How the lockdown has caused an increase in the use of digital payments in India
The nationwide lockdown that went on for months has benefited all the digital payment platforms because as per reports – more than 42 percent of Indians have increased the use of digital means for payments in the last few months. According to a survey that was conducted across the country – buying essentials and mobile recharges were the top use cases for digital payments in India during these months. Many retail stores, as well as local general stores, have been reporting a major rush and spikes in orders as people have started purchasing and stocking up essentials for use in order to avoid stepping out often and try staying more in the safety of their homes away from the virus.
E-commerce platforms including the ones delivering groceries as well as more lifestyle-oriented sites like Myntra, Flipkart, Nykaa, Amazon, etc have also seen a massive spike in their orders because of the sales, festive season, and also because people need a break from the ongoing tense virus affected situations.
For both retail stores and e-commerce sites, many of the consumers are now making their payments via digital payment gateways and taking contactless delivery of goods wherever possible. So, using digital payment options such as banking app, digital wallet,s or e-wallet, a debit card/credit card apply as the best way to stay away from the virus while shopping or using services during these times and this clearly shows that mobile and digital payments are going to continue their rise in the future as well.
This spike in digital payments also goes along with the initiative that the government is urging people to do for months now. The NPCI (National Payments Corporation of India) has been urging Indians to use more digital payment methods in order to stop people from stepping out, reduce social contact, and hence curb the spread of coronavirus. It is being said that the lockdown also brought many first-time users who weren’t very tech-savvy much more closer to the digital payments’ ecosystem in order to make digital payments even for the bare essentials.
Also, the pandemic has led to an increase in the number of online investments. Since investments are essential in this modern world because just earning money from your primary source of income is not enough and also many individuals have lost their jobs or got pay cuts due to the pandemic caused by the economical crisis in many industries. The whole scenario of fulfilling their dreams even during these tough times has got everyone to start investing. Money that’s left idle in your bank account/locker is a great opportunity that’s lost, and investing money smartly can lead to earning high returns out of it. Investors in India also have a variety of investment plans to choose from including stocks, mutual funds, and many more. So, all in all, this pandemic has not only increased the use of digital payments but also made people understand the true value of having more than one source of income.