Technology for MSMEs: Payments solution company Razorpay on Thursday launched solutions to increase conversions and ease tax payments for digitally-enabled small businesses. The Magic Checkout product by Razorpay, said company, aimed to reduce multiple steps for customers to checkout including entering card details, addresses, and OTPs. The company claimed shoppers would be able to checkout 50 per cent faster while retailers could expect a 20 per cent increase in conversions “which means 20 per cent more revenue for a business. Razorpay believes this innovation will revolutionize the way payments are done in India, in the next 2 years,” the company statement said.
The solution would save shoppers’ information once during a purchase, and automatically prefill it at all stores within the Magic Checkout’s network for all current and future purchases. The new product would leverage “multiple data points to automatically detect fraud and eliminate chances of Return to Origin (RTO), making buying online faster, safer, and easier,” Razorpay added.
Another solution launched was Tax Payment Suite to enable tax payments by small businesses within 30 seconds. According to Razorpay, “more than 50 per cent of small businesses face difficulties with TDS calculation and tax payments. Considering multiple meetings, sifting, and sorting of data, tedious filings and payment failures, the entire process costs small businesses more than 250 hours every year… For the first time, 30-second tax payments have now become a reality.” Through RazorpayX dashboard, businesses would have a single view of all disbursals.
Razorpay also announced an incubation programme Rize to incubate 1 lakh early-stage startups. Under the programme, the company will help startups in their incorporation, filing tax, paying payroll, and providing the tools to cater to their sales, marketing and finance needs. Rize would also support startups to access loans or funding. Along with the new solutions, Razorpay also announced an upgraded RazorpayX mobile banking app for internet-based SMBs to make and approve payments; and RazorpayX and RBL Bank co-branded business debit card focusing on the needs of internet-first SMBs and to provide instant settlements for Marketplaces for Amazon sellers.
Razorpay noted that it is looking to achieve $90 billion in total payment volume (TPV) by the end of 2022. The company said it had recorded more than 300 per cent growth for the second consecutive year and had achieved $60 billion TPV as of early December 2021 which was 20 per cent more than the $50 billion TPV goal announced in December last year.
“In the last year, Razorpay grew over 300 per cent and we plan to achieve $90 billion TPV by the end of 2022. This growth is a testament to the significant digital adoption by small businesses in the last 2 years. I believe that there is really no growth for us unless there is growth for our customers first,” Harshil Mathur, CEO & Co-founder, Razorpay said in the statement.