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A Study On Impact of Phone Pe Payment With Special Reference To Youth
A Study On Impact of Phone Pe Payment With Special Reference To Youth
A Study On Impact of Phone Pe Payment With Special Reference To Youth
On
Session 2022-2023
School of Management
Babu Banarasi Das University
Sector I, Dr. Akhilesh Das Nagar, Faizabad Road, Lucknow (U.P.) India
PLAGIARISM CERTIFICATE
DECLARATION
I do hereby declare that all the work presented in the research report entitled
carried out and being submitted at the school of management for the award of
SINGH. The work is carried out under the guidance of Dr. Abdullah Shadab
(Associate Professor). It hasn‟t been submitted at any other place for any other
academic purpose.
AMIT SINGH
ACKNOWLEDGEMENT
Before I get into the thick of the things I would like to add a few heartfelt words for
the people who were part of this research report in numerous ways and people who
gave unending support right from the stage the project was started, appreciated and
I give my regards and sincere thanks to Dean Prof. Dr. Sushil Pande for his earnest
coordination and valuable efforts. I owe my sincere gratitude towards faculty guide
Dr. Abdullah Shadab (Associate Professor) of BBDU, Lucknow for extending the
In this context I would like to express my gratitude towards my parents and family
members who have constantly supported and played a pivotal role in shaping my
career.
AMIT SINGH
PREFACE
important in the field of Business Management. It offers the student to explore the
valuable treasure of experience and an exposure to real work culture followed by the
industries and thereby helping the students to bridge gap between the theories
understand the real world in which he has to work in future. The theories greatly
enhance our knowledge and provide opportunities to blend theoretical with the
practical knowledge where researcher gets familiar with certain aspect of research. I
EXECUTIVE SUMMARY
TABLE OF CONTENT
2 Plagiarism Certificate ii
3 Declaration iii
4 Acknowledgment iv
5 Executive Summary v
6 Introduction
7 Company Profile
8 Literature Review
10 Research Methodology
12 Findings
15 Conclusion
16 Bibliography
17 Annexure
CHAPTER - I
INTRODUCTION
Chapter – I
INTRODUCTION
Unified Payments Interface (UPI) is an instant real-time payment system developed
mobile devices to instantly transfer funds between two bank accounts. The mobile
number on the device is required to be registered with the bank. The UPI ID of the
programming interface (API) on top of the Immediate Payment Service (IMPS), and
is regulated by the Reserve Bank of India (RBI). RBI Governor Dr. Raghuram G.
Rajan launched the pilot program in Mumbai on 11 April 2016. Banks have started
depositing their UPI-enabled apps on the Google Play store from August 25, 2016. As
of May 2021, the platform has over 100 million monthly active users in India. The
proportion of UPI transactions in total volume of digital transactions grew from 23%
Digital transactions worth ₹8.31 trillion were made via the platform in January 2022.
there were 358 banks available on the platform with a monthly volume of 6.7 billion
Real-time payments with the Unified Payments Interface (UPI) The Unified Payments
the country. Developed and launched by the National Payments Corporation of India
in 2016, UPI is now one of the most preferred payment solutions in India, with over a
billion transactions every month. UPI‟s core function is to support easy and secure
money transfers between bank accounts. It does this by adding multiple bank accounts
into a single mobile application, allowing for seamless fund transfers and merchant
payments from one place. It also enables „peer to peer‟ and „peer to merchant‟
collection requests, which can be scheduled and paid as requested. Payments can be
made using a UPI ID, UPI Number, Account number, and an Indian Financial System
Code (IFSC). Payment security is as per applicable RBI guidelines using a 1-click 2-
factor authentication where the second factor of authentication is the UPI PIN. UPI is
A. FINANCIAL TRANSACTIONS
UPI supports the following financial transactions: Pay Request: A transaction where
the initiating customer „pushes‟ funds to the intended beneficiary. Payment address
includes mobile number and MMID, account number with IFSC, and Virtual ID.
COLLECT REQUEST:
A transaction where the customer is „pulling‟ funds from the intended remitter by
Raising disputes/queries
registered) is already registered with the issuer bank for SMS /mobile alerts. UPI can
be accessed on all major platforms such as Android and iOS with apps developed by
members for versions of Android 4.2.2 and iOS 8.1 and above.
HISTORY
In April 2009, National Payment Corporation of India (NPCI) was formed to integrate
all the payment mechanisms in India and make them uniform for all retail payments.
By March 2011, RBI found out that in India, only six non-cash transactions happen
payment. Around 145 million families have no access to any form of banking. There
is also the problem of tackling black money and corruption that happens mostly in
cash.
RBI in 2012 released a vision statement for a period of four years that indicated
authorized payment and settlement system in India. It is part of the Green Initiative to
decrease the usage of paper in domestic payments market. UPI was officially
Under RBI guidance, NPCI became the primary body tasked with developing a new
payment system that is simple, secure, and interoperable. UPI works on four pillar
push-pull interoperable model where there will be remitter/beneficiary front end PSP
(payment service provider) and remitter/beneficiary back end bank that settles the
monetary transaction for the users. According to CEO of Netmagic Solutions, UPI
became one of the most successful deep-tech innovation coming out of India.
In December 2019, noting the success of UPI, Google suggested Federal Reserve
With exponential growth of UPI, India became the world's largest real-time payment
market with 25.50 billion annual transactions in 2020 per data from ACI Worldwide
As per the Economist Intelligence Unit Report 2021, UPI made India a leader in
global real-time payment market followed by China and South Korea. After the
decision of Ministry of Finance to nullify merchant discount rate (MDR) in 2019 from
UPI, the number of low value transactions skyrocketed making huge gains on real-
time transaction volume data. Nations such as Brazil, Bahrain, Saudi Arabia,
Singapore, United States and European Union are now trying to emulate the success
From January 1, 2019, UPI became a popular payment option for initial public
offerings (IPOs). The transaction limit was enhanced from ₹100,000 to ₹200,000 in
March 2020. From December 2021, RBI again increased the limit to ₹500,000 for
Retail Direct Scheme and IPO applications. To make UPI economically feasible for
payment companies, RBI is considering merchant discount rate (MDR) on future UPI
transactions. In its first monetary policy for financial year 2022–23, RBI proposed
cardless cash withdrawal facility from ATM using UPI based QR code. In partnership
with NSDL Payments Bank and NPCI, ToneTag launched VoiceSE which will enable
400 million feature phone users to make UPI payment using voice in Hindi, Tamil,
UPI 2.0
On 16 August 2018, UPI 2.0 was launched which enabled users to link their overdraft
issuing a mandate for specific merchant. This version also included a feature to view
and store the invoice for the transactions. An AutoPay facility for recurring payments
was also added. As of August 2021, State Bank of India, Bank of Baroda and Paytm
Payment Bank are live on UPI AutoPay each registering 660,000, 204,000, and
186,000 mandates, respectively. From 15 March 2022, Government removed the need
From 8 June 2022, RBI allowed linking RuPay credit cards with UPI. Customers can
now make credit card payments using UPI, in the absence of a physical card. NPCI is
working on a real-time feature that will reduce the 24 hours time period taken by
debit for recurring transactions and investments in securities. The feature will help the
user block funds for specific purpose and release it when needed.
UPI 123PAY
As part of financial inclusion initiative, NPCI with fintech start-up Naffa Innovations
payment service for feature phone users in low connectivity zones over UPI payment
ecosystem under Interactive Voice Response (IVR) project. The system will use Dual
(2FA) flow for peer-to-peer (P2P) transaction. From September 2020 to June 2021, it
was under beta testing while awaiting RBI approval for large scale deployment. The
beta testing and pilot experiment was completed by October 2021 and RBI started
RBI governor, Shaktikanta Das launched the service called UPI 123PAY on 8 March
2022, with an aim to help almost 400 million feature phone users in the country. Till
now, UPI payments were only possible through payment applications on smartphones
and USSD-based service for feature phones. But as per deputy governor T Rabi
Shankar the latter has been found to be cumbersome due to the unavailability of the
App based functionality where a mobile phone manufacturer can install UPI app
Missed called based in which customer can use dedicated merchant payment number
by giving a missed call. The incoming authentication call will ask for PIN verification
Interactive Voice Response (IVR) based where the payment transaction will complete
As per NPCI, some of the early use cases involve FASTag recharges, insurance
collaboration with Bharat Petroleum helped 200,000 active users make LPG booking
INTERNATIONALIZATION
Around 777 million Indian consumers shop across the border in 2021. To make ease
expand the acceptance of UPI into foreign markets especially in China and United
States which accounts for half of all international transaction coming from India.[43]
On 26 January 2022, UK based fintech startup Transact365 enabled UPI for global
merchants with real time currency conversion facility that will help them do business
in India independent of local presence.[44] As per NPCI and RBI mandate, banks,
India must enable international acceptance through UPI from 30 September 2022.
With the release of Payments Vision 2025 document on 17 June 2022, RBI will push
for internationalization of UPI with nations using United States dollar, Pound sterling
and Euro under bilateral treaties.[46][47] Ministry of External Affairs (MEA) also
several countries including Canada are reluctant to accept UPI due to push back from
American firms. MEA is looking for Central Bank to Central Bank transfer using UPI
as the pipeline and a collaborative effort if the countries have a similar system like
Commonwealth of Nations.
payments in UAE, Singapore, Mauritius, Nepal and Bhutan. Users will be able to pay
SERVICE
For real-time payments from one bank account to another, any UPI client app can be
used and multiple bank accounts can be linked to a single app. Money can be sent or
requested using a user-created Virtual Payment Address (VPA) or UPI ID for each
bank account using the KYC-linked mobile number. UPI also generates a specific QR
MOBILE APPS
Any UPI app can be used to transfer funds from and to UPI enabled banks. Apart
from various third-party apps such as Google Pay (previously Tez), Airtel Payments
Bank, PhonePe, Paytm, MobiKwik, Amazon Pay, Samsung Pay, WhatsApp Pay,
The total number of banks linked to UPI platform grew from 21 in April 2016 to 304
in February 2022. In June 2021, NPCI removed the restriction placed on WhatsApp
on UPI customer onboarding which until then was limited to 20 million users. With
530 million registered users in the Indian market, WhatsApp could then roll out UPI
On-Device wallet
NPCI called this feature UPI Lite. It can scan QR code without the need of an internet
connection. In phase 1, UPI Lite will process the debit transaction offline while the
credit will happen when the device goes online. But the final goal is to achieve both
credit and debit transaction through offline mode. The upper limit of UPI Lite On-
Device wallet is ₹2,000. Additional factor authentication or UPI AutoPay feature will
be used to securely load the desirable amount.[67] Since 50% of UPI transactions are
below ₹200 with a higher frequency rate, the per transaction limit will be maximum
₹200, as it creates a large backlog of volume which increases the failure rate and
affects the stability of the entire payment network. To save electricity consumption
and computing power of banks, UPI mobile apps will have to support on-device
wallet features as per the RBI directive from December 2021. The in-built wallet will
help in low-value instant payment by using the infrastructure of the mobile app
On September 20, RBI governor Shaktikanta Das officially launched UPI Lite at
Global Fintech Fest 2022. Canara Bank, HDFC Bank, Indian Bank, Kotak Mahindra
Bank, Punjab National Bank, State Bank of India, Union Bank of India and Utkarsh
Small Finance Bank enabled UPI Lite feature on BHIM. Paytm Payments Bank on 15
SUPPORTED BANKS
The NPCI website lists the banks that facilitate UPI,[69] termed as Payment Service
Providers (PSP) – listed with their UPI application and handle – and issuers.[69] PSP
includes banks which have their own mobile application to facilitate transaction and
issuers include banks which don't have their own payments interface and rely on
e-RUPI
Welfare and National Health Authority. It was introduced from 2 August 2021. E-
10
RUPI is to ensure leak proof delivery of welfare services and bypassing middle man
to decrease corruption. Private sector can use the service for their own corporate
code or SMS string that can be delivered through mobile phone. e-RUPI will act as a
precursor for future Central bank digital currency (CBDC) that will be launched by
RBI as it will help in highlighting the gaps within the national digital payment
infrastructure.
Financial Software and Systems (FSS) integrated e-RUPI on 1 December 2021 for
with NPCI to provide student scholarship through e-RUPI which can even be received
on feature phones.
MARKET SHARE
From 93,000 transactions in August 2016 valued at ₹30 million, UPI generated 800
million transactions in March 2019 with a total value of ₹1330 billion. In June 2021,
UPI recorded 1.94 million IPO mandates that increased to 7.66 million in July. This
was the highest ever since UPI was made mandatory by Securities and Exchange
Board of India for domestic retail investors for IPO process. By late August 2020,
with 18 billion annual transactions, UPI surpassed American Express in India. NITI
Aayog predicted that UPI will also surpass Visa and Mastercard by 2023. UPI took
three years to reach 1.14 billion in October 2019 while by the end of October 2020,
the payment system registered 2.07 billion transactions. In 2020, $457 billion worth
of value was moved on UPI platform which was 15% of India's GDP.
11
As of July 2021, UPI registered 432.5 million transactions that accounted for
₹567,345 million with highest average daily transaction of approximately 100 million
that is double the amount from July 2020. As of August 2021, UPI forms 10% of all
retail payment in India. PhonePe and Google Pay both recorded 1 billion transactions
in August with a market share of 45.94% and 34.45% respectively in the UPI payment
ecosystem while Paytm took 11.94% share with ₹387.85 million transaction.
From the financial year 2015–21, the domestic retail payment by value on UPI grew
at 18% at a compound annual growth rate (CAGR) while between 2017 and 2021, the
collective payment on all forms of UPI grew at 400% CAGR. In the financial year
2021, ₹41 trillion (short scale) worth of money was exchanged on the UPI platform
that is 2.8 times the value of debit and credit card payment at point of sale (POS)
terminals and 20 times the value of digital wallet and prepaid instruments in India.
UPI registered 3.55 billion transactions in August 2021, a growth of 9.56% from the
previous month. In terms of value, ₹6.39 trillion worth of money was transacted in
August alone. From ₹3.2 trillion to ₹6 trillion, the growth in value terms doubled
between September 2020 to July 2021. It had reached an all-time high of 3.65 billion
transactions worth ₹6.54 trillion in value since inception in the month of September.
By now the total transaction for the year 2021, reached ₹50 trillion.
UPI touched value of ₹7.71 trillion in October 2021 which is a 56% jump from
September. As per NPCI, daily UPI payment for the month of October is between
₹250 billion to ₹300 billion.[88] Out of all UPI transactions done in the month of
(P2M).[89] UPI reached $844 billion in value until November 2021. In December, the
total transaction value on UPI reached ₹8.27 trillion with 99% annual growth rate.
12
The largest share in $2 trillion of annual digital payment in India comes from
UPI.[91] The Q2 of 2022 saw 20.57 billion transactions worth ₹36.08 trillion as per
Worldline SA. P2P accounted for 49% in volume and 67% in value while P2M
accounted for 34% in volume and 17% in value. As per CEO Dilip Asbe of NPCI,
P2M as of November 2022 accounts for more than 50% of UPI transaction volumes.
In 2019, UPI accounted 17% of ₹3,100 crore digital transactions which in 2022
MARKET CAP
payment providers on 30% market cap. The limit will be calculated on the basis of
total volume of transactions processed over UPI during the preceding three months on
a rolling basis starting from 1 January 2021. Compliance deadline is until December
2023. NPCI will push first alert through an email or a letter to third-party payment
providers and their partner banks when UPI transactions hits 25-27% threshold which
payment providers must acknowledge. In return, payment providers will send second
alert to NPCI with evidence on the steps taken for compliance. In case 30% mark is
breached, payment providers and banks must stop new user on-boarding. In special
13
cases, payment providers and banks may get an exemption of 6 months for
compliance. The report of breaching 30% market cap must reach NPCI within first
five working days with plan for corrective measures. During the same period,
payment providers and banks must inform new customers about the issue. Non
compliance of market cap bring penalties under UPI procedural guidelines. NPCI will
PhonePe made a formal request to NPCI to defer 30% market cap deadline from
January 2023 to January 2026. NPCI is discussing this issue with RBI and
Government. Industry stakeholders want to do away with 30% market cap proposed
another contentious issue since it results in blocking existing users from performing
payment to maintain 30% market cap which is not feasible from business point of
view. RBI also started looking for solutions to fix the duopoly situation created by
PhonePe. Both the players will get two additional years till 31 December 2024 to fix
Come April 1, wallet holders will be able to use their balance to pay merchants with
any UPI QR code, thus paving the way for the interoperability of digital wallets on the
UPI platform.
However, these transactions will attract an interchange of 1.1 per cent of the
transaction value if the transaction value is above Rs 2,000. The interchange fees has
to be paid to the issuer of the wallet when the wallet holders pay through their wallet
balance on UPI.
Further, the prepaid instrument (PPI) issuer will have to pay 15 basis points as wallet
loading service charge to the remitter bank (account holder‟s bank) for loading
14
transaction value greater than Rs 2,000 on the wallet. However, an interchange fee
will not be required to pay for peer-to-peer (P2P) transactions and P2PM transactions
announced that all its full KYC wallet customers will now be able to make payments
on every UPI QR code and online merchant where UPI payments are accepted.
Consequently, the bank will earn 1.1 per cent interchange revenue when Paytm Wallet
customers (i.e., the KYC wallets issued by Paytm Payments Bank) make payments on
merchants acquired by other payment aggregators or banks. And the bank will pay 15
bps of charges for adding more than Rs 2,000 using UPI and, in turn, will also earn 15
bps when any other wallets use the bank to add more than Rs 2,000 using UPI.
According to a research note issued by Citi, the interoperability of wallets with UPI
significantly improves the salience of wallets. Wallets can now be used on UPI rails
(250 million QRs as of Feb 23) and, unlike UPI itself, have better convenience (load
wallet once and use multiple times vs entering UPI code at every instance of
payment).
“Since consumers can load their wallets with money from anywhere (credit card,
BNPL, debit card, net banking etc.), the new rules also likely to create a mechanism
for using any instruments via UPI, albeit indirectly, because consumers have to load
the wallet with the instrument of their choice and then use the wallet at UPI QR-
This move of NPCI is expected to be positive for Paytm, which has a 60 per cent
share in wallets. This will mean Paytm wallets will gain universal acceptance across
15
Also, since the interchange fees is to be paid to the wallet issuer, Paytm and other
payment apps will pay interchange to Paytm Payments Bank when Paytm wallets are
used at 250 million UPI QR codes. Further, since wallet loading charges will be paid
by issuers like Paytm Payments Bank to remitter banks, for Paytm itself, these
bilaterally-agreed commercials between Paytm and Paytm Payments Bank and are,
According to experts, the NPCI circular on full interoperability of KYC wallets across
all UPI merchants is a significant step towards the growth of digital payments in
India. The guidelines make wallets more appealing to customers by opening up newer
payment-use cases.
“Many merchants use wallets for accepting customer payments, for instance, at PoS.
Interoperability will significantly ease collection for them since it will allow
merchants to accept wallet payments regardless of the wallet being used by the
customer. Further, it will eliminate the need for specific integrations with a particular
wallet to accept payments on a website since customers can also pay via UPI or card
infrastructure. This will increase the payment alternatives for customers”, said Akash
HOW IS IT UNIQUE?
Immediate money transfer through mobile device round the clock 24*7 and 365 days.
Single Click 2 Factor Authentication – Aligned with the Regulatory guidelines, yet
Virtual address of the customer for Pull & Push provides for incremental security with the
customer not required to enter the details such as Card no, Account number; IFSC etc.
QR Code
16
Best answer to Cash on Delivery hassle, running to an ATM or rendering exact amount.
Utility Bill Payments, Over the Counter Payments, QR Code (Scan and Pay) based
payments.
PARTICIPANTS IN UPI
Payer PSP
Payee PSP
Remitter Bank
Beneficiary Bank
NPCI
Merchants
17
CHAPTER - II
LITERATURE
REVIEW
18
Chapter – 2
LITERATURE REVIEW
Govender&Sihlali (2014) they explored the factors determine the adoption of mobile
banking services among students who are more technically knowledgeable. The
investigate the factors that determine student‟s acceptance of mobile banking. The
constructs of TAM for mobile adoption such as Perceived Ease of Use, Perceived
usefulness, Perceived Value, Trust Intention to Use, and Usage Behavior were used.
The statistical tool multiple regression analysis was used to examine the influence of
independent variables trust, perceived value, perceived ease of use and social
Cabanillas et.al., (2015) they have developed a model to examine user‟s intention to
use mobile payment based on TAM and MPTAM (Mobile Payments Technology
Acceptance Model). The study was investigated the moderator effect of the user‟s age
between the subjective rules and the facility of use. The survey has been conducted
among the 2012 national panel of internet user (physical & virtual). The analysis of
data shows that an internet user‟s behavior is influenced by their intention to use new
tools. The study findings show that most of the younger mobile payment users are
satisfied and accepted the mobile technology tools when compared to older mobile
users. This study has indicated that older consumers are the stronger relationship
between facility to use and subjective rules. So the mobile technology provider should
19
give more attention to older consumers to create knowledge about usable of new
tools.
Singh & Gupta (2016) They have conducted a study to identify various factors
considered the various variables for the study are Convenience, Trust, Security, and
Adaptability which have an impact on the satisfaction of mobile wallet usage. The
study was conducted in the Kurali city, District of Punjab. Pearson's Correlation
Analysis was to investigate the relationship between the different basic variables of
the study. The study findings show that mobile wallets are considered as the futures of
cash.
Ahuja& Joshi (2018) have studied about the customer perception concerning Mobile
wallets. In this study they examined that the factors exploration technique is used to
classify the factors which influence customer opinion towards Mobile wallets. The
study has been conducted about the different types of mobile wallets in India. The
data is collected from both secondary data and primary data. The survey was
very fast rate. Day by day the numbers of users are moving towards online payment
systems instead of using plastic money like cash etc. Making online transactions is
very convenient and time saving. People can pay online not only for shopping but also
for different purposes as many different apps are available that offers many services
to the users. This paper studies the reasons of increasing popularity and use of
payment apps by the people of India for making payments online and the continuous
20
growth of these payment apps in India. The authors of this paper analysed three most
popular payment Apps used in India namely, Google Pay, Phone Pay and Paytm.
the „Digital India‟ campaign introduced by the government of India. There are various
forms of digital payment system. Data for the study have been collected from 150
technique. Simple Percentage, Weighted Average Ranking and Chi-square test have
been used to analyze the data. The study reveals that majority of the customers are
female with the age of below 30 years and majority of them are undergraduates
employed in private sector with an earning of up to Rs.20000 per month and they are
aware about Google pay through friends, relatives and by themselves. The reasons for
using Google Pay are mobile recharge followed by payment of EMI, DTH recharge,
ticket booking, bank transfer and online purchase. Chi-square test reveals that age,
awareness are significantly associated with the level of usage of Google Pay.
wallets in Finland area. This research was designed in a quantitative method using
questionnaire which was sent to potential respondents in Finland. The study measures
the market condition of mobile wallets users. The study findings reveal that the usage
of mobile wallet is only in the initial stage and respondents are showing positive
attitudes towards usage of mobile wallets. Research concluded that the trust factor
reveal the positive or negative impact on adoption of user, depending on the user
21
Govender & Sihlali (2014) they explored the factors determine the adoption of
mobile banking (mbanking) services among students who are more technically
of mobile banking. The constructs of TAM for mobile adoption such as Perceived
Ease of Use, Perceived usefulness, Perceived Value, Trust Intention to Use, and
Usage Behavior were used. The statistical tool multiple regression analysis was used
perceived ease of use and social influence may account for 42percent on the influence
of dependent variable.
Cabanillas et.al., (2015) they have developed a model to examine user‟s intention to
use mobile payment based on TAM and MPTAM (Mobile Payments Technology
Acceptance Model). The study was investigated the moderator effect of the user‟s age
between the subjective rules and the facility of use. The survey has been conducted
among the 2012 national panel of internet user (physical & virtual). The analysis of
data shows that an internet user‟s behavior is influenced by their intention to use new
tools. The study findings show that most of the younger mobile payment users are
satisfied and accepted the mobile technology tools when compared to older mobile
users. This study has indicated that older consumers are the stronger relationship
between facility to use and subjective rules. So the mobile technology provider should
give more attention to older consumers to create knowledge about usable of new
tools.
22
Meuthia (2015) the study has been investigated that empirically the experiences of
users‟ satisfaction on e-money adoption in Indonesia. In this study the trust was
considered as an important factor for e-money adopt, and at the time of promotes the
system quality and participation. The data was collected from 117 e-money
respondents in Indonesia. The result shows that users‟ satisfaction is determined based
on system quality and participation of users. The research proposed that trust factors
have high level followed by the others stimulants variables. The study concluded that
trust and distrust were strongly influenced the level of users‟ satisfaction on e-money
adoption in Indonesia.
Liu & Tai (2016) they have conducted a study in Vietnam to analyze the factors
influencing the consumer‟s intention to use mobile payment services. The variables
considered for the study todetermine consumer‟s intention to use of mobile payment
use, usefulness, risk, trust, and safety. The two variables namely perceived ease to use
and perceived usefulness was extracted from the TAM model which was deemed as a
suitable model to study consumers‟ response and behaviors when a new product is
introduced. The data has been collected from 604 respondents. The result shows that
among the four external variables compatibility has a strong influence on ease of use
payment. The study highlighted that trust and safety have no direct impact on
usefulness but it has a direct impact on the intention to use mobile payment. The study
concluded that in Vietnam young people have greater intention to use mobile payment
services when compared to older people and most of the consumers are not giving
23
Singh & Gupta (2016) They have conducted a study to identify various factors
considered the various variables for the study are Convenience, Trust, Security, and
Adaptability which have an impact on the satisfaction of mobile wallet usage. The
study was conducted in the Kurali city, District of Punjab. Pearson's Correlation
Analysis was to investigate the relationship between the different basic variables of
the study. The study findings show that mobile wallets are considered as the futures of
cash.
Ahuja & Joshi (2018) have studied about the customer perception concerning Mobile
wallets. In this study they examined that the factors exploration technique is used to
classify the factors which influence customer opinion towards Mobile wallets. The
study has been conducted about the different types of mobile wallets in India. The
data is collected from both secondary data and primary data. The survey was
Kaur, Puneet, et al (2020) examines that mobile wallet apps have been increased
and safety payments on behalf this still the mobile wallets not extended in markets.
communication technology opened the gate way for modern methods of payments.
The growth in smart phone and access to internet made life easier for the people and
which gave advent to digitalization. Digitalization not only improved trade and
Vinitha,K.,and S.Vasantha.(2018) Digital revolution has altered the routine life style
of people. The power of world wide web and digital payments is having pivotal role
24
in getting connected and making any time anywhere payments at your attain user
shows that more people prefer using the non-cash modes when cash shortage was at
its crest even for small transaction matter. It shows that there is a significant positive
contacts and security proved to have a negative influence on the dependent variable.
People are more concerned about the security aspects as they believe that their people
are more concerned about the security aspects as they believe that their monetary
Maindola, Pallavi, Neetu Singhal, and Akash D.Dubey.(2018) The digital payment
complete turnaround in the payment landscape has been observed. The technology
demonetization saga has enabled the evolution of multiple non-banking players in the
payment space.
Mishra, Sonal, and Kirti R. Swain. (2018)Mobile payment system has gained
popularity in the recent past, due to increased Smartphone penetration, cheap high
speed internet facilities; crave for quicker payment settlement and convenience for
use. But the percentage increase is yet not satisfactory, even after major efforts made
by our government to facilitate digital literacy and provide various payment method
alternatives.
Gupta, Knavish, and Nupur Arora. (2020) shows that Perceived ease of use and
25
systems. Also, there exists a substantial positive relationship between attitude to adopt
mobile payment systems and intention to adopt mobile payment systems. The current
study examines the impact of attitude towards mobile payment systems on intention to
model.
starting to realize that e-payment system is the important thing to enhance their brand
differentiation, boost sales, customer satisfaction and hold up with competitors. In the
transaction of BHIM wallet has been received three times growth in only one
has increased the popularity of mobile payments. Users can shop online through a
mobile device, which is time saving and convenient. Mobile payment systems involve
ongoing interactions between users and payment providers. The initial acceptance of
mobile payment systems has been studied extensively, but few studies have attempted
mobile payment services lies in the convenient transactions they offer to users. In the
financial and data losses. It thus becomes critical to understand how risk and
26
They examines that Go-Pay was the innovation in Financial Technology offered in
efficiency of payment. The main objective of this study was to bring further insights
into customer intentions to use mobile payments Go-Pay it helps improving service
quality and increasing user satisfaction of the Go-Jek user. Mobile payment is in a
developing stage and consumers are still reluctant and so they hesitate to use mobile
payment.
Digital India and increased use of mobile and internet are means to exponential
economy. In recent days many changes took place in the payment system like digital
wallets, UPI and BHIM apps for smooth shift to digital payments.
Pal, Abhipsa, Tejaswini Herath, and H. Raghav Rao. (2019)The heavy cash
dependence of india and low digital adoption changed when the government
and creating a crisis. In this cash shortage ,the nation, that was historically low on
Das, Abhrajyoti, et al. (2018) Digital wallets‟, gained a lot of popularity in recent
times in India and around the globe. A digital wallet refers to a platform based on
payment method which reduces all the hassle of carrying cash with you everywhere.
27
Many digital wallet services have their own mobile apps. Post demonetization in
India, the popularity of digital wallet gains exponentially. There are many digital
wallets which are currently active in India like paytm, freecharge, jio Money, Airtel
Money etc.
Gupta, Rahul, Cheshtha Kapoor, and Jayesh Yadav. (2020). The author derives “
payment systems, various digital payment methods have been introduced nation-wide,
including Micro ATMs, Banking Cards, Internet Banking, UPI (Unified Payment
Yuvaraj, S., and N. Sheila Eveline. (2018)In every economy, money is said to be the
life blood. With the advent of internet, Smartphone‟s and other digital technologies
has made cash transactions simpler. In the current scenario most of the transactions
were made cashless and in future physical form of currencies will no longer be a king.
CHERUKUR, MR. (2020) The present study focuses on the customer satisfaction
towards mobile wallets. This study examines the factors that influence customer‟s
satisfaction while using mobile wallets. Nowadays everyone uses their Smartphone‟s
to make their day today transactions using mobile wallets. Mobile wallets create a
huge impact among the people. The present study is carried by a survey conducted
among the mobile wallet users to identify the satisfactory levels of them.
Miruna,S.Lyrics. (2019) In recent times technology plays a very vital role with this,
the way we transact in daily life has changed drastically with the advent of smart
28
phone the life has become easier where all payments & transaction are taking place on
online. This paved the way for the emergence of platform termed has a digital wallet.
efficiency of financial institutions and the provision of new services for the
convenience of the customers. The youngsters really adapted to this payment apps .It
Tiwari, Pooja, Vikas Greg, and Abhishek Singhal. (2019).In today's fast-moving
lifestyle people need to adopt more convenient and secure gadgets to make their life
more comfortable. To achieve this goal, there is an innovative product called Digital
Wallet. The digital wallet refers to an electronic device or service provided to persons
enabling them to conduct electronic transactions. The best example of digital wallet is
the online shopping. It is also known as e-wallet. Nowadays people prefer online
shopping as it is providing them the benefits like it is less time consuming for
areas of the world business like and Companies, Banks and Customers. The Banks
have taken a better place in providing a better bank transaction services and payment
to the customers need .For customers are dragged by the shopping facilities that is
given by E-wallet and customers are attracted because of convenience and speedy
transaction.
technology, the people are not away in using the newer technologies. One of the most
This e-wallet eased payments for online shopping and payment of utility bills.
29
DR.S.Manikandan may (2017) in present world smart phones play an important role
in the daily life of people. The technological advancement has made smart phone as
devices were the mobile users can make money transaction or payment by using
application installed in phone. The present study aims to explain the application and
usage of wallet money endorsed by different companies and various factors that affect
the consumer‟s decision to adopt mobile wallet and various risks and challenges faced
T. Praiseye September (2018) Mobile phones are used everywhere in this modern
world. The technological advancement has made everything possible under one touch.
By using the applications installed in the mobile phones the users can pay any bills
and transact their money to anyone at their convenience. Increase in use of mobile
phones and internet is the main reason for mobile wallet penetration. This study was
carried out to find out the factors that affects consumers preference towards mobile
wallet.
Rathore, Hem Shweta. (2016) In today-world, smart phone has become essential
part of daily life. Due to technology, mobile users can nowadays use their
in the phone. When smart phones can function as leather wallets, it is called “Digital
increased use of mobile and internet are the main reasons for the exponential growth
in use of digital payment. Even though the thought of digitalization raised long years
ago, it took growth pace recently. This is because of lack of awareness and knowledge
among people, fear to make online payment, security issues etc. The E-Payment
30
system will be boosted only when the awareness is created in the minds of the people.
But in the current scenario, India has seen a substantial increase in the number of
Singh, Gurinder, Bhawna Kumar, and Ruchika Gupta. “(2018).Digital wallets are
gaining wide popularity across the globe as a means to make payments, transfer funds
and manage loyalty relations as well. It enables the consumer the ease of “paying with
your phone”. Despite the ease of use and several other benefits and the availability of
dozens of applications, the consumers are still skeptical about its adoption. This
Nair, Amal, Manisha Dahiya, and Naman Gupta. (2016).Wallets have been used
from thousands of years to protect and carry personal items of value. The earliest
value wallets or satchels were a piece of cloth tied with a piece of string which
enabled a range of items such as coins to be carried out to market. Humans have
always been mobile and have needed a container to securely carry personal items.
People consume for both necessity and pleasure. Basic items such as food and
clothing are purchased on a regular basis but people also buy goods which are only
digital payments. With the government initiative such as Digital India and increased
use of mobile and internet are means to exponential growth in use of digital payment.
transactions which empowers the country‟s economy. In recent days many changes
31
took place in the payment system like digital wallets, UPI and BHIM apps for smooth
Singh, Gagandeep. (2019)In the growing era of the digitization of the technology
much of the people have using the plastic money in the form of Debit Card, Credit
Card and other cards provided by the numerous respective commercial banks. The
immediate payment service, net banking and mobile banking; but it is found that
people needed an easier, simpler way to make payments. so this gap was filled by the
digital wallets or e-wallets. This paper is constructed to find out the adoption
32
wallets in Finland area. This research was designed in a quantitative method using
questionnaire which was sent to potential respondents in Finland. The study measures
the market condition of mobile wallets users. The study findings reveal that the usage
of mobile wallet is only in the initial stage and respondents are showing positive
attitudes towards usage of mobile wallets. Research concluded that the trust factor
reveal the positive or negative impact on adoption of user, depending on the user
Govender & Sihlali (2014) they explored the factors determine the adoption of
mobile banking (mbanking) services among students who are more technically
of mobile banking. The constructs of TAM for mobile adoption such as Perceived
Ease of Use, Perceived usefulness, Perceived Value, Trust Intention to Use, and
Usage Behavior were used. The statistical tool multiple regression analysis was used
perceived ease of use and social influence may account for 42percent on the influence
of dependent variable.
Cabanillas et.al., (2015) they have developed a model to examine user‟s intention to
use mobile payment based on TAM and MPTAM (Mobile Payments Technology
Acceptance Model). The study was investigated the moderator effect of the user‟s age
between the subjective rules and the facility of use. The survey has been conducted
among the 2012 national panel of internet user (physical & virtual). The analysis of
33
data shows that an internet user‟s behavior is influenced by their intention to use new
tools. The study findings show that most of the younger mobile payment users are
satisfied and accepted the mobile technology tools when compared to older mobile
users. This study has indicated that older consumers are the stronger relationship
between facility to use and subjective rules. So the mobile technology provider should
give more attention to older consumers to create knowledge about usable of new
tools.
Meuthia (2015) the study has been investigated that empirically the experiences of
users‟ satisfaction on e-money adoption in Indonesia. In this study the trust was
considered as an important factor for e-money adopt, and at the time of promotes the
system quality and participation. The data was collected from 117 e-money
respondents in Indonesia. The result shows that users‟ satisfaction is determined based
on system quality and participation of users. The research proposed that trust factors
have high level followed by the others stimulants variables. The study concluded that
trust and distrust were strongly influenced the level of users‟ satisfaction on e-money
adoption in Indonesia.
Liu & Tai (2016) they have conducted a study in Vietnam to analyze the factors
influencing the consumer‟s intention to use mobile payment services. The variables
considered for the study todetermine consumer‟s intention to use of mobile payment
use, usefulness, risk, trust, and safety. The two variables namely perceived ease to use
and perceived usefulness was extracted from the TAM model which was deemed as a
suitable model to study consumers‟ response and behaviors when a new product is
introduced. The data has been collected from 604 respondents. The result shows that
among the four external variables compatibility has a strong influence on ease of use
34
payment. The study highlighted that trust and safety have no direct impact on
usefulness but it has a direct impact on the intention to use mobile payment. The study
concluded that in Vietnam young people have greater intention to use mobile payment
services when compared to older people and most of the consumers are not giving
Singh & Gupta (2016) They have conducted a study to identify various factors
considered the various variables for the study are Convenience, Trust, Security, and
Adaptability which have an impact on the satisfaction of mobile wallet usage. The
study was conducted in the Kurali city, District of Punjab. Pearson's Correlation
Analysis was to investigate the relationship between the different basic variables of
the study. The study findings show that mobile wallets are considered as the futures of
cash.
Ahuja & Joshi (2018) have studied about the customer perception concerning Mobile
wallets. In this study they examined that the factors exploration technique is used to
classify the factors which influence customer opinion towards Mobile wallets. The
study has been conducted about the different types of mobile wallets in India. The
data is collected from both secondary data and primary data. The survey was
35
CHAPTER - III
COMPANY
PROFILE
36
Chapter – 3
COMPANY PROFILE
PHONEPE
India
Rahul Chari
(Co-Founder & CTO)
Burzin Engineer
(Co-Founder & CRO)
Mobile payments
Payment systems
Parent Walmart
37
URL phonepe.com
Commercial Yes
Registration Required
Users 35 crore
PHONEPE
2015, by Sameer Nigam, Rahul Chari and Burzin Engineer. The PhonePe app, based
on the Unified Payments Interface (UPI), went live in August 2016. It is owned by
The PhonePe app is available in 11 Indian languages. Using PhonePe, users can send
and receive money, recharge mobile, DTH, data cards, make utility payments, pay at
shops, invest in tax saving funds, liquid funds, buy insurance, mutual funds, gold and
38
silver. PhonePe also allows users to book their Ola rides, pay for Redbus tickets, book
PhonePe is accepted as a payment option by over 2.5 crore offline and online
merchant outlets across 15,700 towns and villages. The app served more than 10 crore
users as of June 2018, and processed 500 crore transactions by December 2019. It
currently has over 35 crore registered users with over 15 crore monthly active users.
PhonePe is licensed by the Reserve Bank of India for issuance and operation of a
Semi Closed Prepaid Payment system with Authorisation Number: 75/2014 dated 22
August 2014.
HISTORY
PhonePe was incorporated in December 2015. In April 2016, the company was
acquired by Flipkart and as part of the acquisition, the FxMart license was transferred
to PhonePe and rebranded as the PhonePe wallet. PhonePe's founder Sameer Nigam
was appointed as the CEO of the company. In August 2016, the company partnered
with Yes Bank to launch a UPI-based mobile payment app, based on the government-
backed UPI platform. Within three months of launch, the app was downloaded by
over one crore users. In 2018, PhonePe became the fastest Indian payment app to get
a five crore badge on the Google Play Store. The PhonePe app overtook BHIM to
PhonePe Success Story and Marketing Strategy – The landscape of digital payments
has changed drastically ever since the demonetization at the end of 2016. For the
unversed, PhonePe is a digital wallet and online payment app that allows users to pay
bills, transfer money, invest in mutual funds and gold, buy life insurance and make
instant payment to your favorite online and offline stores via wallet or UPI.
39
In this blog post, we will take a look at the journey and success story of PhonePe; the
marketing strategies that have led to its overwhelming success, the names of the
individuals/companies that are funding its operations and what the future looks like
for them.
PHONEPE FOUNDERS
1) SAMEER NIGAM
Sameer Nigam laid the foundation of PhonePe in 2015. He is serving as the Chief
2) RAHUL CHARI
He is presently serving as the Chief Technology Officer at PhonePe. Mr. Chari has
3) BURZIN ENGINEER
experience of over 20 years, he has built web scale infrastructure and led multiple
engineering projects at PhonePe including running and building the company‟s web
Here is a list of all the accolades and achievements that PhonePe has garnered since
its launch:
2015
40
2016
2017
Becomes the #1 Finance App on Apple App Store & Google Play Store
2018
2019
Awarded with “Best Mobile Payment Product or Service” at 9th IAMAI Indian
Digital Awards
2020
Launches PhonePe ATM across 10 lakh stores in more than 300 cities
Adds the feature to buy insurance including motor, travel and coronavirus insurance
Over the course of years, PhonePe has added many sources of revenue to its
41
DTH recharge
Bu
Selling Insurance
Selling Gold
UPI/Wallet
Mutual funds
PhonePe Funding
The online payment app has raised nearly $1.5 billion through multiple rounds of
funding. Homegrown E-commerce giant Flipkart has been the major investor in
PhonePe. Notably, Walmart too invested in the platform in the December 2020 round
of funding.
The most recent funds came to the Singapore unit of PhonePe in the form of $66.5
million (roughly INR 500 crore) in a funding round led by Chinese technology firm
Tencent Holdings along with participation of New York-based investor Tiger Global.
What started as a digital wallet and UPI-based payments app is now a multi-purpose
platform which can do many amazing things in the financial world. PhonePe has
entered into many partnerships to reach the position where it is today. Some notable
partnerships include:
42
In 2018, the company partnered with giants like Jio Money and Airtel Money. As a
result, users could link their PhonePe accounts with these platforms.
PhonePe is a proud partner of more than 180 consumer brands, including RedBus,
Then, PhonePe entered into the market of mutual funds by collaborating with Aditya
Birla Sun Life Mutual Funds. The partnership implied that PhonePe users could invest
PhonePe launched its international travel insurance in collaboration with Bajaj Allianz
General Insurance. This happened in January 2020, and with this PhonePe became the
PHONEPE ATM
PhonePe added another feather to its cap in early 2020 with the launch of PhonePe
Atm. Don‟t be confused – it isn‟t the ordinary bank atm that you visit to withdraw
cash. Rather, through this service you can get instant cash from nearby
merchants/shops offering this facility. The service is presently only available in the
ATM:
Click on the „Stores‟ Tab at the bottom of your PhonePe app‟s screen
Select „PhonePe ATM‟ to see a list of nearby shops offering the PhonePe ATM
service.
As of now, you can avail a cash of INR 1000 a day from the merchant.
Visit the shop, click on the „withdraw‟ option and transfer the required amount to the
merchant.
That‟s it! The merchant will provide you the cash equal to the amount transferred.
43
PHONEPE COMPETITORS
PhonePe faces direct, very strong competition from a number of similar players in the
market. Here we have listed the companies/brands that offer direct competition to
PhonePe:
1) PAYTM
Paytm is another digital wallet and UPI-based platform that is PhonePe‟s major rival.
Paytm was launched in the year 2010, and since then it has grown by leaps and
bounds. Paytm and PhonePe are quite similar when it comes to the services offered.
However, an aspect where the former beats the latter is the Paytm Mall.
2) GOOGLE PAY
Another arch rival of PhonePe in the UPI transactions segment is none other than the
search engine giant‟s Google Pay. However, recent reports suggest that PhonePe is
2020, PhonePe had a market share of 45.27% as compared to Google Pay‟s 34.67%.
The major competition ends with these two. However, there are a few similar
Amazon Pay
BharatPe
BHIM
Mobikwik
Freecharge
Only recently, PhonePe earmarked INR 8,000 crore marketing budget to penetrate
deeper into the country, whilst simultaneously taking on the rising competition. As
part of the deal, the company signed two very popular Bollywood celebrities- Aamir
44
Khan and Alia Bhatt for its endorsements. The company aims to add more than 100
million people every year till the goal of 500 million verified users is reached.
The company relies heavily on TV, social media handles and YouTube channel to
advertise new features and offers. With every TV commercial, PhonePe introduces a
new tagline. Its present tagline is “Karte Ja, Badhte Ja”! The company has been
Awarded as the best Mobile Payment Product or Service at the IAMAI India Digital
Awards 2018.
Declared the winner at the 8th Annual India Retail and e-Retail Awards 2019.
Awarded as the best Mobile Payment Product or Service at the 2019 edition of
Achieves the tag of India‟s fastest growing insure-tech distributor with a sale of 5 lakh
policies in 5 months.
uses Hbase as primary Big Data Technology that enhances the user‟s decision-making
capabilities. This is despite the fact the most of the other companies use Hbase for
offline jobs.
PhonePe‟s systems are highly efficient at integrating data-driven insights and user
reminders of payments (recharge, postpaid bill, utility bills) for every use. In an
45
official statement, the company said, “We are using Machine Learning to drive
46
CHAPTER - IV
OBJECTIVES OF
THE STUDY
47
Chapter – 4
48
CHAPTER - V
RESEARCH
METHODOLOGY
49
Chapter – 5
RESEARCH METHODOLOGY
Marketing Research is the function that links the customer, consumer, and public to
the marketer through information- information used to identify and define marketing
process.
The study of research methods provides manager knowledge and skill needed to solve
study the various steps that all generally adopted by a researcher in studying his
The scope of research methodology is wider than that of research method. Thus when
we talk of research methodology we not only talk of research methods but also
50
consider the logic behind the method we use in the context of our research study and
RESEARCH DESIGN
A framework or blueprint for conducting the research project. It specifies the details
of the procedures necessary for obtaining the information needed to structure and/or
solve research problems. A good research design lays the foundation for conducting
the project. A good research design will ensure that the research project is conducted
components, or tasks:
.More simply put descriptive research is all about describing people who take part in
the study
There are three ways a researcher can go about doing a descriptive research project
participants.
individuals.
51
specific topic.
DATA COLLECTION
The task of data collection is begins after a research problem has been defined and
research designed/ plan chalked out. Data collection is to gather the data from
Primary Data
Secondary Data
PRIMARY DATA
The Primary Data are those, which are collected afresh and for the first time, and thus
Questionnaires
SECONDARY DATA
The Secondary Data are those which have already been collected by someone else and
which have already been passed through the statistical tool. Methods of collection
of Secondary data
Internet
Old records
internal reports.
SAMPLE DESIGN
A sample design is a definite plan for obtaining a sample from a given population. It
refers to the technique or the procedure and the researcher would adopt in selecting
items of sample. Sample design may as well lay down the number of items to be
52
included in the sample i.e. the size of the sample. Sample design is determined before
data are collected. Before going trough sampling design, let us learn some terms.
SAMPLE DESIGN-
Sample Size - 60
Universe – Lucknow
53
CHAPTER - VI
DATA ANALYSIS
&
INTERPRETATION
54
Chapter – 6
55
INTERPRETATION:
56
57
58
INTERPRETATION: Respondents not using online payment in this project are of the
opinion that online payments are not safe due to reasons such that of fraudulent
activities, insecurity, lack of trust, technical issues etc.
59
INTERPRETATION:
Majorities of 96.7% of respondent‟s phones support google pay or phone pay and
only 3.3% of the respondent‟s phone doesn‟t support the same.
60
INTERPRETATION:
Most of 91.7% of the respondents prefer to use Google Pay than Phone Pe and only
8.3% of the respondents prefer Phone Pe. This indicates that Google Pay is the most
widely known and used app.
61
INTERPRETATION: 46.7% of people have been using the payment app below one
year and 35% for one to two years and 18.3% more than two years.
62
63
64
65
INTERPRETATION
A majority of 91.7% of the respondents use Google Pay than Phone Pe for
transferring money among the peers and only 8.3% of the respondents use Phone Pe.
66
67
68
69
70
INTERPRETATION: About 85% of the respondents has stated that Google Pay
offers more rewards than that of Phone Pe (9%). 45% of the respondents agree that
Google Pay has more offers than that of Phone Pe (15%). 45% of the respondents
agree that Google Pay has more cash back than that of Phone Pe(15%).
71
72
73
74
75
76
INTERPRETATION: Google pay is used for both restaurants and other services
(38.3%) more than stores (23.3%)
77
78
INTERPRETATION: Here, 90% of the respondents stated that they would refer
Google pay to their friends and only a fraction of 10% of the respondents would refer
phone pe.
79
Goog le Pay
No of respondents Percentage
0-1 0 0
1-2 0 0
2-3 0 0
3-4 0 0
4-5 4 6.6
5-6 6 10
6-7 10 16.7
7-8 22 36.7
8-9 11 18.3
9-10 7 11.7
Total 60 100
80
Rating of Phone Pe
No of respondents Percentage
0-1 0 0
1-2 0 0
2-3 1 1.6
3-4 4 6.7
4-5 9 15
5-6 13 21.7
6-7 10 16.7
7-8 14 23.3
8-9 5 8.3
9-10 4 6.7
Total 60 100
81
CHAPTER - VII
FINDINGS
82
Chapter – 7
Findings
which indicates that the younger generation has more active participation in
this project. This implies that online payments are of much use among the
Respondents not using online payment in this project are of the opinion that
online payments are not safe due to reasons such that of fraudulent activities,
Most of the respondents prefer to use Google Pay than Phone Pe. This
indicates that Google Pay is the most widely known and used app.
46.7% of people have been using the payment app below one year and 35%
for one to two years and 18.3% more than two years.
communication language.
communication language.
83
Most of the respondents preferred to use Google Pay or Phone pe weekly for
Google Pay provides more (85%) payment options when compared to Phone
Pe (15%).
84
CHAPTER - VII
LIMITATIONS OF
THE STUDY
85
Chapter – 7
economic development.
financial inclusion, the paper shows how financial stability and trust mediates
respectively.
one such innovation which supports the digital ecosystem and contributes to
the inclusion of the bottom of the pyramid into the financial system.
The paper concludes that UPI even gives safe transaction to the individuals
who hold PMJDY accounts. If these individuals will transact through these
programming inter phases, this will help their inclusion in the financial system
The paper can be taken on another level by extending the scale of the study,
The study can be done in multiple settings with different economic cycles, and
The factors like government intervention and the inclusion of informal sector
can also be considered. Behavioral factors can also be studied under the digital
86
CHAPTER - VIII
SUGGESTIONS
AND
RECOMMENDATIONS
87
Chapter-8
The online payment app is very handy and useful for the customers but it is
The online payment app should maintain privacy for the customer‟s in order
The payment app should develop their app and also fix the problems of delay
Online payment apps should be upgraded and create more innovative ideas
88
CHAPTER - IX
CONCLUSION
89
Chapter-9
Conclusion
rapidly, and consumer‟s perception is most important in the usage of mobile wallet
Consequently mobile wallets service providers are innovating new technology from
consumer‟s point of view. Therefore, people can adopt and use their mobile wallets
for the payment transaction, fund transfer, purchasing groceries and paying bills etc.
The study has discussed the trust is the main factor affecting users‟ satisfaction
directly and it impacts on many users intention to adopt mobile wallets. The results
show that the trust has significantly positive impact on actual usage of mobile wallets.
Vidyashree et. al., (2015) found that mobile wallet provides an opportunity of cash
back and discounts. The study highlights that 18-30, 30-45 age group of people
satisfied and using of digital wallets like paytm or pay u money application.
90
BIBLIOGRAPHY
91
BIBLIOGRAPHY
REFERENCE :
JOURNALS
1. Aijaz A. Shaikh &HeikkiKarjaluoto (2016)-Mobile banking services continuous
usage – Case study of Finland
2. Ajax Persaud and Irfan Azhar (2012) “Innovative mobile marketing via
smartphones Are consumers ready?”, Marketing Intelligence & Planning, Vol. 30 No.
4, 2012, pp. 418-443, DOI 10.1108/02634501211231883, Emerald Group Publishing
Limited 0263-4503
3. Anjali Ahuja &Richa Joshi (2018) “Customer Perception towards Mobile Wallet”,
IJRDOJournal of Business Management - ISSN: 2455-6661.
WEBSITES
1.https://en.wikipedia.org/wiki/Google_Pay
2. https://en.wikipedia.org/wiki/PhonePe
3.http://cashlessindia.gov.in/digital_payment_methods.html
4. https://en.wikipedia.org/wiki/Mobile_banking
92
ANNEXURE
93
QUESTIONNAIRE
1. NAME:
2. AGE: (a) Above 18 (b) 25-35 (c) 35-45 (d) 45 and above
4. OCCUPATION: : (a) Student (b) Government employee (c) Private employee (d)
Others
5. Do you think using online payment can offer you a wider range of banking services
and
payment options?
a) Yes
b) No
c) Maybe
b) Unsecure
c) Chance of fraud
d) Lack of trust
e) Others
7. Does your phone support these apps? (Phone Pe, Google Pay)
a) Yes
b) No
a) Phone pe
94
b) Google pay
a) Below 1 year
b) 1-2 years
c) Above 2 years
10. Are you satisfied with the service Google pay provide you?
CONVENIENT
a) Highly satisfied
b) Satisfied
c) Neutral
d) Dissatisfied
e) Highly dissatisfied
USER FRIENDLY
a) Highly satisfied
b) Satisfied
c) Neutral
d) Dissatisfied
e) Highly dissatisfied
SPEED
a) Highly satisfied
b) Satisfied
c) Neutral
d) Dissatisfied
95
e) Highly dissatisfied
SECURITY
a) Highly satisfied
b) Satisfied
c) Neutral
d) Dissatisfied
e) Highly dissatisfied
COMMUNICATION LANGUAGE
a) Highly satisfied
b) Satisfied
c) Neutral
d) Dissatisfied
e) Highly dissatisfied
11. Are you satisfied with the service Phone pe provide you?
CONVENIENT
a) Highly satisfied
b) Satisfied
c) Neutral
d) Dissatisfied
e) Highly dissatisfied
USER FRIENDLY
a) Highly satisfied
96
b) Satisfied
c) Neutral
d) Dissatisfied
e) Highly dissatisfied
SPEED
a) Highly satisfied
b) Satisfied
c) Neutral
d) Dissatisfied
e) Highly dissatisfied
SECURITY
a) Highly satisfied
b) Satisfied
c) Neutral
d) Dissatisfied
e) Highly dissatisfied
COMMUNICATION LANGUAGE
a) Highly satisfied
b) Satisfied
c) Neutral
d) Dissatisfied
e) Highly dissatisfied
97
a) Daily
b) Weekly
c) Monthly
d) Occasionally
13. What is your preferred payment app for transferring money among peers?
a) Google pay
b) Phone pe
a) Google pay
b) Phone pe
a) Google pay
b) Phone pe
a) Google pay
b) Phone pe
a) Google pay
b) Phone pe
REWARDS
c) Google pay
d) Phone pe
98
OFFERS
a) Google pay
b) Phone pe
CASH BACK
a) Google pay
b) Phone pe
19.Have you ever had cash lose from your account, If yes from
a. Google pay
b. Phone pe
c. None
a. Yes
b. No
c. Maybe
a. Excellent
b. Average
c. Poor
a. Excellent
b. Average
c. Poor
99
BILL PAYMENT
a) Google pay
b) Phone pe
MOBILE RECHARGE
a) Google pay
b) Phone pe
FUND TRANSFER U
a) Google pay
b) Phone pe
TICKET BOOKING
a) Google pay
b) Phone pe
FOOD ORDER
a) Google pay
b) Phone pe
APPLICATION FEES
a) Google pay
b) Phone pe
TAX PAY
a) Google pay
b) Phone pe
OTHERS
100
a) Google pay
b) Phone pe
24. Does your preferred app (Google pay) provide services at:
a) Restaurant
b) Stores
c) Others
25. . Does your preferred app (Phone pe) provide services at:
a) Restaurant
b) Stores
c) Others
a) Google pay
b) Phone pe
a) 1
b) 2
c) 3
d) 4
e) 5
f) 6
g) 7
h) 8
i) 9
101
j) 10
a) 1
b) 2
c) 3
d) 4
e) 5
f) 6
g) 7
h) 8
i) 9
j) 10
102