UPI Payments Likely To Dominate In Coming Years: Survey
Amid the central government's digital India mission, seven out of ten retailers believe that 50 per cent of their sales will be through a unified payments interface (UPI), as per a survey by NeoGrowth, an micro, small and medium enterprises (MSME) focused digital lender in India.
NeoInsights study titled ‘Decoding digital payments: A retailer perspective', stated that a total of 44 per cent of respondents believe that above 75 per cent of payments will be done through UPI in the next three years.
Today's digitally savvy customers are more accustomed to making on-the-go purchases using digital payments and prefer to shop at a retail outlet that gives them this choice.
The survey found out that retailers prefer to go the digital way, with UPI being their first choice due to the ease of transaction for a customer, and the speed of receiving payment for the retailer.
"It's evident that UPI, a flagbearer of digital India, is ticking all the correct boxes in the mind of the Indian retailer and their customers, making UPI a primary mode of accepting payments in the next three years," it added.
Talking about card payments, the survey also revealed that UPI continues to be the favourite mode of transaction, which is preferred by 70 per cent of retailers whereas only 30 per cent of chose card payments.
Meanwhile, more than 70 per cent of retailers said that they have been using some or the other form of digital payments before March 2020, but picked up pace in 2021 only post the Covid-induced social distancing. However, instant receipt and customer convenience remain the top drivers today.
