- Date : 07/11/2019
- Read: 3 mins
Recent survey on the payment mode preference among Indian consumers gives interesting results on pan-Indian consumer pattern.
A recent online survey conducted by YouGov and ACI Worldwide has revealed that digital payment is the preferred mode of payment amongst young consumers. YouGov is an internet-based market research company and ACI Worldwide is a global service provider in the field of real-time electronic and banking solutions.
The survey found that 42% of Indian consumers prefer digital payments, 29% prefer card payments and 27% are comfortable with cash payments. Although the preference for digital payment is higher in case of the younger population, the acclimatisation was uniform throughout the populace. While 48% of the millennial used digital payment options, 42% of Gen Z also opted for the same. Notably, nearly 77% of millennial have used digital payments at least once, while 72% of Gen Z, 69% of Gen X and 45% of people from the Baby Boomer generation have used it more than once.
This survey, conducted with 1025 adults, also revealed that 43% of the respondents use digital payments at least two-three times a week. Among them, 15% used it at least once every day for payments. 32% of the respondents claimed not to have used cash at all, during the festive season. On the other hand, only one out of every ten respondents has never used this payment platform. 36% of the respondents had made peer-to-peer payments of low value (less than 1,000) during the festival season while 37% have made high-value transactions.
Among the problems faced by users, internet connectivity is a major concern. Out of 44% of users, 36% were concerned about failed transactions, 32% faced problems in the processing of refunds and 29% identified fraud as a major problem. 21% of respondents had concerns regarding the lack of clarity, while 23% felt that there is a lack of acceptance infrastructure at a merchant location.
What are the various digital payment options?
Digital payments include, although are not limited to, internet banking, mobile wallets, digital payment apps, unified payment interface services etc. The money balance in these accounts is virtually held, and payment is received based on the merchant’s payment acceptance infrastructure.
How safe are digital platforms like virtual wallets?
Compared to cards, virtual wallets have more security around them. These applications can be locked using a pin code. Additionally, the fact that virtual wallets are accessed through smartphones, which have a pin of their own, provides an additional layer of security. These wallets are heavily encrypted to protect the consumer’s credit card and banking details.
Why should you use digital payment options?
Digital mode is fast and convenient to use. You can avoid visits to the ATM and there is no requirement of carrying cards everywhere. Digital payments incentivise transactions schemes like waivers, discounts and cashback. They also act as a one-stop-shop for payment of all bill payments. You will also get a record of digital transactions that you have made, making it easier for you to keep track of your expenses. Take this quiz to find out how good you are with digital payments.