Targeting offline business, Paytm shifts cashback from P2P payments to merchant payments

Alibaba-backed digital payment firm Paytm has announced to shift its focus to offline merchant payments from incentive-led peer-to-peer (P2P ) UPI payments.

The payment firm will now invest money in offline merchant expansion, for which it claims to have high-frequency usage. It plans to partner over 20 million kirana stores enabling them to accept the digital mode of payments including UPI, wallets and cards.

The move is part of the next growth strategy, where Paytm eyes to reach out to smaller cities and villages.

By investing in real merchant payments even in the remotest part of our country, we will help expand the vision of Digital India to the grassroots.” said Deepak Abbot, senior vice president of Paytm in a press statement.

The Noida-based firm, by cutting cashback on P2P payments, believes that Paytm users, who have been using the app for long now do not need cashback push to keep transacting on the platform.  Instead, cashback will be given to those who are not yet part of digital payments, the company said.

The move will further also help weed out artificial transactions on the platform. Besides, it also plans to invest in lending and insurance to help merchants get better access to capital and provide more financial security.

In May, it claimed to clocked over 70 million of the estimated 120 million UPI-based merchant transactions. With about a 10% MoM growth in this segment, it has claimed to have 60% of UPI-based merchant payments market share.

In FY 19 Paytm clocked about 5.5 billion transactions. The payment major aims to cross over 12 billion transactions in the next 18 months.

In offline merchants base segment, PhonePe, which has about 1 million offline merchants, competes against Paytm. Google Pay has also piloted the offline payment service with kirana stores.

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As E Wallet plays a mighty role in today’s business world, Roamsoft developed a digital wallet solution, RPay with mobile friendly features, well documented API s, plug-ins that suits all major Ecommerce platforms.

Source : https://entrackr.com/2019/06/paytm-cashback-from-p2p-payments-merchant-payments/

Exclusive: BharatPe is raising $75 Mn led by Insight Partners at 6X valuation

Fintech is hot in India and investors are continuously chasing deals as they don’t want to miss on the opportunity of making a killing out of the fledgling segment. While Paytm and PhonePe have been negotiating fresh rounds with Alibaba and Tencent-Tiger Global respectively, QR code-based payment app BharatPe is raising at least $75 million in a fresh round.

According to two Entrackr’s sources, the firm has finalized $75 million round led by Insight Partners. “Existing investors along with a couple of US-based hedge funds are also participating in the Series B round,” said aforementioned sources.

Sources requested anonymity as they aren’t authorized to speak to the media.

The Series B round is coming just after three months of raising $15.5 million from Sequoia Capital, Beenext and Insight Partners. “Insight had invested only $5 million in the Series A round. However, in this round, the global venture capital firm is pouring in $35-38 million. Sequoia is participating in the round on a pro-rata basis,” added sources.

Importantly, BharatPe is trying to take the round up to $100 million. “It’s in advanced talk to raise additional $25 million but nothing has materialized beyond $75 million at the moment,” emphasized sources.

It’s worth noting that BharatPe was valued anywhere between $60 to $65 million in Series A round. But its valuation is set to soar 5 to 6X. “The firm is valued about $330 to 350 million in the fresh Series B round,” mentioned sources.

This is eye-popping valuation in a very short duration – only three months.

Besides backing from institutional investors, BharatPe also raised capital from bluechip angels including American Express’ top executive Sanjay Rishi, PayU co-founder Nitin Gupta, PineLabs CTO Nipun Mehra, ex Paytm and Tokopedia VP Amit Lakhotia, and Hero group Akshay Munjal.

“The deal is likely to be announced in the next couple of weeks,” outlined one of the aforementioned sources. Queries sent to Insight Partners and Sequoia Capital did not elicit an immediate response while BharatPe declined to comment on the matter.

Last we heard, the company claimed to have about 9 lakh offline merchants who drive over 350K transactions on a daily basis via its platform. Apart from powering payments via interoperable UPI QR codes, it recently began disbursing loans to the merchant based on transaction histories.

BharatPe has partnered Apollo Finvest to offer loans with ticket sizes between the range of Rs 10,000 to Rs 1 lakh at a lucrative interest rate of 1.67%.

BharatPe has emerged as a strong player in the UPI segment in the past couple of years. The UPI ecosystem is largely being fought by deep-pocketed players such as Paytm, PhonePe and Google Pay. By focusing on QR code payments meant to be used across offline merchants, the firm has scaled up really fast.

wallet

As E Wallet plays a mighty role in today’s business world, Roamsoft developed a digital wallet solution, RPay with mobile friendly features, well documented API s, plug-ins that suits all major Ecommerce platforms.

Source : https://entrackr.com/2019/06/exclusive-bharatpe-raise-75-mn-insight-partners/

NPCI to credit online payment to e-comm firms only after product delivery

Payment transactions through Unified Payments Interface (UPI) have witnessed decline for the last two months. After hitting a record high to 799 million transactions in March, UPI witnessed 781 million and 733 million transactions in April and May respectively.

The recent downfall has worried the National Payments Corporation of India (NPCI), which developed an instant real-time payment system three years ago.

NPCI, to drive its growth, is planning to bring non-adapting online users on UPI platform by creating an escrow-like mechanism with e-tailers and marketplaces.

It is reportedly working with Amazon and Flipkart. Under the mechanism, e-tailers will receive payment only after delivery is confirmed by the buyers. The payment at first will be kept in the escrow-like account by UPI. Once the delivery is confirmed it will be credited in e-tailers accounts.

NPCI is planning to launch this mechanism within one and a half months, as per a TOI report.

However, despite a slowdown in volume, the UPI value of transactions has not been affected. In April, as per NPCI data transactions worth Rs 1.53 lakh crore were made, up 7.3% from April.

The move is largely aimed at roping in new online buyers.

As per industry observers, NPCI-move will help drive more adoption of UPI payment. Besides, NPCI is also planning to push for retail investment in IPOs via UPI

At present, about 143 banks are live on UPI.

Among non-banking players like Google Pay, Paytm and PhonePe are top three firms, who have continuously been witnessing reshuffle in terms of the transaction volume as well as value.

Though, in the last three months, the Google-owned payment firm outran its rivals

As per latest figure, Google-owned payments app Google Pay emerged as the largest contributor of NPCI-owned UPI payment, recording 240 million transactions amounting to Rs 55,000 crore in May whereas PhonePe and Paytm registered 230 and 200 million transactions worth Rs 44,000 crore and Rs 38,200 crore respectively.

Google Pay contributed over 32% in overall 733 million UPI transactions that took place last month

wallet

As E Wallet plays a mighty role in today’s business world, Roamsoft developed a digital wallet solution, RPay with mobile friendly features, well documented API s, plug-ins that suits all major Ecommerce platforms.

Source : https://entrackr.com/2019/06/npci-e-tailers-after-product-delivery/

Paytm claims 50% market share in payment gateway transactions; 5X greater than PayU

Vijay Shekhar Sharma-led digital payment firm Paytm has claimed a leadership position in payment gateways with processing over 400 million transactions for merchants every month.

Noida-based payment firm clocked higher gross volume and value transactions than its biggest rivals PayU and Razorpay. Paytm, without disclosing the value of the transactions, processed five-time more transactions than its nearest competitor, the company said in a release.

At present, Nasper-backed PayU processes reportedly around 100-120 million transactions whereas Razorpay has not made its number public. Though, Razorpay claims to add new merchants at the rate of almost 20% per month and witnessing a 15% growth in gross payments.

In April, Paytm did transactions worth Rs 20,000 crore in April whereas PayU and Razorpay clocked around Rs 10,000 crore and Rs 3,000 crore in last month, said a TOI report citing industry data.

Paytm, in the last couple of years, has pushed aggressively for payment gateways business with e-commerce firms. It has garnered a major share of digital transactions for brands including Uber, Zomato, OYO, Dominos, IRCTC, Jio, Club Factory, and Big Basket among others.

Transportation, food delivery and gaming emerged as the fastest growing categories for payment gateway transactions, mentioned the company’s press statement. Paytm offers a gamut of payment solutions from instant plug-and-play offerings to deep platform integrations.

In last one year, Paytm saw 3X growth on third-party apps and websites.

We are committed to delivering more innovative offerings tailored to meet the requirement of the ever-evolving payment to further consolidate our leadership, said Kiran Vasireddy, COO – Paytm.

Recently, Entrakr had exclusively reported that Vasireddy is leaving the payments firm along with former Paytm Mall COO – Amit Sinha.

Softbank and Alibaba backed firm also claimed high success rates for almost all payment method including UPI and RuPay cards. It claimed to drive significant checkout volume with 150 million saved cards and bank accounts in its system.

In February, the RBI has proposed to regulate payment gateway service to make them more transparent and accountable.

wallet

As E Wallet plays a mighty role in today’s business world, Roamsoft developed a digital wallet solution, RPay with mobile friendly features, well documented API s, plug-ins that suits all major Ecommerce platforms.

Source: https://entrackr.com/2019/05/paytm-5x-payment-gateway-transactions-payu/

Here’s a closer look at Paytm’s first ever credit card

Indian digital payments major, Paytm, on Tuesday announced its foray into the credit card business with the launch of its Paytm First credit card, co-branded and issued by Citibank India.

According to the company, the contactless-enabled card issued by Citi will provide one percent cashback on all transactions made by the user, without any restrictions. The cashback will be auto-credited to the card every month.

In addition to this, the company said the card will be accepted in India and internationally, and comes with an annual fee of Rs 500, which will be waived off on spends exceeding Rs 50,000 per year.

Users can also avail exclusive offers on dining, shopping, and travel amongst others on the globally-acclaimed Citi Privileges platform. Further, the card EMI paid by a consumer will be subjective.

 

In a statement, Paytm said that customers can apply for a credit card on their Paytm app, where they will also be able to conveniently track offers through the Paytm First Card passbook.

Paytm First Card customers will also be awarded Paytm promo-codes worth Rs 10,000 on spending a minimum of Rs 10,000 on the credit card within the first four months of issuance, said the company. The Paytm First Card passbook not only allows customers to track their credit card transactions, but also highlights exclusive offers, both from Patym and Citi on a real-time basis.

Speaking on the launch, Vijay Shekhar Sharma, Chairman and CEO – One97 Communications, the parent of Paytm, said,

“We are delighted to partner with Citi to launch the Paytm First Card. Our new offering is designed to bring utmost flexibility to our customers in their digital payment options and will help spur large-ticket cashless payments. We are confident of getting a very good response from our customers.”

Paytm will identify the potential base using a selection tool, jointly developed by Citi and Paytm, to assess credit worthiness. This provides an innovative alternative to underwrite customers, who otherwise may or may not have a credit history.

Paytm also added that the Paytm First card will be offered based on an individual digital behaviour, and has nothing to do with ‘Paytm First’, the company’s premium subscription-based rewards and loyalty programme, launched in March, this year.

Stephen Bird, CEO, Global Consumer Banking, Citi, added,

“Paytm First Card gives us the opportunity to extend our expertise in credit card services to a new all-digital consumer base. What began as an institutional relationship for Citi has grown into a stronger and deeper partnership across the Citi franchise. Today’s announcement affirms how Citi is establishing itself globally as the partner of choice to accelerate growth for our partners, customers, and business.”

However, One97 Communications and Citi’s collaboration goes a long way.

One97 Communications started as a Citi Commercial Banking client in 2009. To support the firm’s growing ambitions, Citi was an advisor on the initial investment by Ant Financial in February 2015 and the subsequent strategic investment by Alibaba Group and Ant Financial Services Group in 2016.

In November 2016, Paytm wallet was integrated with Citibank online and mobile app to make it convenient for Citi’s customers to top up their Paytm wallets online. Citi and Paytm have subsequently, and periodically, built exclusive offerings for Citi debit and credit card customers, such as cashback on movie tickets booked on the Paytm app.

Shinjini Kumar, Country Business Manager, Global Consumer Bank, Citibank India, added,

“The introduction of Paytm First Card is reflective of Citi’s commitment to partner with leading brands and to expand India’s digital ecosystem. Integrating the Citi service experience within a Paytm proposition will build engagement, thereby driving usage.”

Last week, YourStory reported that Paytm’s banking arm, Paytm Payments Bank, was also in talks with Visa to issue contactless debit cards. In addition to this, the payments major was also working with Visa to launch contactless point-of-sale terminals for its merchants who are new to card acceptance.

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As E Wallet plays a mighty role in today’s business world, Roamsoft developed a digital wallet solution, RPay with mobile friendly features, well documented API s, plug-ins that suits all major Ecommerce platforms.

Source : https://yourstory.com/2019/05/paytm-first-credit-card-citibank-vijay-shekhar-sharma?utm_source=Firebase&utm_medium=browserpush

Google Pay most downloaded fintech app in 2018 globally, recorded 6X more install than PhonePe

Google Pay is the most popular digital payment app in the country. The Google-owned app was most overall downloaded fintech app last year as per Sensor Tower data. It was downloaded over 327 million times, with over 6X lead from second most downloaded fintech app.

PhonePe, at the second spot, got about 49 million installs. It’s worth noting that Paytm has been the most popular payments app. However, owing to Paytm Mall, Sensor Tower and Similarweb consider it in the shopping category, not in payments.

Both the apps (Google Pay and PhonePe) were also top most downloaded fintech apps on Google Play Store worldwide. They were followed by Alipay, Paypal, and Cash Back. The National Payment Corporation of India (NPCI) developed BHIM was at the eighth position on overall download and fifth on Google Play.

Google Pay sensor Tower

Google Pay has in last one year witnessed a phenomenal growth in terms of a number of active users. From 25 million monthly active users (MAU) in September last year to 45 million MAU by March 2019, it has added the most number of users in the period.

In terms of UPI transactions, Google Pay has left behind its close competitors such as Phone Pe and Paytm.

In March, out of total UPI recorded transactions 800 million worth Rs 1,33,460,72 crore, Google Pay recorded UPI transactions worth Rs 43,000-Rs 45,000 crore. Whereas its rivals did transactions worth below Rs 32,000 crore.

Google Pay’s average transaction value (ATV) is higher by 50 % compared to PhonePe and Paytm.

Google-owned firm has become a preferred app for merchants. As per a report by Razorpay, Google Pay accounted for 54% of merchant transactions, which is 8 percent lesser than last year figure, on its platform.

Meanwhile, Similar Web Data also had almost similar ranking for fintech apps downloaded on Google Play Store. Google Pay and Phone Pe were top fintech apps. BHIM was at ninth place.

The rapid growth of private players has made a huge dent on government-regulated BHIM. In the last two years, the BHIM app has lost its market share. It processed about 1.9% of all UPI transactions and accounted for 4.6% of the amount transacted in April. The number of transactions on the BHIM UPI app was 15.2 million for the month of April.

As E Wallet plays a mighty role in today’s business world, Roamsoft developed a digital wallet solution, RPay with mobile friendly features, well documented API s, plug-ins that suits all major Ecommerce platforms.

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As mobile wallet plays a vital role, Roamsoft introduces a digital wallet platform “RPay” with customer app, merchant app, end- to- end admin panel. If you want to possess your own digital wallet solution then RPay is the right choice.

Source : https://entrackr.com/2019/05/google-pay-most-downloaded-fintech-app/

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

Role of RPay platform in developing Pop pay

Overview of Pop pay

Pop Pay is structured and developed to bring Caribbean Island closer to being a cashless society.

Pop Pay is a secure and smart way to carry electronic money in smart phone, giving the convenience of paying for anything, anywhere on-the-go.

Pop Pay brings easy to use options that are designed to be accessible, convenient and simple backed by reputed partners to provide security and a credible and reliable customer experience.

Pop Pay provides a convenient way for a user to make in – store payments and can be used at merchants listed with the Pop Pay service provider

RPay- Overview

RPay is a customizable Digital payment script system with wallet & QR code features. It is feature-packed wallet Script software seamlessly manages business with payments, promotions. Our script is packed with different UI designs, user-friendly interface, eye-catching color combinations etc.

Continue reading Role of RPay platform in developing Pop pay

Building up a digital wallet that would be cherished by all individuals

Transactions dependably give you the following dimension of rivalry for flawlessness. Purchasers are getting increasingly more depended on the savvy gadgets. Driving the race of savvy gadgets, advanced cells have made a flawless space in the lives of individuals.

The excitement fragment, as well as individuals is overwhelmingly utilizing the innovation to purchase and offer everything extending from basic need to booking tickets for their weekend.

What exactly a mobile wallet?

A portable wallet is a monetary instrument that enables organizations and people to get and send cash by means of smart phones.

mobile-wallet

It is a kind of web based business model that is created with cell phones inferable from their accommodation and simple access. A mobile wallet is additionally called portable cash or a versatile cash exchange.

Continue reading Building up a digital wallet that would be cherished by all individuals

Why digital wallets reform payments? – Rpay Wallet

A digital wallet (otherwise called a virtual wallet or e-wallet) enables clients to store and exchange finances between clients without transferring cash through customary saving money systems.

A virtual wallet can in a split second send and get cash incalcuwaable circumstances while never leaving the platform. It acts like an online piggy bank where an individual or gathering of individuals can contribute cash to it. The wallet is then capable send that cash to one or different wallets, rapidly and easily.

At this point, the greater part of you would have utilized a form of a computerized wallet – PayPal, Google Pay, Apple Wallet, etc.

These are quite normal sorts of computerized wallets enabling a client to stack cash into the wallet and afterward utilize that wallet to purchase merchandise or administrations through their platforms, distributed exchanges or crosswise over online business.

The advantage being that once the assets are in the wallet, the platform can move it around without it being on a conventional managing an account organizes, sparing time, cash and furthermore permitting universal exchanges immediately.

The user cases and abilities of a digital wallet take into account some astounding and novel situations.

Continue reading Why digital wallets reform payments? – Rpay Wallet