What makes merchants adopt digital payments?

Digital Payments structure the bedrock of more profound monetary incorporation for smaller scale ventures, which establishes 99% of India’s roughly 60 million-in number miniaturized scale, little and medium undertakings (MSMEs). More extensive money related administrations, for example, credit, protection and riches the executives, can be logically and cost-successfully gave in digitized and customized arranges over computerized exchange impressions. Such access to moderate account can mean monetary strength and development for entrepreneurs that are generally defenseless against income instability and experience the ill effects of obliged access to funding to develop. Also, this can profoundly affect work creation, monetary development and personal satisfaction for many millions.

Electronic Payments

There are eminent supply-side activities to promote electronic payments, for example, the setting up of open foundation stages like the India Stack. We currently have interoperable and effective payment frameworks, for example, Bhim-UPI (brought together payment interface), which are winding up progressively dependable as they develop. It is trusted that such exchanges will just end up more secure with the eagerly awaited client agree based components to administer business utilization of information.

In spite of these ambitious activities, be that as it may, last-mile hindrances are as yet writ extensive. Conduct factors, feeble financial matters and low item importance limit utilization on the ground. For business people and retailers who have imaginatively adapted to money for quite a long time, advanced cash represents a financial danger to their casual organizations and, eventually maybe, to their very survival. What’s more, advanced suggestions that give prompt, substantial esteem and satisfactory dimensions of trust to private ventures are basically tricky.

The fundamental divide lies between merchants with investments in fixed establishments versus the longer tail of home-based businesses, street and roving vendors, and individual service providers. The former tend to be formally registered, higher educated and operate at a larger scale. They are early adopters of digital payment solutions, with 42% having tried and 35% using popular solutions like wallets and internet banking. In contrast, the latter categories of merchants are largely informal, illiterate, and operate on a smaller scale, showing 2-7% adoption rates. They also have much lower access to banking, smart phones and the internet, and have little awareness and understanding of digital payment solutions, as well as lower overall business confidence. Interestingly though, these businesses have significant cash footprint and demonstrate pain points around customer collections, need for working capital and the inability to save in large amounts, all of which can be addressed through appropriate digital financial solutions.

Indeed, even inside these general classifications, there is variety in business and social setting. Organizations with higher exchange size and turnover show more noteworthy propensity to receive. A few organizations—for instance, discount, comfort or claim to fame retail shops—additionally will in general have diverse exchange settings and client profiles. Illustratively, in our example, just 13% of the dairy corner traders had received digital payments versus 53% of the attire and footwear vendors.

Continue reading What makes merchants adopt digital payments?

Google Pay accounts for 54% of merchant transactions on Razorpay

Google Pay seems to have emerged as the most popular digital payments platform in India. Along with witnessing a constant rise in its user base, Google Pay has also become merchant favourite across platforms.

On converged payments solution firm Razorpay, Google Pay accounted for 54 per cent of merchant transactions. Razorpay in its report ‘Era of Rising Fintech’ said Paytm and PhonePe were way behind with 9.7 per cent and 11.9 per cent respectively merchant transactions on the platform. BHIM merely managed 4 per cent of those transactions, ETquoted the report.

In the past six months, Google UPI app has grabbed more market share than any of its competitors in the country. In this period, it saw its monthly active users reaching 45 million alongside Paytm and PhonePe.

In February, PhonePe and Google Pay were reportedly doing around 220 million transactions each while Paytm was leading the pack with 225 million transactions.

Last month, UPI recorded around 800 million transactions worth Rs 1,33,460.72 crore. Out of this, Google Pay recorded UPI transactions worth Rs 43,000-Rs 45,000 crore in March.

Whereas its rivals PhonePe and Paytm did 10K-15K crore less transaction in compare to Google pay.

Annually, Google claimed to hit $81 billion (or Rs 5.7 lakh crore) transaction run-rate in March. The tech behemoth is reportedly spending over $10-$15 million every month to draw more users on its platform.

Last month, Google Pay also partnered with Pine Labs to accelerate its offline transactions. The collaboration will give Google Pay access to over 3,30,000 point-of-sale terminals in over 3000 towns in India.

Meanwhile, the report hailed cards payment as a most preferred mode of transactions with 57 per cent of digital transactions. UPI accounted for 17 per cent while mobile wallets were at less than 2 per cent.

Among the multiple sectors where Razorpay is used, 42 per cent alone belonged to travel. Within three years of its operations, Razorpay claimed to have hit a run rate of $1 billion worth of transactions.

The report further outlined merchant demand for digital payments has seen a 70 per cent Year-on-Year (YoY) growth. Non-cash transactions are likely to overtake cash transactions in the country by 2023, it added.

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Source : https://entrackr.com/2019/04/google-pay-transactions-razorpay/

Google Pay is ahead of Paytm and PhonePe in UPI transaction value

Grabbing the lion’s share of UPI transaction has become imperative and priority for Paytm, PhonePe, Google Pay, BHIM and other UPI-enabled payments apps.

While government-promoted BHIM has not been able to take off, private players have grabbed the opportunity with freebies, discounts, and other luring features to gather more UPI transactions on their platform.

Early adopters like PhonePe and Paytm have been maintaining their mojo until tech giant’s Google UPI app – Google Pay silently started to eat up their market share with a new avatar (previously, it was known as Tez).

Up from 25 million monthly active users in September 2018 to 45 million monthly active users in March 2019, Google Pay is now neck to neck with Paytm and PhonePe’s volume with around 225 million UPI transaction.

In February, media reports suggested that PhonePe and Google Pay were doing around 220 million transactions each while Paytm was leading the pack with 225 million transactions.

Interestingly, Google Pay recorded UPI transactions worth Rs 43,000-Rs 45,000 crore in March. On the contrary, PhonePe and Paytm are said to have done transactions worth Rs 31,000-32,000 crore each.

An ET report also added that PhonePe is marginally ahead of Paytm in terms of the value of transactions.

This essentially means Google Pay is quite close to Paytm in terms of volume and way ahead of the Alibaba-backed company in terms of value.

Google in its official statement also said that it hit $81 billion (or Rs 5.7 lakh crore) annualised transaction run-rate in March.

In terms of average transaction value, Google Pay’s ATV is higher by 50 per cent compared to PhonePe and Paytm. According to recent data revealed by BharatPe, Google’s Pay ATV hovers around $4.6 while PhonePe and Paytm recorded their ATV as $2.6 and $2.4 respectively.

Till date, Google Pay is accepted at over 2,000 online merchants such as foodtech, travel, movie/event tickets, and even trading and investments. To gather more users, the tech giant is reportedly spending $12-15 million on a monthly basis.

Apart from P2P transfer and retail payments, Google Pay is also targeting its arch rivals through wealth management products like digital gold buying. It may enter into a full stack wealth management business and integrate other payments use cases to drive more transactions and build loyalty amongst customers.

Of late, Google has partnered with Pine Labs to boost its offline transaction where PhonePe is the market leader. The collaboration with Pine Labs will give access to over 3,30,000 point-of-sale terminals in over 3000 towns.

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Source : https://entrackr.com/2019/04/google-pay-upi-transaction-march/

UPI recorded close to 800 Mn transaction in March

UPI Interface

NPCI-owned payments railroad UPI has achieved a new milestone in March. The unified payments interface recorded almost 800 million (799.54 Mn) transaction amounting to Rs 1,33,460.72 in last month. It was an 18 per cent hike in transaction volume and over 25 per cent rise in transaction value.

In February (28 days), UPI registered 674.19 million transactions worth Rs 1,06,737.12 crore. In terms of transaction value, it was one of the highest leaps for UPI where it crossed Rs 1.3 trillion figure.

BHIM

@NPCI_BHIM

Cashless transactions have now become simpler and convenient thanks to BHIM UPI. @dilipasbe

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See BHIM’s other Tweets

Meanwhile, NPCI-regulated inter-bank electronic funds transfer system (IMPS) has once again become the hottest option chosen for fund transfer. The instant payment feature recorded 190.18 million transactions worth Rs 1,76,288.88 crore.

In February, IMPS registered  166.37 million transactions amounting to 1,49,342.60 crore.

The growth in UPI transactions has come on the back of faster adoption in UPI-based payments apps such as government promoted BHIM and private players like Paytm, Google Pay, Phonepe and others.

While BHIM continued to struggle for the past 3-4 months, Google Pay and PhonePe have grabbed the opportunity to compete against the market leader – Paytm.

For instance, Paytm reportedly clocked 221 million transaction volume in January followed by PhonePe and Google Pay that recorded about 220 million UPI transaction each.

Recently, Google Pay has also revealed that it achieved 45 million monthly active userslandmark and hit $81 billion annualised transaction run rate in March.

Apart from the aforementioned entities, there are 139 banks live on UPI platform.

Over the past year, domestic and global players have been throwing their hat in the fray to taste the success of UPI in India. Of late, Xiaomi and Amazon have launched their UPI-powered payment feature in India, on the other hand, Reliance Jio and Tencent-owned WeChat are also in the pipeline to launch it soon.

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Looking forward to develop a digital payment app? Then Our RPay is the right choice. We have talented designers and developers to turn your ideas into an excellent solution

Source : https://entrackr.com/2019/04/upi-800-mn-transaction-march/

Tencent is launching UPI-powered payments app WeChat Pay in India

Ever since its launch in April 2016, Unified Payment Interface (UPI) has been growing quickly and reached a milestone of Rs 1 trillion worth monthly transactions in December 2018. Sensing the opportunity in digital payments space, several global behemoths including Google, Amazon, WhatsApp and Xiaomi jumped to UPI bandwagon.

Following the footprints of above four global behemoths, Tencent-owned WeChat is also launching a UPI-enabled separate app for payments.

“Senior officials of Tencent comprising of Chinese as well as Indians met National Payment Corporation of India (NPCI) executives three weeks ago for obtaining a licence for full-fledged payments app,” said two sources inside NPCI on condition of anonymity.

Like Google Pay, it would operate only under UPI ecosystem. Sources emphasised that the app is likely to be named as it’s in China – WeChat Pay. “Tencent already had partnered with three banks – Axis Bank, HDFC and ICICI. It wants to have its own UPI handle (@wechat),” outlined sources.

The app would be launched by the end of May-June. “The company is registering an Indian entity for WeChat Pay,” outlined one of the internal sources at Tencent India.

In China, Tencent’s WeChat Pay is the second most popular payments app after Alipay. Last year it crossed more active users than Alipay’s 520 million in early 2018. While popularity of Ten Pay is largely driven by WeChat’s 1 billion plus DAUs, it’s not the case in India. Despite trying hard and spending hundreds of millions, Tencent failed to gain significant traction for WeChat.

Tencent’s plan to launch an UPI-powered payments app in India has come at a time when its game PUBG has been gaining quick popularity in the country. Since PUBG offers several in-app items for purchases, it could use WeChat Pay as by default payments option locally.

With the entry of Amazon and Xiaomi, the UPI ecosystem has become overcrowded and also turned hyper-competitive for incumbents like Paytm, PhonePe and Google Pay. Given that RIL-owned Jio and WeChat are also joining the UPI ecosystem, the battle for digital payments would be more fierce as well as expensive.

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PhonePe is the first UPI app that can be used at Walmart India’s B2B stores

Walmart India and Flipkart-owned PhonePe on Monday said they had entered into a partnership to launch PhonePe as a payment option at Walmart India’s 23 Best Price Modern Wholesale ‘B2B Cash & Carry’ stores.

Phonepe to walmart

Walmart’s `Best Price’ stores cater to the needs of different business customers by providing relevant products and solutions to individual segments. These stores target resellers, including kiranas and electronic outlets along with offices, institutions, hotels, restaurants, and caterers.   

The new partnership will allow registered members of Walmart India’s ‘Best Price’ stores to leverage different payment options on the PhonePe app, including Unified Payments Interface (UPI), PhonePe wallet, third-party wallet, credit and debit card.

This partnership makes UPI payments available for the first time at Best Price Cash & Carry stores.   Further, the collaboration will not be limited to Walmart India’s stores, but also extend to the retailer’s Best Price online platform and assisted-ordering solutions.

According to PhonePe, this collaboration with Walmart India is expected to accelerate the payment platform’s adoption by kiranas and other small businesses.The company has been aggressively pushing for offline adoption of its platform, since mid-last year.

Announcing the launch, Krish Iyer, President and CEO, Walmart India, said,

“This initiative reiterates our commitment to help kiranas and other small businesses to prosper. The PhonePe payment system will further help our members streamline their business processes. By using PhonePe in our B2B cash-and-carry stores, our members are contributing to India’s growth as an efficient digital economy.”

Commenting on the partnership, Sameer Nigam, CEO and Founder, PhonePe, said,

“We have been working closely with the Walmart India team to deepen our ties, and the launch of PhonePe’s payment solutions in Best Price Stores and on www.bestprice.in, the B2B ecommerce platform, is a step in that direction. With this partnership, we will be able to help these businesses digitise all their payment transactions – from taking payments from consumers to paying at Best Price Stores for their own purchases.”

In October last year, Walmart India said the company would invest close to $500 million to open another 47 stores by 2022, taking the total number of outlets to 70.

A move long due?

PhonePe is a subsidiary of Indian ecommerce behemoth Flipkart, which was acquired by Walmart Inc in May last year. The payments platform first dropped hints of the partnership after the Flipkart acquisition.

“…I would be excited to see whether there are opportunities in the offline space where we can accelerate our offline vision. Walmart has a strong focus to bring digitisation for kirana and offline stores, which are a part of its cash-and-carry network. In that, I would be excited to see if there are synergies being explored with PhonePe for digital payments and solutions in the digital space.”

PhonePe was the first financial platform to be acquired by Walmart Inc., which already has a digital payment arm, Walmart Pay.

This means that the retail giant is still learning about digital payments in the country. In an earlier interview, Rahul also added,

“Well, Walmart is learning a lot about payments through PhonePe, and they are excited about the approach and growth we have shown. We are talking, and they have been open to learning more and more about payments.”

Over the last two quarters, PhonePe has been aggressively working to launch newer offerings on its platform. In November last year, the company launched its wealth management platform, PhonePe Wealth Services Pvt. Ltd.

The company is looking to release tailored products around mutual funds and insurance on its platform, in the next six months.  It is also building its CRM solution, the PhonePe for Business app, which will allow offline merchants to get a digital view of their earnings and, in the future, even allow them to avail of other services, like credit and insurance.

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Looking forward to develop a digital payment app? Then Our RPay is the right choice. We have talented designers and developers to turn your ideas into an excellent solution

Source : https://yourstory.com/2019/02/phonepe-first-upi-app-walmart-india-9ogdoin8h8?__sta=jo.mdhqvshbxb.nqsbsocsf%7CBYJ&__stm_medium=email&__stm_source=smartech

Why digital payments?

In excess of 2 billion individuals on the planet are as yet unfit to take an interest in the formal money related framework. The larger parts are women. This makes it incredibly troublesome for needy individuals to put something aside for the future, accommodate their family’s wellbeing and kids’ training, or put resources into a business. The cruel the truth is that the best way to make or get payments for some needy individuals over the world is by utilizing paper cash in the casual part – which is a hindrance to the utilization of formal money related services. Money based exchanges are likewise normally dangerous, costly, awkward, wasteful, and need straightforwardness for governments, organizations, and natives alike.

At the point when digital payments—regardless of whether on cell phones, cards, or on the web — wind up accessible to everybody, everybody in the economy can profit by the results! These include:

Precision and Security

Straightforwardness and responsibility are more earnestly to accomplish with money payments since they are unknown and hard to follow. Digital Payments increment responsibility and following, diminishing the danger of debasement and robbery.

Continue reading Why digital payments?

Are digital payment methods replacing money in our humanity?

The inclination for cashless payments offline and one-contact payments online is changing the internet business scene. Purchasers need to have the capacity to pay whenever, anyplace and with least issue. Versatile wallet innovation is a main thrust behind this change as it enables purchasers to utilize their cell phones to make buys in a hurry utilizing Near-Field Communication (NFC) Technology.

As far as digital payment solutions, however, and as in each circle of innovation, purchasers expect continually progressively “canny” payment solutions. That is, omnipresent methods for paying for merchandise and enterprises that are speedier, less demanding, versatile and, most importantly, secure.

Top digital payment methods

Apple Pay

With 87 million clients worldwide starting at 2017 there’s no denying that Apple Pay is driving the path in digital payment innovation. In this exceedingly competitive scene, Apple keeps on furnishing clients with what they want: a sheltered, brisk and simple approach to pay on the web and in a developing number of in-store areas.

Apple Pay is a type of mobile wallet innovation that enables a purchaser to make buys in physical shops, on the web and in-application, all without rounding out extensive structures and payment data. As usual, Apple gives the market what it needs. A streamlined, simple arrangement acknowledged in actually a huge number of areas (both physical and advanced) in the UK.

PayPal

PayPal is another commonly recognized name that any online customer or web based business entrepreneur alike would perceive.

Continue reading Are digital payment methods replacing money in our humanity?

Xiaomi launches UPI-powered Mi Pay in beta

Unified Payment Interface

Unified Payment Interface (UPI) has turned out to be a battleground for global and local heavyweights. Besides Paytm, Google, PhonePe, TrueCaller and MobiKwik, likes of WhatsApp, Jio, Amazon among several others want a slice of fledgling digital payments market that set to grow to $1 trillion by 2023.

Xiaomi (Mi)

Xiaomi is no exception. Joining the league of aforementioned firms, smartphone brand Xiaomi is also tapping into consumer payment space in India with UPI. The company is getting closer to launch Mi Pay for masses as it received approval from NPCI.

Currently, Xiaomi is testing Mi Pay in beta (link) with ICICI and PayU. “NPCI has cleared Mi Pay for large group usage, due to which its beta testing is going live, and soon it will be available for all MIUI users,” mentioned a community post in Mi forum.

National Payments Corporation of India (NPCI)

Unlike WhatsApp (restricted to one million users), NPCI has given nod to Xiaomi for large group usage. Mi Pay will let users transfer fund, execute payments for several use cases including bill/recharge, water, and electricity bill using UPI framework.

It’s worth noting that Xiaomi is also planning to launch NBFC ‘Xiaomi Financial Services India’ and seeking RBI licence for it. The company also leveraged its investee KrazyBee to launch micro-lending platform – CreditBee.

UPI has been growing at a fast pace ever since its launch in November 2016. Last month, NPCI-owned digital payments railroad had crossed 500 million transactionmark.

At present, Paytm dominates the UPI ecosystem followed by PhonePe and Google Pay. In October, the SoftBank-backed firm had claimed 37 per cent of overall UPI transaction.

Meanwhile, Jio is also awaiting approval from NPCI for UPI service. Its entry along with WhatsApp will heat up competition in the segment.

With several behemoths have been competing in UPI ecosystem while some are awaiting regulator clearance, the road for Mi Pay won’t be smooth. Going forward, it would be interesting to watch how stalwarts fight for supremacy in the digital payments landscape.

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As E Wallet assumes a forceful job in the present business world, Roamsoft built up a digital wallet platform, RPay with mobile amicable highlights, very much archived API s, modules that suits all major Ecommerce platforms.

Source : https://entrackr.com/2018/12/xiaomi-upi-mi-pay/

How wallet companies like Paytm, MobiKwik, Oxigen Wallet are annoying to avoid false mobile transactions?

With headway in innovation, things around us have changed radically. Innovation takes into account man’s solace and accommodation. With the assistance of your smart phone, you can do everything. Be it requesting nourishment or basic supplies, booking a taxi or motion picture tickets, and so on.

With the presentation of Mobile Wallet, it has turned out to be to a great degree helpful for a man to make cashless exchanges. Also, despite the fact that various organizations have sprung up in India, offering purchasers this item called ‘mobile wallet’, there is as yet an absence of mindfulness among individuals about the idea and its utility.

What is a mobile wallet?

Mobile wallet is the digital equivalent to the physical wallet in which we carry money. It is an online platform which allows a user to keep money in it, just like a bank account.

Continue reading How wallet companies like Paytm, MobiKwik, Oxigen Wallet are annoying to avoid false mobile transactions?