How Digital Payments are Driving India's E-Commerce

The rampant increase in smartphone users and easy accessibility to the Internet are some major boosters for this expansion. Keeping in line with the Digital India movement, more and more companies are building a presence online to reach the masses.

- Satyajit Kanekar

With the festive season settling in full peak, retail in India is witnessing a boom in_ the e-commerce business. As per India Brand Equity Foundation, India’s e-commerce market is expected to reach US$ 111 billion by 2024 and US$ 200 billion by 2026. The rampant increase in smartphone users and easy accessibility to the internet are some major boosters for this expansion. Keeping in line with the Digital India movement, more and more companies are building a presence online to reach the masses.

The country is now going beyond traditional payment methods with the easy adoption of ePOS, UPI, and others. The RBI states that total digital payments have increased by 216% and 10%, in terms of volume and value, respectively, for March 2022 compared to March 2019.

Online Payments and Apps

Nowadays, everyone prefers online payments because they are easy and seamless. This shift in consumer behavior has been fueled by the growth of digital payment options. Different payment methods such as credit cards, debit cards, net banking, UPI payments, and e-wallets allow customers to make payments anytime, anywhere. Consumers don’t need cash or cheques anymore to purchase online.