Payment Revolution Hits India

Cash on demand payment is falling behind digital

India’s cities are experiencing a tech revolution, as for the first time cash payment is being overtaken by electronic forms of payment. According to Devang Mody, President of Consumer Business at Bajaj Finance, non-cash payment methods are expected to grow by more than 45% before 2020. He added that in large stores “around 90-95 per cent of transactions are non-cash”, with 55% of this being made up by card payments. Online banking is also seeing an increase in India’s urban areas, as results from The Digital Payments 2020 Report by Google and BCG show that by then, 60% of the value of digital payments will be accounted for by in-store sales. With an expected 730 million internet users in India by 2020, double the penetration rate the country currently enjoys, and the increase in digital payment methods, online ecommerce proves to be a huge opportunity for marketers in India.

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