Mobile ad startup- PayTunes raised $500,000 from IAN CIO & others


PayTunes– A mobile advertising platform, based in Delhi gets funded fordownload (3) approx $500,000 in pre-Series A round. The new investors in the bag is Indian Angel Network (IAN) along with existing investors CIO Angel Network. Other angels were Apurva Parekh from Pidilite and Sanjay Mehta.

Plans Ahead-

  • Expansion of sales team.
  • New marketing plans.
  • Integration of ‘ads on Caller-tune’ feature to increase the reach.


Founded in July 2015, by Divya Pratap Singh, Gaurav Tiwarie4c40-kphmfpx3 and Rakesh Sehgal. Amit Naredi later joined the trio as a co-founder.  Startup provides audio visual advertisements to advertisers and brands for marketing agendas reaching masses through their smart phones. Last year CIO Angel Network invested $100,000 in the firm.


PayTunes recognized that conventional methods like TV and Radio aren’t controlled form of advertisement. It don’t let users target the required audience thus inappropriate use of resources. So they offer entirely a new form of advertisement. They use the conventional audio ad which is broadcasted to user on mobile on an incoming call, combining with graphic ad to complete the audio-visual effect on the user.

Working Parameters-

Paytune currently is using two systems separately for consumers and users. It replaces mobile ringtones with ad jingles from the customers. The users are benefited in form of points which are earned in lieu of played ad. Later these points can be redeemed for mobile recharges and bill payments. It claims to have 4 lac+ app downloads with major users in Delhi-NCR, UP, Gujarat, Mumbai-Pune, Rajasthan and Bihar.

With the second system, for brands startup is completely an ad platform with built-in analytics. Here brands can choose among which set of users they want to advertise, depending on parameters like geography, demography etc.

User base-

In last reports, Firm stated college students & job doers under 33 years are majority of their users. Plans are to reach million users by end of 2016. Currently it is working with 25+ ad firm all over India along with campaigning  for big  brands like Nissan motors, Jabardast HIT FM, Vodafone,, Amazon etc. recently. ICICI, Pidilite, Pepsi, Easy Cabs, Mahindra are some brands that has shown interest and positively will associate later. Startup claims to be the only mass medium apart from YouTube with 2 million+  daily reach.

 Vishal Khare, lead IAN investor, said, “Today most of the branding spend goes in traditional media such as TV, Radio and Print. PayTunes presents a great opportunity for brands to reach mobile consumers extensively with the traditional audio-visual ad in its very own digital way.”

Mobile advertisement  has spend  $100 billion+, viz  51 percent of total digital ad sector spending and by 2019 it seems to reach at 70%. In India total digital ad spending is $1 billion, mobile ad expenditure taking it’s piece with 18% with approx. $180 million. By 2019 the stats are assumed to go up to $2.17 billion and mobile is seeking at contributing $1.23 billion viz. 56 percent of total digital advertising expenditure.

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