India’s PayTM driving innovative commerce & payments looking to capture bigger share of this growing market

PayTM

PayTMEcommerce in India has seen a tremendous growth and traction in the last couple of years. The major growth can be seen from top ecommerce platforms Flipkart,Myntra,Jabong,Snapdeal and now Amazon reaching the billion dollar club. As a result the payment space is heating up and PayTM is spearheading this growth offering a range of solutions for mobile users to recharge prepaid connections, buy tickets and transfer money to friends and family. With 3.7 Million customers already in its kitty, PayTM now looks at introducing innovative payment solutions to its customers for an excellent user experience.

PayTM has launched a secured wallet a few months back which hopefully will reduce transaction failure rate by 20% and will enable faster checkout. The benefits of using a wallet today for consumers is that personal information is pre stored in advance to speed up checkout, text-message based transactions as well as making it possible to pay using a phone both while shopping online and at physical stores.

Payment failure is a big concern for every ecommerce venture today and most failures happen at the banks backend. With PayTM’s m-wallet consumer’s money is already stored bypassing the bank. It is a highly secured environment.

PayTM also has offers discounts, cash backs just like credit cards do. The scope today is huge considering India’s big and diverse market. PayTM can be used to pay bills and insurance premiums and perform other financial transactions directly from their mobile phones.

Through PayTm’s platform users can recharge/pay bills of their mobile phones, Direct to Home TV subscriptions, electricity bill payment, land line bill payment, gas bill payment & toll card recharge.

Another recent development is the launch of its bus booking service across India. With this service consumers can plan and book a bus ticket to any destination within India.

PayTM definitely looks on course to tap the huge growing payments and commerce market in India

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eBay To Acquire Global Payment Platform Braintree For $800 Million

ebay

ebayYesterday eBay.Inc announced that it has agreed to acquire Braintree, the innovative global payment platform powering the next generation of leading online and mobile-first startups, for total consideration of approximately $800 million in cash.

Commenting on this, eBay Inc. President and CEO John Donahoe said,”Braintree is a perfect fit with PayPal. Bill Ready and his team add complementary talent and technology that we believe will help accelerate PayPal’s global leadership in mobile payments. Together, we expect that PayPal and Braintree also will accelerate our leadership in supporting developers who are creating innovative solutions for next generation commerce startups.”

Braintree’s payment platform powers next generation innovators such as Airbnb, OpenTable, TaskRabbit and Uber, which are creating compelling new consumer experiences and disrupting legacy business models. Once the acquisition is completed, Braintree will continue to operate as a separate service within PayPal under the continued leadership of Braintree CEO Bill Ready, who will report to PayPal President David Marcus. Braintree’s management team and employees are expected to stay in place.

Venmo, Braintree’s mobile application that gives people an easy way to pay each other using their mobile devices and leveraging social networks, is part of the acquisition and will help to contribute to PayPal’s mobile payments capabilities. PayPal already has a strong presence in mobile, projecting mobile payment volume of more than $20 billion this year.

The transaction is subject to customary closing conditions, including regulatory approvals, and is expected to close late in the fourth quarter of 2013.

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PayPal Launches Seller Protection Policy in Asia Pacific

paypal

paypalRecently PayPal announced that it will be launching an expanded Seller Protection policy in Asia Pacific (APAC) on October 11th, 2013. PayPal’s Seller Protection will help to protect merchants from fraudulent transactions and cases where items are not received by buyers to enable merchants to seek out growth opportunities in new markets. Seller Protection will be available to PayPal merchants in India, Australia, New Zealand, China, Hong Kong, Indonesia, Japan, Malaysia, Philippines, Singapore, Taiwan, Thailand and Vietnam.

As of October 11th, 2013 PayPal will provide Seller Protection to eligible merchants that use PayPal to process transactions for tangible items[1]. With this launch, PayPal is reducing the liability for fraud from the millions of merchants fuelling the Asia Pacific economy. Businesses currently selling on the web are forced to dedicate a huge amount of time and money to tackling fraudulent transactions, while many offline companies lack the confidence to sell online due to fear of fraud and sheer size of this issue. PayPal understands the pain points that merchants face, particularly when selling beyond their own borders, and partners with merchants to help them adopt best practices at every stage in the sales cycle including customer service, shipping and checkout. With this PayPal is adding another layer of security to help merchants reduce risk and increase sales.

Commenting on this, Rohan Mahadevan, Vice President, Asia Pacific, PayPal said, “At PayPal, we’re committed to being a true partner to our merchants. We work together with them to overcome any obstacle they might face when doing business online from logistics, to customer service, to checkout integration and cash-flow. Seller Protection is yet another way in which we’re working closely with our merchants, to help them accelerate their sales while managing their risk. This will empower online businesses to capitalize on the multi-billion-dollar cross-border trade opportunity in Asia’s fast growing economy”

The Seller Protection program safeguards merchants against risks to their business which cost significant time and resources to address, including fraudulent transactions and items not received by the buyer. Online businesses can benefit from Seller Protection for no extra cost and with no need to subscribe provided they meet the eligibility criteria.

With its industry leading risk models, technology and business model, PayPal is one of the only companies to offer such comprehensive protection to both buyers and sellers in Asia Pacific and across the world. PayPal Seller Protection makes it as easy as possible for merchants to mitigate potential risks and requires no additional mandatory codes which interrupt a sale during checkout.

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PayPal Launches Seller Protection in Asia Pacific; Ignites New Growth Opportunities for Millions of Businesses

Paypal

PaypalPayPal Extends Partnership with Merchants in APAC to Reduce Risk, Boost Seller Confidence and Enable Online Businesses to Increase Sales

PayPal, the global leader in online payment, today announced that it will be launching an expanded Seller Protection policy in Asia Pacific (APAC) on October 11th, 2013. PayPal’s Seller Protection will help to protect merchants from fraudulent transactions and cases where items are not received by buyers to enable merchants to seek out growth opportunities in new markets. Seller Protection will be available to PayPal merchants in India, Australia, New Zealand, China, Hong Kong, Indonesia, Japan, Malaysia, Philippines, Singapore, Taiwan, Thailand and Vietnam.

As of October 11th, 2013PayPal will provide Seller Protection to eligible merchants that use PayPal to process transactions for tangible items[1]. With this launch, PayPal is reducing the liability for fraud from the millions of merchants fuelling the Asia Pacific economy. Businesses currently selling on the web are forced to dedicate a huge amount of time and money to tackling fraudulent transactions, while many offline companies lack the confidence to sell online due to fear of fraud and sheer size of this issue. PayPal understands the pain points that merchants face, particularly when selling beyond their own borders, and partners with merchants to help them adopt best practices at every stage in the sales cycle including customer service, shipping and checkout. Today, PayPal is adding another layer of security to help merchants reduce risk and increase sales.

Rohan Mahadevan, Vice President, Asia Pacific, PayPal said, “At PayPal, we’re committed to being a true partner to our merchants. We work together with them to overcome any obstacle they might face when doing business online from logistics, to customer service, to checkout integration and cash-flow. Seller Protection is yet another way in which we’re working closely with our merchants, to help them accelerate their sales while managing their risk. This will empower online businesses to capitalize on the multi-billion-dollar cross-border trade opportunity in Asia’s fast growing economy”

The Seller Protection program safeguards merchants against risks to their business which cost significant time and resources to address, including fraudulent transactions and items not received by the buyer. Online businesses can benefit from Seller Protection for no extra cost and with no need to subscribe provided they meet the eligibility criteria.

Cornel Ung, Chief Executive Officer at Digital World International Ltd said “We’ve been selling cameras on eBay and through our own websites for over 4 years, and have always appreciated the support PayPal provides our business. For a long time we’ve been eyeing up opportunities for expansion to different countries, but it always seemed so risky, due to the high fraud rates of certain countries. Buyers have always been protected with PayPal Buyer Protection, and with the expansion of Seller Protection, we can now work with PayPal to reduce risk and focus on selling with confidence into new markets which will really support our business growth.”

With its industry leading risk models, technology and business model, PayPal is one of the only companies to offer such comprehensive protection to both buyers and sellers in Asia Pacific and across the world. PayPal Seller Protection makes it as easy as possible for merchants to mitigate potential risks and requires no additional mandatory codes which interrupt a sale during checkout.

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Upcoming Event: Mobile E-Commerce Strategy 2013 Asia Pacific Conference – July 9 – 10 Singapore

WirelessDuniya.com is pleased to be the Event Partner for Mobile E-Commerce Strategy 2013 Asia Pacific Conference  to be held on July 9 – 10 in Traders Hotel, Singapore. 

MECOMM2013

Develop and fine-tune
your mobile commerce strategy and implementation

Listen
to successful strategies to deliver growth in a competitive marketplace

Merchants
& Retailers

(SGD 995 – Please register early and book your seat before 10 June 2013)

Register online or email your details to reg@asher-russell.com

 

ABOUT
THE EVENT

Mobile E-Commerce Strategy 2013
Asia Pacific Conference
  (9-10
July 2013 | Singapore) will gather the rising
giants of online e-commerce and m-commerce as they share insights on
taking
their online e-commerce business to the next level of advancement. The
speakers
panel will be covering technology integration, go-to-market strategies
and many
exciting and innovative approaches to reach millions more customers and
increase online spend for your products and services.

This
conference will discuss the TOP TRENDS in
e-commerce and mobile
e-commerce
and what you should know in order to successfully
leverage the
mobile channel to increase your sales and profitability and gain more
market
share.

 

[Register Online]

CASE STUDIES by successful online commerce
merchants and retailers

(various products from travel
to hospitality to fashion and electronics)

Will provide the
answers to the following key areas

  • How do we see our business in
    terms of market size going from e-commerce to m-commerce? Is m-commerce
    expected to exceed online purchases in future?
  • Who are
    our customers? And how many can be tapped into via the mobile channel?
  • What is our mobile strategy?
  • The way we view the value of
    content, use of augmented reality in our channels, and how we wield data
    intelligence as way forward to increasing sales?
  • What is our approach in
    reaching multi-device consumers?
  • Making senses of this
    T-commerce & M-commerce boom and how we are tapping into this
  • Key trends and developments as
    we see it

 

EXCITING TOPICS AND ISSUES in sessions:

  • Hottest mobile commerce trends
    to watch
  • How is mobile e-commerce
    integrated into the overall mobile/omni-strategy channel marketing mix?
  •  How best to deliver experience
    over the mobile e-commerce channel and integrating that with the overall
    shopping experience?
  •  How to optimize the usage of
    mobile app and mobile web interface, UI/UX design, mobile app marketing and
    how to maximize sales through mobile?
  • Connecting the dots between
    interest-based media, m-Commerce, and impulse Purchase…what are the new
    lifestyle commerce factors affecting the mobile user purchase path?
  • How do you optimize the
    shopping experiences for shoppers on mobile?

 

 

Meet Heads
of Digital Marketing, Heads of e-Commerce and m-Commerce, Mobile
Payments,
Mobile Apps, representing Brands, Retailers, professionals of
e-Commerce,
m-Commerce, mobile marketing, social commerce, consumer intelligence
and data
analytics, SEO/SEM managers….

[Request
for brochure]
 [Visit
website]

Please
do pass this along to your
colleagues and associates who may find this conference useful for their
area of
work.

Do
register early and benefit from the 
Early Savers Fee rate (by 10 June 2013).

 

 SPONSORSHIPS
WITH SPEAKING SESSIONS ARE AVAILABLE!

  Email us today sponsorship
{at} asher-russell.com

 

For
more information for participation, please contact Debra Lee on
Marketing-55@asher-russell.com

Event
website –
www.mecomm2013.com

www.asher-russell.com

 


 

Event Partners:

 

 

 

 

 

Wireless Duniya

About Payments

Mind Commerce

Mobile Alliance

Maverick China

Mobi Thinking
 

Organized by:

 

Asher Russell

 

The Paypers

MediaBuzz

eCommerce Alliance Singapore

 

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Federal Bank Deploys Fiorano ESB to Support India’s Aadhaar Payment Bridge System (APBS)

federal-bankThe Federal Bank has deployed Fiorano ESB to support India’s Aadhaar Payment Bridge System (APBS), a welfare disbursement system. The APBS is a payment gateway platform created by the National Payments Corporation of India that will be used to electronically distribute funds to beneficiaries of social security pensions, employment guarantee program, public distribution system and other government programs.

In a recent interview Mr. P. Chidambaram, the Finance Minister of India said that the government spends “thousands and thousands of crores of rupees” (1 crore rupees = 10,000,000 rupees) on pension and various subsidies. “We are going to launch the ambitious program of paying a direct cash subsidy to people through the Aadhaar system in 51 districts across 15 states by 2013,” he said.

The integration of data and managing settlements required to support the APBS involves managing multiple complex file formats of various banks and complying with the Reserve Bank of India’s standardized formats. Banks need to connect with employment guarantee and other subsidies, Social Security Pension, Handicapped Old-Age Pension and other government programs.

Federal Bank will be one of the first few “sponsor” banks in India to attain this capability. “This is a huge opportunity for Banks to gain new customers and have access to large deposits,” said Mr. K P Sunny, IT Head at Federal Bank. “It can be a major competitive differentiator for a new customer’s decision on where to bank.”

Federal Bank was able to implement the system with Fiorano’s Enterprise Service Bus which seamlessly integrates applications with the bank’s core banking framework, Finacle from Infosys. FioranoESB Enterprise Service securely settles transactions in real-time in the specified messaging format including managing returns and mismatches and routing of funds. Fiorano’s code-free integration approach dramatically reduces implementation time enabling Federal bank to bring these new capabilities to market faster.

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Payment gateways are enjoying a steady business with the growth of eCommerce industry

With a major chunk of e-commerce industry based in Delhi-NCR, online payment gateway companies in the region are betting big on the opportunities ahead in business hubs like Gurgaon and Noida. “Gurgaon has emerged as a corporate hub with world-renowned MNCs opening up their India offices here,” said Nitin Gupta, co-founder and country head of PayU India.

“In fact, many big and small e-commerce companies have mushroomed in its vicinity, a key factor which influenced us to set up our headquarters here. It ensures that we are in close proximity with our clientele and this helps in our day-to-day operations as well.” Since its inception in October 2011, PayU India has acquired more than 1,400 merchants as on date, many of which are based in Delhi-NCR. Headquartered in Gugraon, PayU India is the flagship company of the Naspers Group, a $25 billion media and Internet company listed in Johannesburg and London Stock Exchange.

How Do Payment Gateway Works

To accept any online payment through credit cards, debit cards or net banking, an e-commerce owner needs a merchant account with a bank. Now, setting up a merchant account with each and every bank is a tedious task for any e-commerce player and in most of the cases there is little or no support from banks in terms of customer service. Therefore, it becomes imperative for online businesses to opt for a payment aggregator, which connects the merchant’s website with the bank’s payment gateway and provides multiple payment options — like credit card, debit card, net banking and cash cards — to an online shopper enabling him/her to choose a convenient payment option. Also, payment gateway companies have tie ups with almost all nationalised and private banks which considerably reduces the merchant’s efforts to tie up with banks individually.

“In many cases, the onus of providing customer service, compliance certification (like PCI DSS) and data security lie on the shoulders of the payment gateway providers again reducing the running cost of the online merchant manifold,” said Gupta. “This makes a payment gateway an integral step in the value chain of e-commerce business, without which it’s a herculean task for any merchant to accept online payments,” he added. His company is a payment aggregator, which provides payment gateway integration to online businesses.

Capital Proximity

Connectivity with Delhi and IGI Airport are added advantages. In NCR, PayU India’s clients include Goibibo, Jabong, Ferns n Petals, Snapdeal, Tradus.in, Rechargeitnow, Zomato, etc. “Delhi-NCR is a prime location for e-commerce players,” said Harinder Takhar, CEO of PayTM, whose clients in Delhi-NCR include Homeshop18, Snapdeal.com and DishTV. “Furthermore, there is an availability of quality office space at economical prices and good connectivity and infrastructure. With its development, Noida is as well running after Bangalore crown as India’s

Tech Eden,” Takhar further added. Noida-based PayTM launched its online payment gateway services in August 2010 with 1,200 transactions per day, which has now increased to as much as more than 1 lakh transactions. “In a day we have around 74,000 users,” said Takhar As per Gupta of Gurgaon-based PayU India, the total market size of the online e-commerce in National Capital Region is close to $1.2 billion out which PayU has 25 percent of the total market share. “Aggregators other than PayU, which are based out of NCR are Zaakpay and PayTM.

However, among these three, PayU has more than 90 percent market share in National Capital Region,” he further added. While PayU India charges a set up fees, TDR (transaction discount rate) per transaction and additionally sign up an annual maintenance contract with merchants, PayTM charge per transaction and for their additional services such as fraud scoring engine or bank traffic router management.

Payment gateways protect credit card details by encrypting sensitive information, such as credit card numbers, to ensure that information is passed securely between customers and merchant and also between merchant and payment processor and cannot be intercepted and obtained by anyone. To make online commerce more secure and hassle-free, players have put up the latest technologies in place. “We have our proprietary fraud scoring engine to curb online fraud which monitors our online traffic on various parameters,” Thakur said.

Our fraud engine monitors the time of the day, the kind of product the user is purchasing and about a hundred other attributes. It analyses these to determine the likelihood of a particular transaction being fraud or not,” explained Thakar. PayU India, on the other hand has recently tied up with Retail Decisions, a world leader in online fraud prevention, to provide increased protection to Indian merchants in case of international transactions. “We are the first payment aggregator to introduce device finger printing in India. It combats with fraud even if a user account has been compromised. Moreover this solution is available at a price which is a fraction of any such solution currently available globally,” said Gupta.

 POINTS OF AUTHORITY

There are few other important features that payment gateway providers offer. “A payment aggregator who provides the highest conversion rates should be an obvious choice for start-ups. They should look for testimonials by other e-commerce players who are using a specific gateway as to how much have their conversion rates increased after going live with a particular gateway,” suggest Gupta. Costs (set-up fees and TDR) vary drastically between various gateways. Generally, higher the transaction volume, lower is the transaction cost.

“Also, the real costs associated with accepting online card payments do not start and end at the rate quotations. Owne should look beyond these quotes and consider the overall long-term operational cost of partnering with each gateway. For instance, will the payment gateway take the onus of providing expensive PCI DSS compliance? Does the payment gateway have limited support for fraud management,” Gupta added. Technically, a good payment gateway should offer a variety of ways to collect customer card details and process payments. For instance a great aggregator should provide multiple payment options like credit cards, debit card, net banking, cash cards and it should also provide multiple ways to collect online payments like IVR (interactive voice response system over telephone).

Great customer support is a must because often a solution becomes a problem if there’s nobody around to explain or implement it. Ensuring online security and fraud protection a payment gateway is providing is very important. “Check whether these solutions are updated or not. If an aggregator does not have its own fraud solution, then the chances are that it hasn’t fully understood – or care about – the risks a merchant will face. The start-ups should also cross check what kind of security standards the gateway is adhering to,” said Gupta. “They should choose the payment gateway provider based on add-on features like fraud detection and prevention tools, up time and not look solely on the charges,” added Thakur.

Lastly, before choosing a payment gateway company, check its corporate pedigree. “Make sure it has firm financial foundations, a good track record and is professionally run,” said Gupta. To those who want to enter online payment gateway market in NCR, Gupta says, “Online Payments is a highly regulated industry and one needs to have deep expertise on payments and strong balance sheet to scale it up. A couple of million dollars are required to invest in an online payment business.”

Via : Economic Times

Growing number of eCommerce firms in Gurgaon has ensured steady business for payment gateways

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List of Hosted eCommerce Platforms in India With Support for Indian Payment Gateways

eCommerce in India has seen a tremendous  growth and more and more brands/entrepreneurs are getting into the eCommerce bandwagon. The biggest challenge to start up is cost and management of technology . Not everyone wants to or can get into managing a team or spend lot of money on developing a site from scratch. The hosted model is basically a managed services model, best for anyone who wants to get started very quickly in a very less budget (paid monthly or quarterly or yearly)  , who doesn’t want to bother about technology operations, everything is managed by the platform provider. You can just focus on marketing and sales.

A hosted platform provides all  the features necessary for your online store, from Logistics support to integration of payment gateways and shipping modules at a much better cost. Specially for start-ups, who don’t have a lot of cash to throw around.

Here is a growing list of eCommere platforms in India which supports Indian Payment gateways and Logistics.

Zepo

MartJack

Buildabazaar

PowerStores

Comparison of the Hosted eCommerce Platforms in India

Hosted eCommerce Platforms Comparison

If you know more hosted platforms which supports Indian Payment gateways , do put it on the comments section and I will be happy to update it.

If you are looking to set up a eCommerce store and don’t know how to go about it ? which will be the best model ?
Get in touch with me

A list of eCommerce/Online Shopping sites in India can be found here

 

 

 

 

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PayU India Introduces Interactive Voice Response (IVR) Facility

payuPayU India, a flagship company of Naspers Group, has launched its Interactive Voice Response (IVR) facility, which will enable enterprises to accept payments from customers via telephone.  The PayU IVR facility aims at providing business owners with a cost-effective way to acquire new customers beyond the online customer base.

Commenting on this, Nitin Gupta, co-founder and country head, PayU India said,”Through our online payment gateway offering, we are already helping the merchants to reach the internet using population which is roughly around 150 million in India. However PayU’s IVR offering opens new channels for merchant’s business growth as it helps them to tap a consumer base of more than 700 million mobile and landline phone users in India.”

He added that, in implementing IVR, the telesales executive will simply inform the caller that he or she can complete their payment process via an interactive voice response feature. He further added,”After the customer’s consent, the executive connects him with PayU’s IVR payment facility. At this juncture, the call is controlled by an automated interactive voice response system.  This gives the customer, a much needed security to transact comfortably. Once the customer confirms the transaction amount and his/her phone number, he/she can proceed to enter the credit card information. The payment process gets over as soon as the customer punches in the one-time password (OTP) procured from the card issuing bank.”

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Flipkart.com to Launch its own Payment Gateway and Marketplace like eBay ?

India’s biggest eCommerce company Flipkart.com  is planning to launch its own payment gateway and a market place.

Techcircle  had reported last month that Flipkart has already registered 2 companies in India, Flipkart Marketplace Pvt Ltd and Flipkart Payment Gateway Services Pvt Ltd. While Flipkart Payment Gateway Services was approved on August 31, 2012, Flipkart Marketplace was approved just last week, on September 12.

Its interesting to see the how Payment space in India is hotting up with number of new players looking to enter this space. With eCommerce gaining momentum in India, payments will play an important role. Some of the other payment gateways in this space are CCAvenue,EBS (now Ogone),Payu,Techprocess to name a few. A full list of payment gateways can be found here.

Paypal has already received approval for launching Domestic payments in India, as reported by Medianama .

Flipkart is also all set to launch its own online marketplace business. And for those not familiar with the business model an online marketplace basically allows brands and/or retailers (offline) to create their own e-commerce stores using the company’s portal, like eBay.

Some of the top eCommerce companies like Infebeam, Tradus, Snapdeal have already started offering Marketplace model to brands.

As of now, Flipkart has not officially spoken about its plans.

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