•Political Scenario

•1. RBI Policy changes •Economic Scenario

•2. Efficiency of government subsidy on •1. Heavily incentivised P2P (peer-to-
transaction and reimbursements. peer) payments.
•3. Strong government backing to the •2. 100% FDI through the automatic
digital payment apps. route in digital payment companies.

Factors

Social Scenario
Technological Scenario
1. Trust issues due to virtual transactions and
1. Introduction of Cryptocurrency and
lack of awareness about technology.
blockchain technology.
2. Attracting customer base creating
2. Data Regulation Norms: Ensuring safety of
differentiation such as introduction of
personal and monetary data
‘Scratch Cards’ in Google Pay.
3. Touch-to-Pay technology
 •Political Scenario
•1. RBI Policy intervention
•2. Strong government backing to the
digital payment apps.
Factors
Social Scenario
1. Owning large amount of market
share by maximising the merchant
based UPI transactions.
2. Attracting customer base creating
differentiation such as introduction of
‘Scratch Cards’ in Google Pay
•Economic Scenario
•1. Heavily incentivised P2P (peer-to-
peer) payments.
•3. 100% FDI through the automatic
route in digital payment companies.
Technological Scenario
1. Introduction of Cryptocurrency and
blockchain technology.
2. Ensuring safety of personal and
monetary data during transactions.
3. Ease of digital payments like online
texting.
 •Political Scenario
•1. RBI Policy Change – The UPI comes with a clause
now to limit money transfer to only 10 people per
day to encourage genuine transactions in UPI.
•2. Government Subsidy – A government subsidy for
the merchant discount rate and a 15-basis-point cut
in the interchange fee on PoS machines will deepen
digital payments.
•3. G Pay being launched by the then finance minister
Arun Jaitley is backed by GOI.
Factors
Social Scenario
1. Digital payments firm Paytm has enabled 7 Cr UPI-
based merchant transactions out of the total 12 Cr
transactions in India in May 19. This development has
made it a leader in UPI-based merchant payments
with around 60% market share.
3. P2P payments primarily dominates UPI as Google
and Walmart-Phonepe are incentivizing these
transactions claiming their leadership.
•Economic Scenario
•1. Economies that switch to digital are more
successful; the switch can boost annual GDP by as
much as 3 percentage points, BCG research shows.
•2. In terms of volumes, Paytm continues to be ahead
of Phone Pe and Google Pay and Google has taken a
strong lead of 20-25% over others as they continue to
heavily incentivise P2P (peer-to-peer) payments here.
•The Reserve Bank of India has already given its
conditional nod to the finance ministry's proposal to
allow 100% foreign direct investment (FDI) through
the automatic route in these payment
Technological Scenario
1. Cryptocurrency is regarded as the next major
milestone in digital payments.
2. As per 'Business Today’ G Pay is the most
downloaded finance app, followed by Flipkart-owned
Phone Pe in the month of May this year.
3. The GoI has asked the National Payments
Corporation of India (NPCI) to ensure that user data
collected through payment services such as Google
Pay is not shared.
 Future Projections (5 years)
Future Competitor
• WhatsApp’s proposed payment service is based on Unified Payments Interface (UPI), a system that
enables real-time transfer of funds between bank account.
• With a customer base of over 400 million active users , WhatsApp is set to compete in the digital
payment market.
• Indian authorities are concerned that WhatsApp’s payment service might share user data with
group companies Facebook & Instagram, compromising the security, privacy and non-commercial
information of its subscribers.
• WhatsApp said it had developed a system to store payment-related data in India to comply with
policy.
• There are almost 1 million people 'testing' WhatsApp payments service in India