With the pandemic, especially, the use of touchless digital payments has increased
The use of digital payments has increased in India. 39% of consumers prefer to use digital payments, 26% prefer to use cash while 26% credit and debit card payments. This is according to a study carried out by ACI Worldwide and YouGov during the festive season.
According to the study, 57% of the respondents used UPI payments and e-wallets twice weekly. This was common in festive season purchases. The use of digital payments also increased by 15% compared to the same last year.
This is because these payments are secure and convenient. In October, UPI recorded 2 billion transactions for the seventh consecutive month, totaling a crore value of more than Rs 3.86 lakh.
Even with this increase, 44% of consumers cite failed transactions as a major concern in digital payments. To ensure the success of these payment methods, operators should ensure they have high capacity systems and stable operations.
Internet connectivity for completing digital transactions and merchant acceptance infrastructure concerns has reduced to 15% compared to last year where they were at 23%.
Still, most consumers are concerned about data privacy and fraud-related issues including fake websites and apps.
With the pandemic, most users believe authorities should encourage the use of digital payments. This will help maintain social distancing guidelines, safety, and hygiene.
We’ve reported that India’s largest digital credit platform MobiKwik has announced the launch of the MobiKwik Blue American Express Card.