There are so many things that are happening in the digital world right now. WhatsApp Pay option was revealed a few days ago and the last date for filling KYC details to continue using digital wallets is also near and a new topic is also becoming the matter of discussion now. Last week, Paytm created buzz by claiming that is is India’s India’s largest UPI app. According to Paytm’s officials, the company has achieved more success in 2 months than PhonePe and Bhim have achieved in past 1 year.
In two months of launch, @Paytm has achieved top spot in UPI contributions. Soon touching largest contribution than everyone else combined ! #UPI_on_PaytmKaro https://t.co/Wh6JYJW9yw
— Deepak Abbot (@deepakabbot) March 1, 2018
Replying to this, PhonePe believes that this statement is misleading and Paytm only leads in volume of transactions. According to the available data, Paytm users made 68 million transactions on UPI in February, and PhonePe’s users made 28 million transactions. The total number of UPI transactions in the month of February was 171 million.
Also Read:Paytm Founder Attacks WhatsApp Payments Option, Gets Trolled By Competitors
PhonePe believes that Paytm doesn’t have unique customers as much as they have and the average transaction of a Paytm user is also very less. So the number of transactions is not a correct way to know the popularity of a platform as there are multiple factors. The average transaction value for Paytm users during February was just Rs. 38 in comparison to Phonepe’s average transaction value of Rs 1820.
Phonepay also revealed that Paytm gets more transactions because of the cash back it provides which attracts only a small segment of users. A similar thing happened earlier also when PhonePe CEO Sameer Nigam tweeted that 90% of Paytm’s transactions in January were of just Re 1.
PhonePe has requested NPCI for releasing more data about UPI transactions. According to PhonePe, the numbers released by Paytm are too good to believe. Digital wallets have changed the shopping habits of Indians in a significant way and the post KVC period will tell about the future of these companies.
Also Read: How cashbacks are changing shopping habits in India
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