QR Codes Help Payments Firm Offline Gaming, Retail News, AND Retail
Bangalore: Digital payment companies are increasingly turning to offline payments and trying to capture a larger share of this market through QR (Quick Response) codes.
While Paytm, PhonePe, and Google Pay offer QR codes and also acquire their own merchants, entities like BharatPe act as aggregators, integrating merchants for all forms of payments based on the Unified Payment Interface (UPI). .
Of the transactions seen on the BharatPe platform, PhonePe held over 54% of UPI transactions, while Google Pay held 30% and Paytm 12% in June.
Of the QR codes deployed by BharatPe, PhonePe’s share rose steadily by 44% in January, a jump of 10 percentage points. Paytm may have a smaller share, but the company dominates all QR code-based transactions as it has a portion of offline payments through a proprietary QR code base of its own. Paytm recorded around 250 million transactions on Paytm QR through 12 million merchants, he said. Paytm QR accepts UPI payments made from any bank account through the Paytm app.
âWe launched our innovative Paytm QR in 2015 and millions of people have adopted it across the country, from local Kirana stores, rickshaws and fast food outlets to upscale hotels and restaurants,â Deepak said. Abbot, senior vice president of Paytm. “We have seen three times the growth in the past year, including both online and offline payments.”
PhonePe, on the other hand, has not commented on the exact number of transactions made through its QR codes, but said it has 5.5 million offline merchants who exclusively accept UPI payments through PhonePe.
There is increased adoption of UPI payments through BharatPe, with 10 million transactions reported in June compared to 6 million in April, said Ashneer Grover, CEO of BharatPe. âWe find that the average transaction value on our platform is hovering around Rs 250, which I think is a healthy sign,â he said.
The National Payments Corporation of India does not share details of transactions made on BharatQR, the bank-run QR code program that has all payment railways such as Visa, Mastercard, RuPay, and American Express. NPCI has integrated 28 banks to acquire traders for such transactions.
Offline payments have become a major topic of debate as the government has proposed zero fees on all forms of digital payments to encourage adoption.
While some payment companies have expressed their concerns, most of the smartphone payment players have supported it. âRemoving the MDR is a welcome step, no more toll on behalf of payments, now everyone has to play a simple game of credit,â said Grover.