PayTM would thank demonetisation for scaling up it’s operations and widening it’s reach and usability. PayTM has recently collaborated with the government to provide details of transactions involving ornamental amounts.
On Monday, Paytm, run by One97 Communications Pvt. Ltd invested Rs600 crore over the next 10 months to expand its QR code-based payment network.
The company will deploy technology driven by QR code, or Quick Response code, is a machine-readable label that contains information such as account details of the merchants.
As per the company directives, investments will bolster manpower, technology, cashbacks and merchant education to ensure that more users and merchants embrace the digital economy.
Paytm’s QR code-based payment solution is used by more than five million merchants.
Unlike other PoS (point of sale) machines, QR codes have zero transaction charges and have no cost of installation. However, once a merchant transfers the money from his Paytm account into bank account, he has to pay a minimal transfer fee.
Paytm is emulating the concept of China’s Alipay in India by ushering in similar technologies like QR code and e-wallets in the country.
Paytm claims to have witnessed a five-fold increase in traffic from smaller towns after the launch of its platform in regional languages.
Notably, Paytm is a recipient of payments bank licences in the country. The payment license has only been granted to 11 organisations so far.
Paytm app is today available in 10 Indian languages like Hindi, Tamil, Telugu, Gujarati, Marathi, Bengali, Kannada, Malayalam, Oriya and Punjabi.
“Our 0% merchant transaction fee coupled with an aggressive merchant acquisition rate, will help us take QR code-based payments to every nook and corner of this country,” said Kiran Vasireddy, senior vice president, Paytm, in a statement.
The payment giant plans to touch half a billion accounts by 2020, while it already enjoys 150 million e-wallet users.
