoxically turned the situation into its own promotional opportunity by sharing the post on social media, effectively turning it into an ad.

On the mentioned date, Paytm highlighted its nationwide presence with Soundbox and QR codes in a leading newspaper ad, prompting Pine Labs to launch a competitive campaign against Paytm's claims.

Adding to Paytm's challenges, the RBI took stringent actions, effective January 31, 2024, prohibiting Paytm Payments Bank from accepting deposits, credit transactions, or top-ups in customer accounts. Furthermore, starting March 15, other banking services, including UPI facilities and fund transfers, will be halted for the platform.

The social media response to this development has been polarized, with some applauding Pine Labs for its witty response, while others criticize the move as kicking a rival when it's already facing difficulties.

PineLabs woke up & chose violence