E-commerce giant Flipkart has launched a contactless, QR-based payment system for its pay-on-delivery shipments. The company revealed in a statement that consumers who use the cash on delivery option can now use the new QR-based payment system to make payments. All consumers have to do is scan the QR code attached to their purchase and use any digital payment platform powered by UPI to make payments.
“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”, the company’s Head of Fintech and Payments Group; Ranjith Boyanapalli said.
This development comes shortly after Softbank declares its intention to reinvest about $700 million in the company after its exit in 2018.
UPI payments are becoming more popular, so popular that even WhatsApp is testing its UPI feature for users to be able to send and receive money soon. The pandemic is the biggest reason for the massive adoption of UPI payments systems. The pandemic has pushed individuals, businesses and corporate bodies to adopt internet-based methods and options of going about their endeavors. UPI payments are so easy and convenient to use, and this is why many people are swarming around it. Flipkart is leveraging on this seemingly most-preferred method for its business operations and hopes that its QR-based payment facility boosts consumers’ trust in digital transactions, contribute to the overall adoption of digital payments and promote safety for consumers. The company said that “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”. With this statement, the company expressed its desire to grow its customer base.
The e-commerce giant has a customer base of more than 300 million people and offers over 150 million products that cut across almost 100 categories.
With the new QR-based system of making payment, Flipkart seems to be putting users at the centre of its operations; that’s where they have always been after all.