Walmart-backed e-commerce major Flipkart recorded 5 million UPI transactions worth INR 197.24 crore in March, marking its first month of full-fledged UPI launch.
Demonstrating its growing influence in the fintech sector, Flipkart surpassed Jio Payments Bank apps, Navi, and numerous banking apps in UPI transactions during its inaugural month, according to data from the National Payments Corporation of India (NPCI).
Flipkart remarked in a statement, “We’re pleased with the positive feedback from our customers. UPI has significantly enhanced accessibility and convenience for both commercial and non-commercial transactions. Our aim at Flipkart is to extend this same level of convenience across our platform.”
It’s worth noting that the total volume of UPI transactions in March reached approximately 13 billion, amounting to around INR 20 lakh crore.
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While Flipkart registered 5 million UPI transactions in its first month, MobiKwik’s total transactions stood at around 8.3 million in March. Conversely, Groww logged 6.7 million UPI transactions last month, and Jupiter recorded 5.6 million.
Meanwhile, Google Pay, PhonePe, Paytm, and CRED maintain their dominance in the UPI landscape.
In March, Google Pay handled 5 billion transactions totaling around INR 7 lakh crore, PhonePe recorded 6.5 billion transactions valued at INR 10 lakh crore, and Paytm witnessed 1.2 billion transactions amounting to INR 1.3 lakh crore. Conversely, Amazon Pay processed 65.3 billion UPI transactions last month.
It’s important to highlight that Flipkart introduced its UPI service in January of this year, albeit to a restricted group of users.
According to a source familiar with the situation, Flipkart’s UPI service was launched for approximately 10,000 users in the initial phase during that month. The company had plans to expand its availability nationwide in the coming weeks.
Additionally, Flipkart partnered with Axis Bank for its UPI offerings. The @fkaxis UPI handle is poised to facilitate a range of transactions, spanning online and offline activities like e-commerce transactions, recharges, and bill payments.
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According to an industry executive cited by Moneycontrol, Flipkart’s long-term UPI usage is expected to surpass that of Amazon Pay UPI.
The executive said, “Amazon focuses on premium customers in areas with high credit card penetration. Flipkart, on the other hand, is favored in tier 2 cities, towns, and villages, which may result in significantly higher UPI usage.”
In a statement last month, Dheeraj Aneja, Senior Vice President of the Fintech and Payments Group at Flipkart, expressed that the introduction of Flipkart UPI seamlessly combines the convenience and cost-effectiveness of UPI with the trusted efficiency that customers anticipate from the company.
“At Flipkart, we are dedicated to providing customers with the best possible online shopping experience by providing a variety of safe and practical payment options in addition to a vast array of benefits and incentives like Supercoins, brand vouchers, & others,” the spokesperson stated.