Paytm on Wednesday said it had registered over 70 crore transactions in June 2019. Notably, this number is more than the total transactions done by all UPI-based payment apps. In case you are not aware, Amazon Pay, Google Pay, Whatsapp Pay and Phonepe are all UPI-based payment applications.
Paytm has attributed the highest number of transactions to the flexibility that it offers to its large customer base. In addition, Paytm users get an option to select their preferred payment methods like wallet, UPI, cards and net-banking. Comparatively, its rivals are more focussed on cash-back on peer-to-peer (P2P) transactions for growth.
Paytm has already announced its plans to move away from incentivizing P2P transactions and commit the same money towards achieving growth in offline merchant payments. With a market share of 80 percent, it is eyeing more than 2.5 crore merchants in 2019-2020 financial year.
Deepak Abbot, Senior Vice President at Paytm said: “Paytm has achieved 700 million digital transactions in the month of June 2019, which is higher than overall UPI total transactions. Importantly, Paytm holds an 80 percent share in the offline payments which is more than the card network as well. Most stores across the country accept Paytm which reflects our commitment towards the cashless nation.”
On the feasibility of other players’ business growth, Abbot said: “We learned that other players are converting UPI into a heavily incentivized P2P method to show value and volume uptake, we already have the same user transacting on our platform for various other services. We decided to stop the incentive on P2P and committed the same money to merchant payment growth.”
Besides, last month, it was reported that Paytm is planning to invest Rs 250 crore this year for the expansion of Paytm QR in tier IV and V towns. With this investment, the company is expecting to reach “more than 20 million merchants across India by the end of this fiscal.” Paytm unveiled QR code-based payments to help merchants receive money directly into their bank account.
“More than 1.2 crore merchants across the country already accept payments through Paytm QR. However, the majority of these are based in larger towns and cities. We are aiming to reach merchants in smallest of towns across India such as Ajmer, Bekgaon, Kurnool, Rohtak, and Latur,” Paytm Senior Vice President Deepak Abbot said.
– With inputs from IANS