Google Pay looks to realize market share through kirana stores

Having emerged as one of the top 3 payment applications on UPI thanks to P2P and bill payments, Google’s offline strategy is designed to make an ecosystem of payment solutions for Indian customers.

After peer-to-peer (P2P) and bill payments, Google Pay is looking to win over customers of smaller offline retailers or kirana stores. whereas Google had declared plans to partner with location suppliers to aboard retail merchants, it's currently piloting transactions supported the Unified Payments Interface (UPI) to be created by shoppers whereas creating offline purchases, consistent with 2 folks awake to the matter.

“It can bring the convenience of card payments onto the sensible phone--the solely factor needed here are, rather than the cardboard swipe, customers can have to share the mobile number at the billing counter,” said a top payment executive awake to the matter. consumers can get a ‘collect’ request on their Google Pay application and build the payment by inserting the UPI PIN.

Having emerged as one of the top 3 payment applications on UPI thanks to P2P and bill payments, Google’s offline strategy is designed to create an ecosystem of payment solutions for Indian consumers. For the technology large, that is reaching to connect the next Billion Users to the web, india may be a key market. By investment payments, the company is targeting a giant chunk of the consumer-retail interface.

“There ar small-scale pilots that ar being run across retail stores in the country. As of now there are no banner advertisements that ar being done, only early adopters will take a look at the merchandise,” same one among the persons cited higher than. “The rollout can happen over the next few months.”

Google has much of the backend in place for such an exercise.

“The set up is to also run localised promotional campaigns for consumers in this area,” same one among the persons. “They have geo-tagged shops and may simply identify consumers in the surrounding area furthermore thereby providing targeted promoting campaigns.”

Google’s plans ar like the offline strategy of PhonePe, that is exploitation MapMyIndia to focus on offline stores and promote UPI payments.

“Our vision is to alter quick, seamless, and secure payments for our users anyplace, at any time, whether they ar paying different users, buying products or services on-line, recharging mobile balance, paying for utilities or looking at a retail outlet,” same Ambarish Kenghe, director, product management, Google Pay. “The offline ecosystem forms an important a part of our objective to supply a seamless experience to users transacting with Google Pay.”

After ecommerce payments, the next battle is widely expected to be fought on the offline payments front. Paytm, with its expansive network of merchants exploitation Paytm QR, is expected to be challenged by Google Pay, Reliance Jio and PhonePe.

“All eyes ar on Reliance Jio, particularly once what happened in medium. What Jio needs to do in digital payments is being keenly determined by others,” said a payments business professional. “Offline is that the next big thing which can create the ultimate winner within the Indian payments system.”

With its own integrated billing and payments providing for little merchants, Jio might disrupt offline payments.

PhonePe chief officer Sameer Nigam has told ET that the corporate has partnered with MapMyIndia to trace retail merchants within the country and create an engagement platform for users with native kirana stores. like Google Pay, PhonePe is additionally listing native merchants on its application.

“The better part is for Google is that the india fintech strategy isn't outlined by revenues. it's more about making that experience for the consumers and enhance stickiness,” same the expert.