Even more than three years after demonetisation and all-out efforts to make most transactions through electronic, cash is still king, as it thrives in a digital India, said fintech start-up Paytm founder Vijay Sekhar Sharma.
"While cashless economy is not possible in India, less cash economy will be in the future. Less cash is the only solution, not the elimination of cash," Sharma told IANS in an interview after unveiling an all-in-one payment gateway on Tuesday.
Asserting that it would take 5-10 years for India to make the transition to digital payments from the traditional mode of cash, Sharma, 41, said the e-payment industry benefitted more from the November 8, 2016 note ban and withdrawal of old Rs 1,000 and Rs 500 denominations.
"I think it (demonetisation) helped the industry despite lack of specific help. But the world has changed since then. It is about the scale of distribution of merchants that is what is propelling digital payments," said Sharma.
Most of the cash not only came back into circulation, but also remains as the mode of payment for the majority due to its convenience for the people used to such transactions.
Expounding Paytm's zero service charge, Sharma said the strategy is sustainable as it leads to acquiring more customers and merchants, enabling newer business opportunities.
Paytm also does not levy a service charge to small merchants for its payments services, unlike organised players like Uber.
"Though there is a monetisation model, the merchants who are small shopkeepers, become our financial services customers as they open a bank account, which is profitable."
Paytm secured a Payments Bank license from the Reserve Bank of India to offer a savings bank account, Rupay debit card and money transfer services.
"We are banking on payment services acquiring customers and merchants who avail banking, lending, insurance, wealth and software services like billing software and business ledger software services eventually," Sharma noted.
The mobile first bank services include zero balance and zero digital transaction charge accounts.
"Basically, payments, cloud, commerce and financial services are a cohort we follow. So, payments is our customer as well as merchant acquisition. If it breaks even, we are happy because other line items make more money, he affirmed.
Noting that in a market like India, one cannot price services at a premium unlike in a developed country like the US, the billionaire businessman said a consumer in a developing country would not be able to afford such a hefty charge.
Forbes ranked Sharma as India's youngest billionaire in 2017, with a net worth of $2.1 billion.
While several countries operate on the model of higher service charges, Sharma said newer business models have to be discovered in India, as customer lifecycle value is accounted for more stages than in other nations.
Asked about an upscale retailer like Zara not giving a wallet payment option during its recent end of season sale in Bengaluru, Sharma said Paytm was addressing such hiccups with its all-in-one payment solutions.
"It's an opportunity, because if the retailer has our all-in-one point of sale machine, where in they enter the amount, it shows both the Quick Response code (QR) and card payment options," he observed.
Sharma compared older swiping payment machine to feature phones and modern ones to feature-rich smartphones.
"If you notice, they look like feature phones and the modern day card machine is more a smartphone like. You can add the smatphone components, which can add the features," reiterated Sharma.
Though Paytm's all-in-one QR point of sale machine integrates the billing system, its chief executive said it was not ideal to have an independent QR feature.
Paytm has 16 million strong merchant user base, which Sharma aims to raise to 26 million base in the next one year.
Sharma has launched in this tech city an all-in-one payment gateway and Paytm Business Payments solution, which enable digital payments through multiple methods for small and medium enterprises (SMEs) and an Android point of sale machine.
With the new gateway solution, collecting digital payments through multiple methods can be achieved seamlessly while Paytm Business Payments solution enables automated vendor payments, including employee salaries and customer refunds among others.
The One97 Communications-owned Paytm aims to help SMEs streamline and digitise their business activities using its new solutions, which enhance the overall efficiency of both accepting and making payments.
Paytm has a data bank of over 200 million saved cards and bank accounts, a feature which enables partner apps to shorten transaction times and propel faster conversions while using the all-in-one payment gateway.
Complementing the two solutions, Sharma also launched an all-in-one Android point of sale machine, which can accept payments through all forms such as cards, wallets, UPI apps and even cash.
The device has a QR code that supports all contact and contactless payments, coming with integrated billing software customized solutions for different sectors such as catering, ticketing, parking and others.
The handheld Android device is equipped with an in-built printer, scanner and can also generate bills.
Valued at $16 billion, Paytm is not alone in the fiercely competitive Indian fintech space where a dozen players like PhonePe, MobiKwik, Kotak 811 and deep pocketed international giants Google Pay and Amazon Pay are in the fray.
Shrikanth (40), son of Itappa Moolya and resident of Kavoor, near Shanti Nagara Ground, Mangaluru, is said to be a close associate of Yuva Brigade (erstwhile Namo Brigade) leader Naresh Shenoy.
Comments
The hearing that never took place!
When case no.TP/1086/12-13 Eh was called at the office of the commissioner of the Mangalore city corporation on the 24th of March there was no response from either of the parties! That was because the complainant Sri Vinayak P.Baliga was absent as he had been sent out of the world- he had been brutally murdered in front of his house allegedly by hired killers on the 21st of March at around 6 am. The respondents were Dakshina Kannada Dravida Brahmins association, Sharada School and Tulunadu Trust who also did not choose to turn up. The allegations were that they have put up buildings on TS no.340 without proper license and have started using them without occupancy certificate by the corporation authorities. It was also alleged that the buildings are not being used for the purpose for which they were constructed and there were also violations and deviations from the plans which had been approved by the corporation. He had also stated that the narrow road was blocked due to parking of the vehicles waiting to pick up children from the school and problems were being caused in the residential locality due to these commercial activities.
To support his contention he had also submitted a communication from the commissioner of Mangalore city corporation no.e428:cr72:12-13 which had categorically stated that the buildings under survey no TS 340(part) under RS no.501, Kodiyalbail village had been granted permission to build as follows:
cellar- nil
ground floor-323.52 sq meters
1st floor 323.52 sq meters
2nd floor 323.52 sq meters
total 970.56 sq meters.
But on spot inspection it was found that the built up was as follows:
Cellar ---------323.52
Ground floor- 342.92
1st floor ---do---
2nd floor ---do---
3rd floor ---do---
4th floor ----do—(with acc sheet roof)
Total-----2015.04 sq meters.
So, it was not a minor violation but a build up space of more than twice the licensed area! The commissioner had also issued notice under section 308(1) of the Karnataka Municipal corporations act and had warned that unless the deviations were rectified within seven days of the date of the notice(which was dated 19-11-2012) it would be demolished at the cost of owners and the amount collected from them. They had also asked the respodents to submit the plans of the newly constructed building within seven days of the date of the notice! The fact is that it is 2016 and the building still exists and going strong! The road is still narrow and gets blocked. The residents till suffer and the Mangalore City corporation is in deep slumber. Perhaps that is a sign of ‘smartness’ for a city which aims to get the smart city tag!
With the complaint having become infructuous the violators can be happy for some more time! But, a group of citizens are planning to re submit the complaint or get impleaded into the case. But as a senior lawyer remarked such complaints are not civil cases and do not become extinct if the complainant is eliminated. We are waiting to see what action the commissioner will take on the issue which still exists. We are waiting for the demolition to start!
caption:
the photos show the narrow approach roads to the institutions.
another photo shows the old ailing parents of Vinayak Baliga.
The photos of the institutions occupying the buildings scheduled to be demolished.
Killing of the RTI Activist...... Silencing the Silent
It was well Planed Murder Plot, It was the start of the week and Mr. Vinyaka Baliga who was always punctual with his time got up dressed to go the temple, after which he had promised to take his aged father to have coffee at Hotel Taj Mahal, But as fate had it way at 5:30 am on Monday, 21st March 2016, Mr. Vinyaka Baliga was hacked to death by two helmet worn motorcyclist right in front of his house. This Cold blooded murder was not only designed to kill him but also to silence the RTI activity of the city by creating fear in their hearts. Many have strongly condemns such cowardly act by individuals. The Police department has taken all required measures in the interest of justice and has achieved initial success in arresting the few culprits.
Many individuals who share a concern for the welfare of the society visited Mr. Baliga’s house to pay homage to the departed soul. They were informed by the family members that Mr. Baliga has put lot of RTI against Electrical dept, Illegal buildings in the city and irregularities in temple administration. He was self made man and always fought for the right of people. He was very helpful towards others and has always spoken out against injustices. He had always kept his appointments update in a dairy, Whatever he did he never shared it with his family and they never knew what he was doing other than that they found neatly bundled paper which taken by the police and is under investigation.
There are many such Baliga’s doing their work silently and systematically, many a time not getting associated to any group or political party. These silent RTI activists are a threat to all those corrupt persons who use all unfair means to meet their objectives. These silent RTI activists become a very soft target for the corrupt persons who use all their might including the murder to silence them. Mr. Baliga is a standing example of the atrocities of these corrupt mafia, who have found loopholes in the system to scoop out revenue for themselves and their corrupt political partners. Nowadays even RTI reply is getting diluted there are high chance that you may get a wrong answer from a wrong department or an answer given that it is not found, or not within our jurisdiction
Corruption is now not in the system, but has “become the system”, everyone know that when you buy a land or flat, no one registers the same for 100% valuation, but anywhere between 30-60%.and this rule applies for law makers also, you cannot get a govt. Job without paying few lakhs, nowadays even transfer and promotion means you need to shell out some lakhs. So everyone is getting used to this system , when RTI activists ask questions on this kind of corruption, it angers them as how can anyone question this system and hence it is better to eliminate source so that the system is not disturbed
Now the recent govt move to have ACB so that Lokayutha will not only be toothless, but also without any claws to even scratch the corrupt, this fully fool proof system should be considered as the feather in the cap for our present government to protect the corrupt, so that the corrupt can at least sleep without the fear of being caught.
RTI activist are not born from fear, they fight for the cause of the public, to see that system is changed for our next generation. This move by the government looks like that their dream will take a longer time to be released but hope in heart will always fly high and that one day India will be free from these corrupt.
It is not easy to silences these silent RTI activists as public understand their strength and hence they standby with them. RTI activists are targeted for their commitment to bring about the changes. But by working as individuals they have become easy targets. Therefore, it is time for all RTI activists to join hands and become stronger. If a corrupt mafia can join hands for their very survival, why not the RTI activists stand united and thus become mightier than the corrupt system.
If you are an RTI activist it is time to join hands together and we request all RTI activists in DK to come together as one team, contact or SMS this mobile no. 9449058411 to move forward.
Article by: Rohan Shiri
Editor: Rajendar Kumar
RTI- Activists
Case taking another direction, anyways my humble request to the police department is find the accuse and punish them lawfully.
Add new comment