Covid-19 Has Accelerated Digital Payments on E-commerce Sites: Paytm Mall

Paytm Mall said Covid-19 has resulted in accelerating digital payments on e-commerce sites in India as more and more consumers shop online as part of shifting consumer behaviour in the pandemic.

“At an e-commerce ecosystem level, with the ongoing pandemic, we believe more people are now embracing digital payments, a trend that is set to continue and grow," Abhishek Rajan, chief operating officer of Paytm Mall, said.

Paytm Mall had already stopped cash-on-delivery (COD), a popular payment mode and a mainstay of e-commerce transactions in India, more than a year ago.

"At Paytm Mall, we promote digital transactions and do not have Cash on Delivery as a payment option,” Rajan said. “Not accepting cash has never been an issue for our customers as they anyway prefer paying via the Paytm wallet or other digital means.

According to e-commerce enabler, ANS Commerce between 10% and 30% of COD orders are returned by customers compared with 5%-15% for pre-paid orders.
So retailers including Puma and department store chain Iconic have started offering their online customers an upfront 5% discount if they choose digital modes of payment while Liberty Shoes charges an extra Rs 49 for a customer who prefers to pay at the time of delivery at their doorstep.