Infollion Research Services Ltd – Moated Microcap with Differentiated business?

I have been a user of both GLG and Infollion in my professional job and can give you my perspective

Pros

1. Infollion is `30-50% cheaper compared to GLG for end clients like myself. This is driven by their lower take rates, lower cost structures, and lower cost paid to the end experts. The same expert is available both on Infollion and GLG will be paid lower per hour rate on Infollion
2. Much more flexible in my requests and has lesser compliance overheads

Cons

1. Infollion doesn’t have an international pool of experts. So if i need international perspective I have to go to GLG

Overall, Infollion wins primarily on price and I feel there is enough takers for that value proposition as the concept of expert networks gets further adopted in India. They can do more things to build deeper specialisation. There is limited scope for a new value player to come up and compete head-on with Infollion due to established network effects and reluctances of the customers to work with multiple vendors