A  

Pro
oject 

" A STUDYY ON IM
MPACT OF
O FINA CES"
ANCIAL SERVIC

 Subm
mitted to

Univerrsity of Mumbai fo
or partial ccompletio
on of the 
Deggree of Baachelor in
n Manage
ement Sttudies 

SEMESTER - VI

2019
9‐2020
Underr the Facu
ulty of Commerce
By 
LATIKA PRA
AKASH GAVE
Roll N
No.:- 124

Under the Guidance of 
PROF.
P SHRADH
HHAOJH
HA R. BA
ARI
GRAWAL COLLEGEE OF ARTS, COMM
K.M.AG MERCE & SCIENCE,,
GANDHARI, KALAYAN
 

 
GRAWAL COLLEGEE OF ARTS, COMM
K.M.AG MERCE & SCIENCE,, KALYAN
N 
9‐2020 
2019

 
 

CERTIIFICAT
TE

This is to certify thatt Ms/ Mr. LATIKA

L PRAKASH H GAVE has word ked and duuly
completed her/his prooject for thhe degree of Bachelor in Manageement Studdies under the
t
Faculty off Commercce and her//his projectt is entitled, " A STUDY ON IMPACT OF O
FINANCIA AL SERVIC CES “under my Superv vision.
 
 

 
Nam
me and SSignature of Guidin
ng Teacher 
 
 
 
 

 
Date of submisssion:  ________________
 DECLARATION 
 
 

I, the under signed Miss/Mr.  LATIKA PRAKASH GAVE  here by, declare  that the work 

embodied  in  this  project  work  titled  “A STUDY ON IMPACT OF FINANCIAL
SERVICES”,  forms  my  own  contribute  on  to  the  research  work  carried  out  under  the 
guidance  of  PROF. SHRADHHAOJHA R. BARI   is  a result  of  my  own  research  work  and 
has  not  been  previously  submitted  to  any  other  University  for  any  other  Degree/Diploma  to 
this or any other University. 
Wherever reference has been made to previous works of others, it has been 
Clearly indicated as such and included in the bibliography. 
I,  here  by  further  declare  that  all  information  of  this  document  has  been  obtained  and 
presented in accordance with academic rules and ethical conduct. 
 
 
 

Name and Signature of the learner 
 
 
Certified by 
 
 
Name and Signature of the Guiding Teacher 
PROF. SHRADHHAOJHA R. BARI    


ACKNOWLEDGEMENTS



Tolistwhoallhavehelpedmeisdifficultbecausethey aresonumerousand
thedepthissoenormous.

I wouldliketoacknowledgethefollowingasbeingidealisticchannelsandfresh
dimensionsinthecompletionofthisproject.

ItakethisopportunitytothanktheUniversityofMumbaiforgivingme
chancetodothisproject.

IwouldliketothankourDirector(Education)andPrincipalforproviding
thenecessaryfacilitiesrequiredforcompletionofthisproject.

ItakethisopportunitytothankourCoordinator,forhismoralsupportand
guidance.

Iwouldalsoliketoexpressmy sinceregratitudetowardsmy projectguide

 Prof. Sayali Amrute whoseguidanceandcaremadetheprojectsuccessful.



I wouldliketo thankmyCollegeLibrary,forhavingprovided
variousreferencebooksandmagazinesrelatedtomy project.

Lastly,Iwouldliketothankeachandeverypersonwhodirectlyor
indirectlyhelpedmeinthecompletionoftheprojectespeciallymy
ParentsandPeerswhosupportedmethroughoutmyproject.

 Index

Chapter Title Pg. no

1 Introduction to E-wallets 2 - 26

2 Research Methodology 27 - 28

3 Literature Review 29 - 30

4 Data Analysis, Interpretation and Presentation 31 - 53

5 Conclusion and Suggestions 54 - 55

6 References 56 - 57

Page 1 of 61
 Chapter 1: Introduction to e-wallet

The term payment is as old as human civilization, since then the payment industry has
undergone a drastic transition from barter system to virtual payments (mobile
wallets). Barter system an age old method of exchange which has been used for
centuries long before money was invented, people exchanged goods and services for
other goods and services in return. The trading system expanded its boundaries
towards exchanging precious metals like copper, bronze, gold etc. With the advent of
the industrial revolution in the 18th century, banking system was adopted as standard
payment and as a monetary regulating body. This led to the development of other
modes like loans, savings a/c, withdrawals etc. After the success of banking system,
our cash based society evolved through internet, this led to building up of various
electronic payment systems like Debit card, Credit card, E-cheques and is now
pushing into the digital frontier of virtual wallet (mobile platform). MOBILE
TECHNOLOGY has paved a way through which people and businesses buy and sell
the goods and services. With this advancement in technology, things around us have
drastically changed. As smart phones have become more affordable & prevalent, it
caters to man’s comfort & conveniences i.e. ordering food, online shopping, booking
movie tickets etc.

With the introduction of digital wallets in early 90’s pioneered by Sam Pitroda with
the vision, underlying the needs of the customers-an easy to use interface, ability to
securely transact in the virtual and real world, in came app-based wallets such as
Paytm, Mobikwik, Freecharge etc., which has become extremely convenient for a
person to make cashless transactions. Mobile wallet is equivalent to physical wallet, it
provides a platform for the user to keep money in it as that of a bank account i.e. the
user needs to make an account with a mobile wallet provider, money can be loaded to
the M-wallet account using a debit card, credit card, bank account etc. The money
loaded by the user can be used to pay for goods & services, transfer funds from their
mobile wallet through a simple SMS or via Near Field Communications (NFC) or the
wallet services that takes in the users payment information and pays the users bills
instantly for certain services. RBI has increased the money loading limit from Rs
5,000/- to Rs 1,00,000/-

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What is an e-wallet?

E-wallet is a type of electronic card which is used for transactions made online
through a computer or a Smartphone. Its utility is same as a credit or debit card. An e-
wallet needs to be linked with the individual’s bank account to make payments.

E-wallet is a type of pre-paid account in which a user can store his/her money for any
future online transaction. An e-wallet is protected with a password. With the help of
an E-wallet, one can make payments for groceries, online purchases, and flight
tickets, among others.

A Digital wallet (A digital wallet is also known as an e-wallet.) is a system that

securely stores users' payment information and passwords for numerous payment
methods and websites. By using a digital wallet, users can complete purchases easily
and quickly with near-field communications technology.

More about e-wallet

E-wallets can be used in conjunction with mobile payment systems, which allow
customers to pay for purchases with their smart phones. A digital wallet can also be
used to store loyalty card information and digital coupons.

E-wallet has mainly two components, software and information. The software
component stores personal information and provides security and encryption of the

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data. The information component is a database of details provided by the user which
includes their name, shipping address, payment method, amount to be paid, credit or
debit card details, etc.

For setting up an E-wallet account, the user needs to install the software on his/her
device, and enter the relevant information required. After shopping online, the E-
wallet automatically fills in the user’s information on the payment form. To activate
the E-wallet, the user needs to enter his password. Once the online payment is made,
the consumer is not required to fill the order form on any other website as the
information gets stored in the database and is updated automatically.

Digital wallets largely eliminate the need to carry a physical wallet, by storing all of a
consumer's payment information securely and compactly, also digital wallets are a
potential boon to companies that collect consumer data. The more companies know
about their customers' purchasing habits, the more effectively they can market to
them.

Page 4 of 61
E-wallet Types

In general, an E-wallet is a prepaid account that is used to store money and make
online and mobile payment transactions quickly and securely. Before it can be
activated, the user must input all of their account information, which is then stored
and used when the time comes to make payments. When utilized with a Smartphone,
an E-wallet can also be the repository for transit and airline tickets, gift cards and
customer loyalty rewards. Ultimately, the E-wallet benefits customers by giving them
a fast and secure way to pay as well as a convenient place to keep all manner of
valuable information. When merchants accept funds from E-wallets, they are more
protected against fraud and can process payments seamlessly.

There are three types of E-wallets:

Open wallets: This type of E-wallet can only be issued by banks or their partner
institutions. It can be used to transfer funds from one account to another and to
withdraw cash from ATMs. In fact, open wallets work much like credit and debit
cards.

Closed wallets: As the name implies, this type of payment instrument is restricted. It
is provided by a specific company such as Amazon, and it can only be used to make
purchases to the entity that sponsors it. At any time, the user can transfer any
remaining balance in this type of wallet back to their own bank account.

Semi-closed wallets: As is the case with their closed counterparts, these are
sponsored by a particular company. Customers can purchase from several vendors and

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can also transfer funds to other users in the same network. However, they cannot
withdraw cash and place it into their own accounts.

Telecom-operated mobile wallets:

Many telecom service providers in India have their own mobile wallet as part of its
product portfolio. One of the initial services offered by mobile wallets was mobile
recharges. Airtel was the first mover in the market in the year 2011, it got the
payments bank license from the RBI in August 2015 and started Airtel money in a
joint venture with Kotak Mahindra Bank. Reliance jio was also granted a license with
SBI. Idea Cellular also got its license for Idea Money with partner Axis Bank.
Vodafone has M-Pesa which is a major player in the market, along with TATA
Docomo that has mRupee.

Wallets by banks:
Most major banks in the India are developing mobile wallets for their customers in
order to have a direct interaction between the seller, the buyer and the bank. ICICI
Bank launched ICICI pockets in February 2015, HDFC with Chillr and PingPay by
Axis Bank and one of the late entrants, SBI launched state bank buddy.

Independent wallets:
There are plenty of up-comers in India such as Paytm, Ruplee, Oxigen wallets etc.
Paytm is the exclusive wallet service for RoomsTonite, also payment platform for
Uber and it already claims that it has crossed the 100 million users whereas Mobikwik
is the wallet of choice for IRCTC tickets, Big Bazaar and even loans etc.

How E-wallet Works?

1. The initial setup of an E-wallet requires a leap of faith for customers. They must
trust that their information will remain secure not only on their Smartphone but
also in the archives of the E-wallet provider. In order to get started with the
technology, customers must input their bank account and credit card information
since these are the places from which their funds will be drawn when the time
comes to make a payment.

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2. The E-wallet does not necessarily contain any funds. It is up to the customer to
decide when or if they wish to place monies there.

3. A payment transaction can be described as an encrypted conversation that takes

place between two banks: the customer’s and the retailer’s. E-wallet payments are
beneficial to buyers and sellers alike because of their heightened security
protocols and the fact that a customer’s credit card information never becomes
known to a merchant in the same way it once did when people used magnetic
stripe cards.

4. The transaction proceeds quickly and securely, with the funds drawn from the
customer’s E-wallet or bank balance and sent within seconds to the merchant.

5. Once the process is complete, both parties receive what they expect; the customer
gets a product or service, and the merchant is paid appropriately for what has been
purchased.

6. Thorough records are kept by the seller’s merchant services provider as well as
the sponsor of the customer’s e-wallet, enabling everyone to have accountability
should any questions or disputes arise.

Advantages of E-wallets

It’s no wonder that these digital payment devices are taking the retail world by storm.
They offer a wide variety of attractive qualities for customers and merchants alike.

1. Security: For one thing, cash is notoriously easy to lose not only due to
carelessness but also from theft. By contrast, the data and funds stored in an E-
wallet are encrypted. Even if a person’s cellphone is stolen, the information
remains safe. During payment transactions, no personal information is leaked to
the merchant or to potentially unscrupulous staff members, drastically lowering
the chances of theft and fraud.

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2. Acceptable from a smartphone: These days, most people rarely go anywhere
without their cellphones. That makes having an E-wallet particularly convenient
and allows people to buy items on impulse even when they don’t have any actual
cash on hand.

3. Convenience: Many people are recognizing the freedom that comes with having
an E-wallet. Gone are the days of cumbersome, heavy wallets stuffed with a
disorganized mess of coins, bills and cards. Today’s digital payment mechanisms
allow all information to be securely and neatly stored on a device that people are
already carrying as a matter of course.

4. Streamlining of the purchase process: Today, buying something digitally can be

as fast as positioning one’s phone near the merchant’s card reader, placing a finger
on the phone for verification, grabbing the product and walking out of the store.
Gone are the days of fumbling for exact change, writing checks or even waiting
seemingly forever for a credit card to be verified.

5. E-wallets are simple to manage: Transferring funds into a digital wallet can be
accomplished virtually anywhere. Whether a customer is at home on their PC, at
work with their laptop or on the go with just their mobile phone, it’s a breeze to
keep track of and modify information.

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6. Flexibility with currency: Especially for merchants who do business
internationally, digital transactions can make everyday commerce much easier.
That’s because merchants who accept payments from E-wallets can choose a wide
variety of currencies that they can accept.

Mobile wallet analytics: Capture, engage, execute

Mobile wallets act as a central platform for data collection and consumer interaction.
Figure below illustrates various possibilities for the use of mobile wallet analytics
along a customer journey through a retail shop:

1. Receive offers: Customers can receive targeted offers based on shopping history
and context (location, weather and so on) through mobile wallet push
notifications. This can raise their awareness and interest in visiting the shop.

2. Receive coupons: Customers may get a coupon when they check in to the shop.
In the background, data that shows when customers have entered is being
collected.

3. Get help from informed agents: Retail agents are informed when an individual
customer has entered the shop using check-in. The agent can then look at the
customer’s data, like name, spending history and preferences to better approach
and advise him or her.

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4. Get context information: While strolling around in the shop, customers can
receive contextual information through Bluetooth low energy (BLE), near field
communications (NFC), QR codes and so forth, which helps them to compare and
rate pro ducts, and to find and keep track of their favorites.

5. Get recommendations: Based on the interests and interactions of the customer in

the shop, he or she receives personalized recommendations on products in real
time.

6. Pay, redeem, collect: Customers can redeem coupons and loyalty points when
they pay. These actions are tracked in the wallet to further improve analytics and
personalization for the individual customer.

This scenario illustrates how mobile wallet analytics could be applied in a retail
environment, but of course analytics can be used in customer journeys in many other
industries as well.

QUALITIES YOU NEED TO SEE IN AN IDEAL DIGITAL

WALLET

A digital wallet must be reliable, affordable, and secure at best. The process of
moving money around the Internet can be quite risky if you don’t know what type of
digital wallet to use.

 The Qualities to Keep an Eye Out For

The best types of digital wallets that you can find are versatile in that they can handle
any payment methods that you use. Now, in order to protect your investment, you
want to prioritize security features. Remember; never consider yourself 100% safe
when dealing with transferring money online – just like you wouldn’t with using a
credit card swipe machine. Vendors should never be able to initiate any online credit
card processing transactions without your permission. Your preferred digital wallet
must have the latest security encryptions and reliability so you won’t have to undergo
any fraudulent activity.

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 Comparison Shopping and Low Fees

Low fees are a no-brainer. By shopping around and checking the various fees, you can
essentially compare and contrast from a list of different digital wallets. For instance,
say you find a merchant account provider that boasts all the latest technologies for a
digital wallet only to find that every transaction made will cost you a high percentage
of the moving. Note that the whole “advanced technologies” aspect comes appealing
until you see the small lettering that shows how much you’re paying for each
transaction. Don’t just settle, shop around. There are a variety of merchant account
providers like Charge.com that offer lower, and more affordable fees. After all, these
fees tend to add up, especially if you’re taking on larger volumes of transaction.

 The Mobility Aspect

The mobility aspect of a digital wallet should be considered as well. In this day and
age, Smartphone are utilized for nearly everything. You shouldn’t need to have a
computer to make a transaction. Rather, digital wallets should have either an app at
the very least, or a mobile-friendly site that offers all the functionalities that a
desktop-site should. Keep this in mind, especially if you’re always on the go and rely
on your Smartphone. It would be relatively useless if you rarely have access to a PC.

Discounts and special offers are out there, contrary to what you might think. More
digital wallets are partnering directly with retailers to ensure that they offer
personalized discounts to customers that are using this direct payment method. Keep
this in mind as you shop around.

How e-wallets are secured

It’s true that anytime you broadcast data across a mobile or wireless network you’re
accepting the risk of that data being intercepted. However, secure e-wallets make sure
to utilize a number of security measures that have many tech experts viewing digital
payments as safer and more efficient than physical payment (i.e. ATM machines or
swiping a credit card at a retailer store).

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 Encryption Technology

E-wallet payment providers make heavy use of modern encryption technology to

enhance mobile wallet security. Many people fail to realise that we use encryption
technology on a daily basis. Nearly every computing device from smartphones to
desktops to tablets utilizes some level of encryption to keep consumer information
safe. It does this by turning normal data or “plaintext” into a grouping of random
characters or “cipher text” that can only be read by those with a special key. The
majority of companies use a 128-bit data encryption technology to secure their data.

 Is encryption really safe?

The amount of time, computation cost, and patience to crack modern encryption
algorithms make breaking an encryption without a key a near impossible task. That’s
not to say that encryption doesn’t have vulnerabilities, typically referred to as
backdoors. However, the likelihood of these types of digital backdoors working is
minimal at best.

 Password Protected

The past few years have seen a dramatic shift in how and why consumers use their
smartphones. Smart mobile devices connect people to their business and social
networks as well as bank accounts, car insurance, medical databases, and even home
operating systems. They are the life-blood for consumer day to day activities. To
prevent access, smartphones employ a variety of mobile security measures. These
include complex alphanumeric passwords as well as biometric protocols, such as
fingerprint access and voice activation.

E-wallets employ a similar method. Consumers can add an additional password

protection to their e-wallet account. Combining that with advanced encryption
methods further protects a consumer’s information from hackers and other third
parties.

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 Acts as a Proxy

Unlike credit cards, a secure e-wallet service will help conceal a consumer’s banking
and private information. E-wallets only access the funds that a consumer makes
available. This means that when a transaction is made, e-wallets do not access a
consumer’s wider banking information to make payment and will not log metadata
that can be captured by a third party. By acting as a proxy, e-wallets provide better
mobile wallet security by preventing third parties from accessing information that can
be used to commit fraud or identity theft.

Additional benefits of e-wallets that add to the payment service’s

safety and usability include:

 Accountability

A secure e-wallet allows a consumer complete traceability of all of his/her

transactions. Unlike cash transactions, every e-Commerce transaction is logged and
time stamped; and can be viewed at anytime and anywhere without having to go
through the burdensome action of logging into your bank account and combing
through your accounts.

 Instant Payments

E-wallets allow quick and efficient transactions compared to bank accounts and credit
cards that have to pass through additional databases and processing systems before the
transaction is completed. It can take up to 2-3 days before a credit card or debit
transaction appears on a consumer’s bank account, causing confusion about available
balances.

 Limited Risk

Let’s say someone loses their phone. It is unlocked or doesn’t have a password, and
someone with less than positive intentions locates it. Whoever gets a hold of that

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phone will only have access to the funds placed in the e-wallet account instead of to
an entire bank account through the loss of a physical wallet. The shortfall of funds
would hurt but it would be minimal and short-lived since the majority of people who
use secure e-wallets only put in a few days or weeks’ worth of pay.

Will e-wallets gain mass market popularity?

E-wallets are still in their early stages of development and adoption. Much of their
success will hinge on whether or not big players like Google and Apple are able to
integrate secure e-wallets into their most popular products. As with any new, hot
technology, millennial are leading the way with a majority 58 percent ready to switch
over to e-wallets.

Credit card companies are still relied on as the primary method of payment. They are
viewed as a trusted and established business with a record of success for money
management. Many credit card companies are resisting Silicon Valley’s push towards
mobile wallet security payment systems, instead, putting their faith in their own in-
house payment solutions and acquisition of smaller e-wallet companies. For example,

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MasterCard recently purchased C-SAM (formerly ISIS). C-SAM provided the back-
end payment processing structure for Softcard, which was originally a joint venture
between AT&T, Verizon, and T-Mobile that was purchased and dissolved by Google
in 2013.

Until priorities are aligned between credit card companies, banks, and consumers,
adoption of e-wallets into everyday use will continue to meet resistance as retailers
and finance companies try to corner the market with their own in-house products
instead of supporting a secure e-wallet system that isn’t their own.

As more companies hop on the e-wallet bandwagon and alternative options enter the
market, consumers will ultimately choose the option that offers the most cost-efficient
and convenient solution. If you’d like to learn more about how e-wallets will continue
to enhance the way retailers, finance companies, and consumers engage, contact us
today to explore this innovative field of products and services.

There are quite a few benefits of having a digital wallet:

 Allows you to go cashless without the need to go through the process of acquiring
credit cards.
 It safe thanks to countless protocols in place
 Makes transactions trackable and easier to manage
 Get offers, benefits and rewards for using digital wallets
 Allows you to do multiple things like – Transfer to friends, Online Shopping, Pay
at offline merchants or even pay your Bills
 Is instant and free (for users)

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But are Digital Wallets SAFE?

Honestly, the way internet works today, nobody can ever claim for anything to 100%
tamper proof. There are always people who want something bad enough that they
keep trying to find lowly ways. However, the digital transactions over your digital
wallet are highly secure. They employ the latest security encryption technology along
with multiple ways of validating users before letting the transaction come through.
Users do need to take some precautions to ensure that their digital wallet never gets
impacted – like not sharing OTPs, ensuring passwords are not simple to crack, etc. I
will soon share ways to ensure your online transactions are secure.

Great! But should I use only 1 digital wallet?

To make the most of all the offers and rewards available, you should open multiple
digital wallet accounts and use whichever gives you the most benefit for a particular
transaction.

PURPOSE OF USING MOBILE - WALLET SERVICES

As a substitute for the traditional wallet, following are the uses of M-wallet:

1. Recharge and Broadband top-ups: Instead of going to a shop in order pay for
top-ups. M-wallet enables Telco’s to allow mobile wallet users to quickly and
efficiently recharge prepaid account of a mobile phone user via mobile phone
anytime, anywhere.

2. Instant money transfer to any bank: It offers the customers the flexibility and
convenience of managing their funds via mobile devices by integrating their bank
account with M-wallet. It is convenient and a secured alternative, which allows
the consumers to flexibly transfer their funds from bank account to e-wallet and
vice versa without having to visit their bank branch. Consumers need to register
with their bank and integrate their M-wallet with the bank account to avail this
service.

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3. Online shopping and merchant payments: It allows the users to make payments
for all kinds of goods and services in an easy way via mobile wallet. The payment
platform provides a real-time authorization and enables secure mobile commerce
and payment acceptance for both in-store and online.

4. Payment for booking transport facilities: Transportation facilities provide the

users, personal mobility and freedom for users from every walk of life.

5. Utility bill payments: It helps the household or office to pay for electricity,
water, gas, telephone etc on a single click.

ADVANTAGES OF MOBILE-WALLETS SERVICES

 One’s wallet can be snatched, misplaced or pick pocketed, but mobile wallet
cannot be, though there is a chance of someone stealing one’s a mobile.
 If the bill is of Rs 199/- or Rs 235/-, one will not have to run around asking for
change. It allows paying on a single tap.
 One need not fill in card numbers and passwords every time, they can link their
credit cards, debit cards and bank accounts and pay immediately without any
hassle to enter the details each time.
 When one makes a payment through a debit card or credit card, one is disclosing
their confidential bank data on the merchant’s site or establishment, it can lead to
unwanted security issues but by using e-wallet, one can restrict the exposure of
confidential data.
 Massive rewards in the forms of discounts & cash backs.

DISADVANTAGES OF MOBILE-WALLET SERVICES

 Only with a smart phone & speedy internet connection one can use such services.
 More than the connectivity, security is a major issue.
 Dismal battery back-up of smart phones one can never be sure whether the phone
will be alive even for that one tap payment.

Page 17 of 61
Top 10 Digital Wallets of India in 2019

1. Paytm

Paytm is easily the top Digital Wallet in India today. Both by brand familiarity and
user adoption. They had crossed 200mn installs in early 2017 and marching towards
their target of growing to 500mn users. They have the largest network of offline
merchants. One can easily call them the “Whatsapp” of the digital wallet space.
Anyone using digital wallets will be using them.

What’s good – Largest user and merchant’s base. Offers a lot of services like Buses,
Flights, Recharge, Bills and even gold shopping.

What’s bad – Slightly cluttered UI with a lot of options

2. MobiKwik

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MobiKwik slowly but steadily grew to become the 2nd largest digital wallet by its
shear strength of user-experience and online merchant integrations. They keep
growing and give a strong competition to Paytm.

What’s good – Their UI is exceptionally clean and very interactive. Faster checkout
process for better user experience.

What’s bad – Their cashback in the form of Supercash which usually has a lot of
restrictions. Fewer rewards/offers than PayTm.

3. PhonePe

PhonePe started as UPI payment app and later was acquired by Flipkart to be
launched as a digital wallet for the e-commerce giant. It definitely has a lot of smart
people behind the app as a first time user will find the app really easy to use. Do use
them if you shop often on Flipkart and pay bills online.

What’s good – Great cashback offers on online Bill payments (electricity, DTH,
water, mobile). Fast and good user-experience of the app even though they highlight a
lot of services.

What’s bad – Online and offline merchant integration is lower than others.

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4. FreeCharge

Freecharge is a great story in the Digital Wallet world due to the transformation
journey it has travelled. What started as a service to provide physical coupons for
online mobile recharges over years got bought over by Snapdeal and also pivoted to a
complete digital payments platform. However, even with a young and fresh branding,
they never could capture a user’s imagination like others. This wallet always feels like
an afterthought when making online transactions. But it’s still a great app to have for
transactions and offers.

What’s good – Quick and simple payment process. Immediate cashback on

transactions.

What’s bad – Fewer merchant integrations though present with major online players.
Low adoption for peer-to-peer.

5. Airtel Money

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Airtel Money easily has one of the largest user bases. However, most of the
transactions on the platform is limited to Airtel bill payments for mobile, broadband
and other services. You can absolutely use it for online transactions like others but
most users do not.

What’s good – A must-have if you are an Airtel user for their range of exclusive
offers.

What’s bad – Integrated as an Airtel service and more focused on Airtel specific
benefits.

6. JioMoney

JioMoney like airtel happens to be available for a large user base due to sheer VOIP
revolution Jio is driving in the country. They still have a long way to go in terms of
integrations and offers.

What’s good – No registration required for Jio users. So get it if you have a Jio sim.

What’s bad – Not a great UI. Miles behind in online and offline merchant
integrations.

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7. Ola Money

Ola Money which is the payment wallet offered along with the OLA cab booking app
has a large user adoption due it being one of the market leaders in the mobility space.
However, most people use it for paying Ola bills or keeping money for cab rides.

What’s good – Makes it easy and quick to pay for OLA cab rides, share passes,
clearing ola credit.

What’s bad – Not used much outside of the OLA app. There is a separate OLA
Money app but not really needed.

8. Amazon Pay

Amazon Pay is one of the newest entrants in this space and grown quickly piggy-
backing on the popularity of the Amazon e-commerce platform. Like PhonePe this
wallet is a must-try if you use Amazon for shopping.

What’s good – Decent cashback offers across popular platforms like Amazon,
BookMyShow, AbhiBus, etc

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What’s bad – Still small but growing in merchant integrations. Almost zero offline
presence.

9. Buddy by SBI

Digital wallet by SBI Bank which happens to be the largest bank in the country in
user count. They are great for payments and transfers. This wallet is also available to
users without an SBI account which makes it easy to register.

What’s good – Great for SBI Bank users. Supports 13 languages.

What’s bad – Zero offline presence and slightly dated app UI.

10. PayZapp

This digital wallet is by HDFC bank which like SBI is a major player. They focus on
simplified one-click payments which makes using it extremely simple.

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Whats good – Great for repeated transactions like bill payments. Add your card once
and it will take care of the transactions.

Whats bad – Better for HDFC customers.

Below are more opportunities and challenges of e-wallets

Opportunities
 Rural Areas
Rural areas always have a huge impact on the overall economic development of any
country. In the same remote are you find that most people do not have bank accounts.
By using mobile wallets people can conveniently create bank accounts without
physically going to a bank branch. Mobile wallets also present transparency in a
business transaction in the rural area. The increasing number of mobile and internet
users in the rural area will pave ways for the use of better digital payment solution
over time.

 Payments and Loyalty

Most households in the United States have joined more than 15 consumers’ loyalty
program but only participate in less than eight. Research shows that most consumers
are reluctant in using a consumer loyalty program if it is not accompanied by a
Smartphone app. A total of 69% of people reported that they continuously use they
loyalty card if it was on their phone.
The secret to mobile payment usage is loyalty, not payment. It is clear that consumers
engage more with brands that they are loyal to. Companies can gain consumer
engagement by offering discount and rewards within mobile wallets.

 Increase in Number of Smartphone Owners

Not long ago surveys were carried out to show the growth of Smartphone ownership.
Now, 4 in 10 people own a Smartphone. The number is still growing as more people
are anticipated to be owners of a Smartphone. With the high increase in Smartphone
owners, so is the number of mobile payment users. Consumers can only use a

Page 24 of 61
Smartphone to make mobile payments hence this cannot happen if they do not have
one.

 Increased Interest in Mobile Payment among Smartphone Owners

More people who own a Smartphones understand and are interested in cashless
payment than before. This is evident in the younger and the more tech-savvy
population. The Federal Reserve survey pointed out that 3 in 10 people are open to
using cashless payment if the opportunity arises.

More people in today’s world have shopping apps on their phones. They check prices,
research items, purchase goods, and check receipts and coupons. This shows that
price indications and detailed information increase the gratification of mobile-oriented
consumers. Most of this consumer would be interested to use their mobile wallets
instead of credit cards.

 Mobile Banking and Inventive Mobile Payment Application

More banks are now offering mobile banking services to their customers. A huge
number of mobile owner use this service to transfer money from one account to the
other, check their balance and recent transaction. This service acts as a catalyst to
increase the use of cashless payment. Financial institutions have also come up with
inventive applications for mobile transfer.

Mobile remote deposit capture is one of the applications that is steadily gaining
popularity. Through the application, consumers can easily deposit their checks by
taking a photo of the check and sending it electronically to the bank. This promotes
efficiency and convenience for the bank and the consumer. Satisfied mobile banking
consumers are more likely to adapt to mobile wallets than other.

Challenges
 Regulatory Compliance
All mobile payment services need to abide by the legal requirements. This entails both
the financial and consumer-based regulations. This can be a problem for new players
who want to invest in a new market.

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 Fraud Risk
This is one of the biggest reasons why most consumers are reluctant to adapt to
mobile wallets. Contactless payment presents huge unknown risk and fraud like
leaked data, hacking, undetected malware, e-wallet vulnerabilities. Making the
technology secure for all consumer will aid in stopping any potential financial
breaches.

 Low Perception
Consumers still perceive that mobile wallets do not solve anything. They are still not
informed of the benefits of using mobile wallets over using cash or credit cards. That
is why most of them still use credit cards and debit cards for online payment and
buying expensive items.

 Low Trust in Mobile Wallets

Consumers say that the idea of using mobile wallets is good but not possible. They
feel that they give up a lot of their control when using mobile wallets. A research
carried out by YouGov shows that 43% of mobile users don’t trust mobile wallets,
38% fear that if their phones get lost they might not be able to make any payment.

Another research related carried out by Experian concluded that 55% of consumers
feel safer using credit cards. A survey carried out by Auriemma reported that
consumers who use mobile wallets will not recommend it to their friends or family.

 No Rewards
Unlike cards and cash-back programs, they are no rewards offered when using mobile
wallets. People using credits and cash have the opportunity of receiving discounts,
rewards, and coupons. Financial marketers seeking to boost the usage of mobile
wallets should take this as an opportunity to get more consumers.

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 Chapter 2: Research Methodology

Objectives:
 To know the customers perception towards e-wallet.
 To know the benefits and challenges of e-wallets
 To study the adoption of e-wallets by the customers
 To study the various e-wallet services provided by the e-wallets providers to
the customers.
 To analyze the importance, functions, advantages and limitations of e-wallets.
 To analyze the trend of e-wallets with the help of primary data.

Scope of the study:

The study aims to find out the benefits and challenges of e-wallets and to know
awareness level and the effectiveness of e-wallets services provided by the e-wallets
providers to the customers. The analysis will help to know the awareness level of
customers regarding the e-wallets. Along with the satisfaction level of the customers
in the e-wallets and the customer’s perception regarding the e-wallets.

Limitations of the study:

 The study is confined in Kalyan city only.

 The data collected for the research is given by the respondents. There is
chance for personal bias. So the accuracy is not true.

 This study is based on the prevailing respondents’ satisfaction. But their

satisfaction may change according to time, services provided in future by
banks, customers need etc.

 The information collected is mainly primary data and the accuracy is subject
to the responses received.

 Due to lack of time the good amount of data collection was not possible so
research had to rely on limited data of sample size of 50 respondents only

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  The customers were not interested in filling questionnaire because of their
busy schedule.

Need and Significance of the study:

As e-wallet is surging on an account of growing online payment transactions in
INDIA, this study undertakes to give an insight about e-wallets payment gateway
services. The study helps in understanding the company preference of the users with
regard to e-wallets. It helps us to know the kind of services used by the users, which
are provided by the e-wallet payment gateway services providers. The study also aims
to find the benefits and challenges of e-wallets.

Sample Size:
The Primary data have been collected through a survey with a structured
Questionnaire on a sample of randomly selected 50 people of Kalyan in which some
are college students, business persons, service persons, working women and some
people who belong to 20-60 age group.

Data Collection:
The study is based on both of primary and secondary data.

Primary Source: For the purpose of case study primary data have been collected
from the people of Kalyan City through phone calls and social network.

Secondary Source: The secondary data have been collected from different articles &
website resources such as www.wikipedia.com, www.google.co.in and some others. I
have used simple pictures, tables, & graphs to analysis & present the data. Apart from
this I also followed my supervisor’s instructions to finish the project.

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 Chapter 3: Literature Review

Dr. HEM SHWETA RATHORE in her research paper “Adoption of Digital wallet by
consumers “have analyzed about the factors that influence consumers in adoption of
digital wallet and also analyzed the risk and challenges faced by consumers in usage
of digital wallet and concluded that shoppers are adopting digital wallet largely due to
convenience and ease to use and in the future years digital wallet will gain more
widespread acceptance.

RAJESH KRISHNA BALAN, NARAYAN RAMASUBHU, GIRI KUMAR TAYI

(2006) in their research paper “Digital wallet: Requirement and challenges “have
identified about Singapore’s use of digital wallet and analyzed the key challenges in
building and deploying a digital wallet.

Nitika Rai, Anurag Ashok, Janhvi Chakraborty, Prajakta Arolker, Saumeel Gajera
(2012), made a study on “M-wallet: An SMS based payment system”, This paper
describes about replacing the current payment solutions like credit card, debit cards
and cash with a simple short Messaging services (SMS) based on solution that would
work on all mobile phones irrespective of the network carrier and the manufacturer.
Transactions can also take place between consumers that have subscribed to the
service and merchants irrespective of their subscription. The study concludes that it is
safer, faster and network independent mode of payment.

Neeharika P & V N Sastry (2014), conducted a study on “A Novel Interoperable

Mobile Wallet Model with Capability based access control framework”, this study
makes an important contribution towards the development of a mobile wallet that can
work across various platforms. As security is the major concern when it comes to
finance related information, the study addresses the security issues by giving access
control model that works towards interoperable mobile wallet.

Shwetu Kumar, Vijay Yadav, Atiqu-Ur-Rahman, Aditi Bansal (2014), made a study
on “Paytm”, it studied about its achievements, technical architecture of paytm,
working and technologies of paytm which include a study on supply chain

Page 29 of 61
management, web technologies of paytm ,web based tool of paytm and also described
about electronic payment system.

Ngoc Doan (2014), conducted a study on “Consumer adoption in Mobile wallet (A

study of consumers in Finland)”, this study was undertaken to understand about the
consumer adoption status of mobile wallet with research area limited in Finland. It
also examines the market situation of mobile consumers toward mobile wallet. The
study states that the adoption of M-wallet among consumers in Finland is only at the
beginning stage & the success of M-wallets depends on the marketing strategies of M-
wallet companies as well as the financial policy makers in Finland.

Sanaz Zarrin Kafsh (2015), made a study on “Developing consumer Adoption Model
on mobile wallet in Canada”, by taking a sample of 530 respondents through
convenience sampling. Partial Least Square model was used to analyse the data. The
focus of the study was to identify the factors that influence the consumer’s adoption
of mobile wallets. This study was based on technology acceptance model (TAM) &
innovation diffusion theory (IDT). As per the analysis made by them, there is
relationship among perceived usage, perceived ease of use & perceived security in
predicting the adoption of mobile wallets.

POONAM PAINULY and SHALU RATHI (2016) in their research paper “Mobile
wallet: An upcoming mode of business transaction “have analyzed that ease of
transaction, secured profile and convenience in handling application put forth the
benefits of wallet money and also concluded that business sectors like banking, retail,
hospitality etc., are making use of wallet money and mobile payment instruments
including contactless and remote payment in the C2B and C2C areas.

Prof Trilok Nath Shukla in his paper “Mobile Wallet: Present and the Future” (June
2016) has discussed about mobile wallet, working, types and its advantages and
disadvantages. His analysis included perception of consumers and retailers
about mobile wallets. He concluded that mobile wallets will be used to engage
with the customer by the marketers and digital businesses. Irrespective of the market
status of these mobile wallets, marketers should take advantage of the emerging
opportunities.

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 Chapter 4: Data Analysis, Interpretation and Presentation

Q1. Gender

Frequency Percentage
Male 29 58%
Female 21 42%
Table 4.1

42%
Male
Female
58%

Chart No. 4.1

INTERPRETATION:

Among 50 respondents 58 Per cent are Male and 42 Per cent are Female.

Page 31 of 61
Q2. Age Group

Frequency Percentage
Below 20 9 18%
21-35 25 50%
36-50 11 22%
Above 50 5 10%
Table 4.2

10%
18%

Below 20
22%
21-35
36-50
Above 50

50%

Chart No. 4.2

INTERPRETATION:

Out of 50 respondents 9 respondents are in below 20 age group, 25 respondents in 21-

35 age group, 11 respondents in 36-50 age group and 5 respondents in above 50 age
group. This shows with the help of a Pie-Chart.

Page 32 of 61
Q3. Occupation

Frequency Percentage
Student 12 24%
Self-employed 8 16%
Businessmen 5 10%
Employee 21 42%
Housewife 4 8%
Table 4.3

8%

24%

Student
Self-employed
Businessmen
42% Employee
16% Housewife

10%

Chart No. 4.3

INTERPRETATION:

Among 50 respondents 24% are students, 16% are self-employed, 10% are
businessmen, 42% are employees and 8% are housewife.

Page 33 of 61
Q4. Are you aware of e-wallets?

Frequency Percentage
Yes 46 92%
No 4 8%
Table 4.4

8%

Yes
No

92%

Chart No. 4.4

INTERPRETATION:

Among 50 respondents 92% respondents are aware of e-wallets and 8% respondents

are not aware of e-wallets.

Page 34 of 61
Q5. From where did you get information about e-wallet?

Frequency Percentage
Friends 26 52%
Social Media 19 38%
Television 3 6%
Newspaper 2 4%
Table 4.5

4%
6%

Friends
Social Media
52% Television
38% Newspaper

Chart No. 4.5

INTERPRETATION:

Among 50 respondents 26 respondents get information about e-wallet from friends,

19 respondents get information about e-wallet from social media, 3 respondents get
information about e-wallet from television and 2 respondents get information about e-
wallet from newspaper.

Page 35 of 61
Q6. Do you use e-wallets for financial transactions?

Frequency Percentage
Yes 40 80%
No 10 20%
Table 4.6

20%

Yes
No

80%

Chart No. 4.6

INTERPRETATION:

Out of 50 respondents 40 respondents use e-wallets for financial transactions and 10

respondents don’t use e-wallets for financial transactions.

Page 36 of 61
Q7. How often do you use e-wallet?

Frequency Percentage
Daily 12 24%
Weekly 20 40%
Monthly 18 36%
Table 4.7

24%

36%
Daily
Weekly
Monthly

40%

Chart No. 4.7

INTERPRETATION:

Out of 50 respondents 12 respondents use e-wallet daily, 20 respondents use e-wallet

weekly and 18 respondents use e-wallet monthly.

Page 37 of 61
Q8. Using of e-wallet promotes cashless payment to the next level?

Frequency Percentage
Yes 47 94%
No 3 6%
Table 4.8

6%

Yes
No

94%

Chart No. 4.8

INTERPRETATION:

Out of 50 respondents, according to 47 respondents using of e-wallet promotes

cashless payment and according to 3 respondents using of e-wallet does not promotes
cashless payment.

Page 38 of 61
Q9. Why do you prefer e-wallet over other modes of payment?

Frequency Percentage
Time saving 14 28%
Ease of use 4 8%
Security 6 12%
Not to move anywhere 16 32%
24x7 service 10 20%
Table 4.9

20%
28%
Time saving
Ease of use
Security
Not to move anywhere
8% 24x7 service
32%

12%

Chart No. 4.9

INTERPRETATION:

Out of 50 respondents 14 respondents prefer e-wallet because it is time saving, 4

respondents prefer e-wallet because it is easy to use, 6 respondents prefer e-wallet
because it is secure, 16 respondents prefer using e-wallet because they don’t have to
move anywhere, and 10 respondents prefer using e-wallet because it is available 24x7.

Page 39 of 61
Q10. Which device do you use for making the payment via e-wallet?

Frequency Percentage
Mobile 32 64%
Computer 7 14%
Both 11 22%
Table 4.10

22%

Mobile
Computer
14% Both
64%

Chart No. 4.10

INTERPRETATION:

Out of 50 respondents 32 respondents use mobile for making the payment via e-
wallet, 7 respondents use computer for making the payment via e-wallet and 11
respondents use both mobile and computer for making the payment via e-wallet.

Page 40 of 61
Q11. Which e-wallet do you prefer most of the time?

Frequency Percentage
Paytm 28 56%
MobiKwik 11 22%
Freecharge 5 10%
Google wallet 6 12%
Table 4.11

12%

10%
Paytm
MobiKwik
Freecharge
56%
Google wallet
22%

Chart No. 4.11

INTERPRETATION:

Out of 50 respondents 28 respondents prefer using Paytm wallet, 11 respondents

prefer using MobiKwik wallet, 5 respondents prefer using Freecharge wallet and 6
respondents prefer using Google wallet.

Page 41 of 61
Q12. How do you consider e-wallet against other sort of payment methods?

Frequency Percentage
Alternate choice 22 44%
Substitute 11 22%
Supportive Instrument 17 34%
Table 4.12

34%

44% Alternate choice

Substitute
Supportive Instrument

22%

Chart No. 4.12

INTERPRETATION:

Among 50 respondents 22 respondents consider e-wallet as alternative choice, 11

respondents consider e-wallet as substitute and 17 respondent consider e-wallet as
supportive instrument against other sort of payment methods.

Page 42 of 61
Q13. What are your purpose of using e-wallet?

Frequency Percentage
Money transfer 6 12%
Recharge 27 54%
Bill payments 12 24%
Other 5 10%
Table 4.13

10% 12%

Money transfer
24%
Recharge
Bill payments
Other

54%

Chart No. 4.13

INTERPRETATION:

Among 50 respondents 6 respondents use e-wallet for money transfer, 27 respondents

use e-wallet for recharge, 12 respondents use e-wallet for bill payments and 5
respondents use e-wallet for using other services.

Page 43 of 61
Q14. What do you keep in mind while using of e-wallet?

Frequency Percentage
Cashback 29 58%
High Discount 13 26%
Premium offers 8 16%
Table 4.14

16%

Cashback
High Discount
26% 58% Premium offers

Chart No. 4.14

INTERPRETATION:

Among 50 respondents 29 respondents keep in mind about cashback while using e-

wallet, 13 respondents keep in mind about high discount while using e-wallet and 8
respondents keep in mind about premium offers while using e-wallet.

Page 44 of 61
Q15. What are the challenges you face while using e-wallet?

Frequency Percentage
Security concerns 28 56%
Dependence on internet service 12 24%
Too time consumption to set up 3 6%
Cannot used for international transaction 5 10%
Difficult in using e-wallet 2 4%
Table 4.15

4%
10%
Security concerns

6% Dependence on internet
service
Too time consumption to
set up
56%
Cannot used for
24% international transaction
Difficult in using e-wallet

Chart No. 4.15

INTERPRETATION:

Out of 50 respondents 28 respondents face security concern while using e-wallet, 12

respondents has a problem of dependence on internet service, 3 respondents has a
problem with time consumption to set up e-wallet, 5 respondents have a problem
because e-wallet cannot used for international transaction and 2 respondents have
difficulties in using e-wallet.

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Q16. Does your e-wallet provider upgrade services regularly?

Frequency Percentage
Yes 42 84%
No 8 16%
Table 4.16

16%

Yes
No

84%

Chart No. 4.16

INTERPRETATION:

Out of 50 respondents 42 respondents e-wallet provider upgrade e-wallet services

regularly and 8 respondents e-wallet provider don’t upgrade e-wallet services
regularly.

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Q17. Which factor do you think is responsible for non-accessibility of e-wallet by
majority of people?

Frequency Percentage
Do not have internet facilities 9 18%
Lack of knowledge 12 24%
Lack of trust on e-wallet 21 42%
Using of e-wallet is difficult 8 16%
Table 4.17

16% 18%

Do not have internet

facilities
Lack of knowledge

Lack of trust on e-wallet

24%
Using of e-wallet is
difficult
42%

Chart No. 4.17

INTERPRETATION:

Among 50 respondents 9 respondents think people do not have internet facilities is

responsible for non-accessibility of e-wallet, 12 respondents think people have lack of
knowledge is responsible for non-accessibility of e-wallet, 21 respondents think
people have lack of trust on e-wallet is responsible for non-accessibility of e-wallet by
majority of people and 8 respondents think using of e-wallet is difficult is responsible
for non-accessibility of e-wallet.

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Q18. E-wallet services is useful mode of payment?

Frequency Percentage
Agree 31 62%
Neutral 12 24%
Disagree 7 14%
Table 4.18

14%

Agree
Neutral
24%
Disagree
62%

Chart No. 4.18

INTERPRETATION:

Out of 50 respondents 31 respondents agreed that e-wallet services is useful mode of

payment, 12 respondents gave average answer and 7 respondents disagreed that e-
wallet services is useful mode of payment.

Page 48 of 61
Q19. Do you believe your transactions are secured?

Frequency Percentage
Agree 24 48%
Neutral 21 42%
Disagree 5 10%
Table 4.19

10%

Agree
48% Neutral
Disagree
42%

Chart No. 4.19

INTERPRETATION:

Among 50 respondents 24 respondents agree that their transactions are secured, 21

respondents gave average answer and 5 respondents disagree that their transactions
are secured.

Page 49 of 61
Q20. Are you satisfied with the using of e-wallet?

Frequency Percentage
Yes 42 84%
No 8 16%
Table 4.20

16%

Yes
No

84%

Chart No. 4.20

INTERPRETATION:

Among 50 respondents 42 respondents satisfied with the using of e-wallet and 8

respondents are not satisfied with the using of e-wallet.

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Q21. Your overall rating to e-wallet services

Frequency Percentage
Excellent 11 22%
Good 30 60%
Average 7 14%
Poor 2 4%
Table 4.21

4%
14% 22%

Excellent
Good
Average
Poor

60%

Chart No. 4.21

INTERPRETATION:

Out of 50 respondent’s 11 respondents rated e-wallet as excellent, 30 respondents

rated e-wallet good, 7 respondents rated e-wallet Average and 2 respondents rated
poor for e-wallet.

Page 51 of 61
Q22. Would you want to continue using e-wallet?

Frequency Percentage
Very Likely 20 40%
Likely 17 34%
Neutral 10 20%
Unlikely 3 6%
Very Unlikely 0 0%
Table 4.22

6% 0%

20%
Very Likely
40%
Likely
Neutral
Unlikely
Very Unlikely

34%

Chart No. 4.22

INTERPRETATION:

Out of 50 respondents 20 respondents are very likely to continue using e-wallet, 17

respondents are likely to continue using e-wallet, 10 respondents are not sure to
continue using e-wallet and 3 respondents are Unlikely to continue using e-wallet.

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Q23. Would you like to refer your friends and relatives to use e-wallet?

Frequency Percentage
Very Likely 16 32%
Likely 21 42%
Neutral 10 20%
Unlikely 3 6%
Very Unlikely 0 0%
Table 4.23

6% 0%

20% 32%
Very Likely
Likely
Neutral
Unlikely
Very Unlikely

42%

Chart No. 4.23

INTERPRETATION:

Out of 50 respondents 16 respondents are very likely to refer their friends and
relatives to use e-wallet, 21 respondents are likely to refer their friends and relatives
to use e-wallet, 10 respondents are not sure to refer their friends and relatives to use e-
wallet and 3 respondents are Unlikely to refer their friends and relatives to use e-
wallet.

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 Chapter 5: Conclusion and Suggestions

Conclusion
Mobile wallet usage awareness as spread among the people in India due to
government policy of demonetization and this as forcefully induced the usage of
mobile wallet .The security issues are tighten and risk factors are reduced will
automatically increase the adoption of mobile wallet. Apart from these issues the
convenience and ease of use as gained a credit to mobile wallet and it can be
concluded that they will be a tremendous growth in adoption of mobile wallet in the
forthcoming years.

Mobile phones were only used to make calls and reply to texts. No one could have
imagined using a phone to switch on the lights or unlock the door. Better yet, very
few consumers could envision using a phone to take pictures, record a video and
watch their favorite movie. It clear that phones are used for literally everything keys,
TVs and camera. If so why should we hesitate to replace traditional wallets, debit and
credit card for mobile wallets?

It is clear that mobile wallets are slowly making a mark as a form of payment method,
but cash still remains to be an imperative necessity for consumers live. Experts from
different sectors including network operations, banks, express that, mobile payments
will quickly replace traditional wallets over time. Recent studies show that
consumers’ awareness has increased mobile payment usage.

Successful mobile payment services include Alipay, Wechat pay, Apple pay, Amazon
pay and Android pay. Some of the factors that have made them successful include,
making the mobile payment system secure, making it familiar with the consumers and
enabling financial transactions and retail purchases. There still challenges that face
mobile wallet integration like consumers perception.

The number of internet user is growing rapidly every year. It is estimated that there
will be 650 million internet users in 2020. More digitally savvy customers are open to
trying out new innovation and prefer to use digital money. In the recent past, many
tech companies have come up which will help mobile wallets advance to be a

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complete financial management tool. There is a lot to be done to make digital
payment a reality mobile. The demand for an easy payment method will continue to
grow and it will boost the use of mobile wallets.

Suggestions
 The future of mobile payments in INDIA depends largely on the payment
bank license which is to be provided by RBI so that the consumers will get
confidence in using the wallet services.
 All the Mobile wallet providers need to meet the guidelines stipulated by RBI,
so as to acquire payment bank license.
 The awareness of the E-wallet providers is rising when compared to the
preference of usage of services, therefore the reasons for not using M-wallet
can be found.
 However, security concerns appear to be an important factor depressing the
adoption of mobile wallets for payments. Therefore the mobile wallet
providers need to address the security and privacy concerns of the users.

Findings
 It is clear that mobile wallet will alter the other modes of online payment in
future
 The users of mobile wallet are much satisfied on its usage
 Factors like ease in use ,convenience, 24x7 availability plays an important role
in adoption of mobile wallet
 Security and safety of funds plays a challenging factor for the users.
 Quite a few number of respondents do not use M-wallets, the major reason
being e-wallet security issues.
 Based on the age and gender of the respondents, Majority of the male and
female respondents prefer using Paytm who fall into the age group of 21-35.
E-wallet is affected by demographics as it has been seen in the study that more
males are making online payments via e-wallets.

Page 55 of 61
 Chapter 6: References

Websites:

 https://www.alliedwallet.com/blog/blog-posts/secure-e-wallets-gaining-
competitive-edge/
 https://en.wikipedia.org/wiki/Digital_wallet
 https://worldpaymentsreport.com/e-wallet-and-economic-analysis/
 https://www.slideshare.net/RohitNamboodiri/mobile-wallets-analysis-
evolution-scope-future-in-india
 https://www.dotcominfoway.com/blog/opportunities-and-challenges-for-the-
wallet-integration
 https://www.marketresearchfuture.com/reports/e-wallet-market-4633
 https://www.grandviewresearch.com/industry-analysis/mobile-wallet-market
 https://www.techsciresearch.com/news/453-india-mobile-wallet-market-to-
reach-us-6-6-billion-by-2020.html
 http://pmjandhanyojana.co.in/list-e-wallet-companies-india/
 https://www.iprogrammer.com/mobile-wallet-analytics-and-personalization-
the-value-of-data/
 https://bestcompany.com/mobile-wallet/company/ewallet

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Journals

1. Sanaz Zarrin Kafsh (2015), “Developing Consumer Adoption Model on

Mobile Wallet in Canada”, Ottawa, Canada.

2. Neeharika P et al, (2014), “A Novel Interoperable Mobile Wallet Model with

Capability Based Access Control Framework”, International Journal of
Computer Science and Mobile Computing, Vol.3 Issue 7

3. Shwetu Kumar, Vijay Yadav, Atiqu-Ur-Rahman, Aditi Bansal (2014), “A

study on Paytm” Guru Gobind Singh Indraprastha University, Delhi.

4. Ngoc Doan (2014) “CONSUMER ADOPTION IN MOBILE WALLET – A

Study of Consumers in Finland”, TURKU UNIVERSITY OF APPLIED
SCIENCES

5. Nikita Rai, Anurag Ashok, Janhvi Chakraborty, Prajakta Arolker, Saumeel

Gajera(2012), “M-wallet: An SMS based payment system”, International
Journal of EngineeringResearch and Applications, ISSN: 2248-9622.

6. Prof Trilok Nath Shukla (2016) June “Mobile Wallet: Present and the Future”
(JMEIT), Volume -3, Issue- 3

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 Questionnaire

Dear Respondent,

I Tejaswini Sudhakar Poojari student of L. D. Sonawane College. I would like to take

a survey for my project “A Study on Benefits and Challenges of e-wallets”. This
questionnaire will take only few minutes to complete, Please Read properly and give
your honest answer. I assure you that the data generated by you will be kept
confidential. Please do not submit this questionnaire more than once.

1. Gender:
o Male
o Female

2. Age Group
o Below 20
o 21-35
o 36-50
o Above 50

3. Occupation
o Student
o Self-Employed
o Businessmen
o Employee
o Housewife

4. Are you aware of e-wallets?

o Yes
o No

5. From where did you get information about e-wallet?

o Friends
o Social Media

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 o Television
o Newspaper

6. Do you use e-wallets for financial transactions?

o Yes
o No

7. How often do you use e-wallet?

o Daily
o Weekly
o Monthly

8. Using of e-wallet promotes cashless payment to the next level?

o Yes
o No

9. Why do you prefer e-wallet over other modes of payment?

o Time saving
o Ease of use
o Security
o Not to move anywhere
o 24x7 service

10. Which device do you use for making the payment via e-wallet?
o Mobile
o Computer
o Both

11. Which e-wallet do you prefer most of the time?

o Paytm
o MobiKwik
o Freecharge
o Google wallet

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12. How do you consider e-wallet against other sort of payment methods?
o Alternate choice
o Substitute
o Supportive Instrument

13. What are your purpose of using e-wallets?

o Money transfer
o Recharge
o Bill payments
o Other:_________________________

14. What do you keep in mind while using of e-wallet?

o Cashback
o High discount
o Premium offers

15. What are the challenges you face while using e-wallet?
o Security concerns
o Dependence on internet service
o Too time consumption to set up
o Cannot be used for international transaction
o Difficulty in using e-wallet

16. Does your e-wallet provider upgrade services regularly?

o Yes
o No

17. Which factor do you think is responsible for non-accessibility of e-wallet by

majority of people
o Do not have internet facilities
o Lack of knowledge
o Lack of trust on e-wallet
o Using of e-wallet is Difficult

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18. E-wallet services is useful mode of payment?
o Agree
o Neutral
o Disagree

19. Do you believe your transactions are secured?

o Agree
o Neutral
o Disagree

20. Are you satisfied with the using of e-wallet?

o Yes
o No

21. Your overall rating to e-wallet services

o Excellent
o Good
o Average
o Poor

22. Would you want to continue using e-wallet

o Very likely
o Likely
o Neutral
o Unlikely
o Very Unlikely

23. Would you like to refer your friends and relatives to use e-wallet?
o Very likely
o Likely
o Neutral
o Unlikely
o Very Unlikely

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