Bangalore: Flipkart launched a contactless, QR-code-based payment facility for all its pay-on-delivery shipments. The payment method ensures more safety for users with minimize personal contact and addresses their trust deficit.
Consumers who earlier opted for cash on delivery can now use this facility, scan the QR code attached to their purchase and make a digital payment for their order through any UPI app at the time of delivery.
The number of UPI-based payments has surged over the years and offline person-to-merchant transactions account for 42.5% of all UPI transactions in December 2020.
The pandemic has also pushed UPI payments adoption, with 2.64 billion transactions recorded in April 2021 – a 100% increase over the previous year, according to NPCI data.
Flipkart QR-based payment facility will further reinforce consumer trust in digital transactions. And improve consumer safety and contribute to an overall increase in the adoption of digital commerce.
According to Ranjith Boyanapalli, Flipkart’s Head – Fintech and Payments Group, as the lines between e-commerce marketplace and fintech continue to converge, it becomes imperative to solve for customers’ evolving needs and attitudes.
“While the pandemic has urged several consumers to make a shift to online shopping, some trust deficit during checkout remains in pockets. With ‘pay-on-delivery’ technology, we want to ensure that customers have peace of mind with their payments and at the same time can shop within the safety of their homes,” said Boyanapalli.
Flipkart QR-code-based feature will usher in a shift from regular Cash on Delivery (CoD) transactions to digital payments. The e-commerce firm has ramped up the distribution reach of its digital offerings to enable safe payment options for shoppers across India.
The payment constructs and in-house fintech innovations of Flipkart are empowering new-to-internet customers and helping bring the next 200 million users to the platform.