Deepak Chandnani, Managing Director, Worldline South Asia & Middle East expressed, “We are successfully moving towards a new and fast-changing payment space that makes the digital payments experience ubiquitous, secure and frictionless for consumers and merchants despite the fact that cash is still king. The Reserve Bank of India in its latest vision document noted the decline in paper-based clearing instruments and observed a significant growth in acceptance infrastructure facilitating digital payments during 2015-2018. In the years to come, we are confident that India will witness over a 50 percent rise in mobile-based payment transactions as projected in the document”.

Worldline India Digital Payment Report Q1 2019
Worldline India Digital Payment Report Q1 2019

Worldline Insights:

January was the month with the highest number of transactions in Q1 2019. January 23 ranked as the day with the highest number of transactions, but this should come as no surprise given the commencement of the Republic Day sale offers. The days with the second and third highest number of transactions were January 12 and January 13, which were Lohri and Makar Sankranti respectively. The trend of the highest number of transactions recorded during festivals continued like the previous year.

Festival Volume Growth Value Growth Top Merchant Categories
Pongal 29% 55% Value growth of 40-50% in cinema, household appliances, petrol stations, vehicle rentals.
Republic Day 37% 29% Value growth of 65-80% in restaurants, hotels, salon and beauty services, pubs, specialty retail.
Valentine’s Day 25% 35% Value growth of 35-40% in restaurants, specialty retail, jewellery, beauty spas, gifts.
Holi 53% 79% Value growth of 120-150% in restaurants, salon and beauty services, household appliances, apparel retail.

The merchant categories with the highest volume and value of transactions in Q1 2019 were Grocery, Restaurants, Petrol Stations, Apparel Stores, and Speciality Retail which accounted for about 65% volume of transactions and about 40% value of transactions. The categories remained the same for both credit and debit card transactions.

The states and cities with the highest number of transactions are:

Top 10 states in transactions Top 10 cities in transactions
Maharashtra Bangalore
Karnataka Mumbai
Tamil Nadu Chennai
Delhi Pune
Andhra Pradesh Hyderabad
Gujarat Delhi
Uttar Pradesh Kolkata
Kerala New Delhi
West Bengal Gurgaon
Haryana Coimbatore

Key Highlights of Worldline Q1 Report:

The number of point of sale (POS) terminals increased to 3.72 million in March 2019, an increase of 18.6%, from 3.14 million in March 2018.

The total volume of UPI transactions in Q1 2019 was 2.1 billion, a 328% increase from Q1 of the previous year. In terms of value, UPI clocked INR 3.5 trillion, up 495% from Q1 of the previous year.”

There are about 925 million debit cards and about 47 million credit cards in circulation. Between March 2018 and March 2019, India added about ten million credit cards and 64 million debit cards. It is worth noting the number of debit cards started falling after hitting a high of 998 million in October, likely due to the mass closure of accounts with zero balances.

The Reserve Bank of India has permitted 46 entities to launch their Prepaid Payment Instruments (PPI) for consumers and according to their latest data,“the number of transactions done on mobile wallets in Q1 2019 was 1.12 billion, an increase of 24.42% over Q1 of previous year while the value of transactions in Q1 2019 was INR 461 billion, an increase of 28.77% over Q1 of the previous year.”

Currently NETC processes 0.8 million transactions daily across 496 national and state toll plazas, and accounts for 25% value of the total toll collected. The electronic toll transactions are expected to increase to about 50% on national highways before the end of the year.”

Worldline is the European market leader in payment and transaction services. Worldline’s forward-looking innovations and services enable companies to reach their end customers in a targeted way and to offer them modern and seamless services. With more than 45 years’ experience, Worldline is a major player in the B2B2C field. Worldline supports all companies and public administrations in this ever-changing market and makes a major contribution to their success. Worldline offers a unique and flexible business model based on a growing global portfolio and which includes comprehensive support. Worldline’s activities are divided into three business areas: Merchant Services, Mobility & e-Transactional Services, and Financial Services, including equensWorldline. Worldline employs more than 9,400 people worldwide and generates an annual turnover of €1.5 billion. Worldline is an Atos subsidiary.

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