In response to the growing need for Solutions for digital payment in Kirana, new payment frameworks have taken root in the country as a result of the pandemic-driven behavioral shift in customers.
Acceleration (tech-led acceleration) has altered the financial environment in recent years. The usage of paper-based payment methods such as checks and demand draughts has decreased dramatically in terms of volume and value, while digital payments have grown in popularity on both counts.
Then came the pandemic, which hastened this shift into the consumer world. Simply put, the global financial crisis has changed the way people handle their money. This new financial picture is here to stay as individuals return to routine, resulting in increasing consumer demand. Going digital when economies recover is not just a simple option for customers and merchants, but it is also a critical component of the route to economic recovery.
Leading Digital Payment Company in Retail
The retail digital payments business has soared to new heights in the last year as more individuals shied away from cash in fear of catching Covid-19 and shifted to the digital method of transactions for convenience. According to Reserve Bank of India data, digital transactions accounted for 98.5 percent of total non-cash retail purchases in the 2020-21 timeframe, with credit transfers being the most popular method. The prior year's figures were 97.0 percent.
As per RBI statistics, credit card payments are the most popular, but NEFT, UPI, IMPS, BHIM Aadhaar Pay, and other options are also popular. Aside from government-backed transaction modalities, private businesses thrived during this time. During the epidemic, existing firms such as Paytm, Payworld, Google Pay, PhonePe, and others acquired a lot of popularity. According to industry analysts, these companies' accessibility will help them increase their market position in the future.
Under normal circumstances, achieving the desired results would take a lengthy time. However, given the current conditions and the availability of aided retailer outlets as a medium in distant locations, there is a chance that the Indian market may strike the bulls eye as a result of current digital payment trends. The following are some retail trends:
- Online Shopping: The pandemic-related closures turned out to be a blessing in disguise for India's e-commerce business, which gained 36% year over year in the fourth quarter of 2020, with the personal care, beauty, and wellness categories benefiting the most. The market is predicted to rise to US $ 200 billion by 2026, up from US $ 38.5 billion in 2017. This is due to the increasing use of cellphones, which are supported by 4G connectivity and ease of purchasing.
- Tap-and-Go Payments: This form of payment mechanism is becoming increasingly popular since it allows consumers to avoid using equipment other than their credit or debit cards. Play world predicts that contactless payments will continue to grow even in the post-covid age since people live in terror of contractions they don't understand. In addition, the RBI has raised the contactless payment limitations from Rs. 2000 to Rs. 5000, to boost digital transactions even more.
- Digital Wallets: Due to the digitalization of Kirana stores across the country and the rising demand for contactless payments, digital wallets have made inroads into the offline retail business. One of the most popular contactless payment options is digital wallets. This development has been aided by digital wallet providers' efforts to penetrate the Kirana market.
- QR code payment: Payments done with a QR code (a matrix invented in 1994 for the Japanese car sector) are common in emerging markets like India, owing to their ease of use. This type of payment may be made in a variety of methods, including app-to-app payments, scanning the business's QR code with a smartphone, and so on.
- Wearable payment devices: Technology advancement has ushered in the era of wearable smart gadgets, such as smartwatches, that can monitor a user's health and general metabolism as well as conduct transactions through tap-and-go. Transactions made with these smart devices are regarded as secure.
All of these payment trends are regarded as safe and hassle-free according to current technologies. People are enthusiastically adopting these trends. We shall see the full potential of these trends and how they evolve shortly. In the meanwhile, businesses and banks, as well as the RBI and the federal government, are working together to maintain the platform safe and secure against hackers.
