Online purchases result in a rise in UPI transactions- All details inside
In the present day, More than 76% of Indians are more likely to use UPI (Unified Payment Interface) as the payment mode. As per the reports by FIS, 84 percent of millennials prefer to use this mode.
Indians are now opting for embedded finance i.e. consumers having unique, tailored financial services delivered to them by non-financial companies. They also claim that Indians are not only making purchases from applications but are also exploring social media platforms like Instagram and Facebook to make online purchases.
As per the buying patterns of consumers, about 78 percent of Indians would go to buy fashion products such as clothes , shoes, and accessories and approximately 70 percent would purchase groceries from social media apps. Also around 72 percent of Indians would buy food from various social media apps.
But at the same time, 56 percent of the consumers are apprehensive because of the fraudulent transactions and also leakage of the data.
One of the key reasons for using e-commerce platforms is the incentives, coupons, and cashback that are offered.
In the present scenario, customers prefer a seamless buying experience as it involves both transparency and offers. It is expected that in the next 12 months around 63 percent would go for on-browser shopping and around 50-55 percent would be keen on buying insurance policies.
As per the reports by NPCI (National Payments Corporation of I India)6.57 billion transactions of rupees 10.72 trillion were made using the UPI mode in August. It is also clearly evident that the volume of transactions is increasing every year by 85 percent. The main reason for such an increase is the discounts and offers.