Paytm competes with Walmart's PhonePe, Google Pay, MobiKwik etc., in India's booming digital payments market that is worth $64 billion currently in transaction value, as per statistics portal Statista.
Digital payments company Paytm said that it has logged 5.5 billion transactions with a gross transaction value (GTV) of over $50 billion in FY19 on the back of increased online and offline adoption of its services across “retail payments, fees, utility payments, travel booking, entertainment, games etc,” the company said. Paytm competes with Walmart’s PhonePe, Google Pay, MobiKwik etc., in India’s booming digital payments market that is worth $64 billion currently in transaction value, as per statistics portal Statista.
The growth was also contributed by Paytm’s recently launch credit card service — Paytm First, it said in a statement without disclosing transactions recorded from the same. Paytm is looking to more than double the GTV count to 12 billion transactions by the end of FY20.
The company also claimed of having over 50 per cent market share in the payment gateway market that makes it “significantly ahead” of other players in the market even as it has “largest volume and the largest merchant base.” The figures weren’t disclosed for the same while it claimed of processing more than 400 million transactions per month.
Paytm’s spokesperson wasn’t available for comments on the query relating to the undisclosed figures. The company didn’t respond to questions shared.
The company is focusing on expanding its reach to tier IV and tier V cities along with focusing on tech-driven solutions, integrated customer lifecycle management and customer experience, said Paytm’s senior vice president Deepak Abbot.
Paytm’s core business growth gains significance amid its e-commerce business Paytm Mall losing track while reportedly suffering a Rs 10 crore cashback fraud last month as detected by professional services company EY.
“Paytm Mall’s positioning has not been very clear in terms of its offering — whether they are focusing on giving discounts to customers or looking at better customer service and why should customers come to them repeatedly,” Senior Forecast Analyst Satish Meena told Financial Express Online.
Paytm Mall can’t survive in the long term against Amazon and Flipkart, even after getting a new round of funding, Meena said.
For its payments bank, the company reported profits of Rs 19 crore within the second year of its business — 2018-2019, PTI reported last month. Paytm has claimed more than 19 per cent payment bank market share as of March 2019.
Paytm currently has 12 million merchants on its platform that it aims to expand to 20 million by FY20.