Due to it’s attractive cashbacks, offers and varied use, paytm has become very common among the users. In case of consent for DBT payments, it is being processed at the end by a bank by our bank itself.Paytm is the best mobile e-commerce application till now in India. Secondly, we are not letting any agent or BC (business correspondent) to take any consent for DBT at all. VSS: In our case, multiple consents are not taken in one go. What policy does Paytm have to prevent such issues for its consumers? The bigger challenge has been to get merchants to start accepting digital payments and not of consumers showing interest.ĮT: There has been a major case where a telecom operator was found sending DBT (Direct Benefits Transfer) to payment bank accounts without user consent. It is comfortable to accept that 70-75% will continue to accept Paytm payments once onboarded. VSS: We have seen this trend floating anywhere between 60-75% and sometimes touching 80%. Give or take in another two to three months we should be the largest UPI player in terms of transaction volumes.ĮT: What is the retention rate for merchants using Paytm for payments? In December we want to report very large transaction numbers on UPI. VSS: We are already seeing very healthy numbers. We are aggressively pushing it and we believe that we can get 100 million by next year.ĮT: It’s just been a month for you on the UPI platform, what has been the initial pick up like? We now have around 50 million KYC wallets. What we are finding is that having two choices and differentiation of products has helped us.
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PAYTM APP FOR MERCHANT TO DO KYC FORM FULL
We do not open bank accounts for all customers who are doing a full KYC and we have seen that convenience is one of the major factors for people to open a bank account with us. VSS: Now that we have the Paytm Payments Bank and we can offer interest on the money parked in the account, our value proposition is becoming far more compelling. The next thing we are going to do is to incentivise consumers.ĮT: How difficult has it been for Paytm to get consumers to do full KYC? Just like demonetisation was a consumer push, this is a merchant push to get more of them to accept digital payments.
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This latest move will push merchant acceptance of digital payments as they will not have to bear the cost anymore. One is that consumers should use digital payments by choice and second is, merchants should accept digital payments. Since we are not charging anything on cards we believe that cards will also grow.ĮT: Do you think the incentive offered by the government is the next big thing to happen this year?
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Also, merchants tend to push back to cash mostly because of the cost of digital. Market forces were pushing it to 0% before that and it will continue to be at 0% after two years. I think these moves will help payments to move towards mobile payments, led by QR codes. We can also see that the popularity of QR codes is gaining and RBI has also suggested a lower MDR for these payments. Earlier, we were accepting payments only through Paytm, now we have UPI and cards. Vijay Shekhar Sharma (VSS): We had been keeping ourselves at 0% MDR (merchant discount rate, or the amount merchants have to pay banks for online transaction) for quite a long time.