Digital payment transactions have witnessed a 23 per cent increase in the past one month between June 3, 2020 and July 2, 2020, signalling a rebound after the decline seen during the nationwide lockdown, according to a report by fintech platform Razorpay. The report analysed consumer behaviour and digital spending patterns during lockdown and in the later days.
As per the report, the overall digital transactions declined by 12 per cent in the last 101 days, compared to a 30 per cent drop in the first 30 days of lockdown from March 24, 2020 to April 23, 2020. It added that sectors like logistics, real estate and healthcare are starting to see some normalcy.
Further, the report states that consumer payment behaviour has changed due to stress in income across households. Paylater, cardless EMI and EMI have become preferred payment modes with a growth of 290 per cent, 178 per cent and 125 per cent, respectively, it said. According to the report, UPI continued to be the preferred mode and grew by 43 per cent, while use of cards was up by 40 per cent and Netbanking by 10 per cent.
Additionally, mobile wallet transactions (via AmazonPay, JioMoney and Paytm), particularly in tier-II cities saw a spike, owing to increased contribution towards PM-CARES Fund and cashback offers.