How Value-Added Services Can Fast-Track The Adoption Of Digital Payments Across Retail Sector?

Tom1405 Apr, 2022Business

The retail industry has traditionally been cash intensive in India. However, in the past few years, there has been an increased adoption of digital transactions at retail outlets. According to the Economic Survey, Unified Payments Interface (UPI) is the single largest retail platform in the country, in terms of volume of transactions. This could be traced back to the Government of India?s incentives for payments made through digital means and the removal of service tax on MDR for low-ticket transactions on RuPay debit cards and UPI. These incentives continue to encourage digital payments and subsequently the deployment of PoS terminals, particularly across fuel retail outlets. More recently, according to a survey conducted by a fintech company, fuel retail industry constitutes 10% of the total transactions that take place on the Point-of-Sale machine, making PoS an important part of the OMC?s retail outlets.