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With the recent announcement by the Reserve Bank of India (RBI) directing Paytm Payments Bank to shut down its services by the end of February, local kirana store owners have started using other payment apps for their business.
According to a recent survey, 69% of respondents use Paytm QR codes for daily transactions in stores. It's only been a week since the RBI announced the ban, but it's surprising that 42% of India's kirana stores have already started using other payment apps.
The study reveals new and revealing findings regarding local retailers' trust in Paytm. This shows that trust in Paytm has declined among 68% of Indian Kiranas after the RBI restrictions.
42% of Kiranas have already started using other payment apps, while a further 20% of respondents intend to use other payment apps in the near future. Among retailers who have started using or plan to use other payment apps, a majority of 50% choose PhonePe, 30% lean towards Google Pay and 10% lean towards BharatPe .
Anshul Gupta, Founder and CEO, Kirana Club “They have also come to realize the convenience of accepting digital payments, as there is no need to go through any formalities.” “When you hand over some change to a customer, the money is transferred to your bank account immediately. Although the ban by regulators may lead to disruption at kirana stores, the availability of alternative payment options allows customers to We are not too worried. Our recent survey shows that even kirana stores are not too worried.” States have already started using other payment apps to ensure smooth business operations. or plan to use it. ”
The study also showed an increase in cashless transactions at grocery stores and local kirana stores, with around 71% of retailers in both Uttar Pradesh and Jharkhand accepting payments from customers using Paytm QR codes. It shows that payment is accepted. A similar trend is seen among retailers in Rajasthan, Bihar, Madhya Pradesh and Haryana, where 70% of kiranas use business payment modes. The number of retailers using Paytm QR codes is slightly lower in Maharashtra (57%) and Chhattisgarh (65%) compared to other states.
The study was conducted by Kirana Club, an app-based platform where kirana owners participate, connect and influence each other. This app has so far registered over 18 million kirana owners across 10 states.
