Digital payments giant Paytm, on Sunday (June 28), announced that it has processed close to INR 1,500 Cr in salaries and other benefits for over 5K medium and large enterprises through its Paytm Payouts service.
The Paytm Payout services, which was launched this year, is a digital money transfer service that offers an API or Paytm for Business Dashboard to make bulk payments to bank accounts, UPI addresses and Paytm wallets instantly.
They look to help businesses make payments to their employees, vendors and business partners. These payments can include food allowances, incentives, and rewards to housekeeping, labourers and other contractual staff, the company has clarified. Its clientele includes companies like Pidilite Industries, Schneider Electric and Havmor Icecreams Pvt Ltd.
Commenting on the development, Narendra Yadav, vice president at Paytm, said that more companies are relying on the digital mode of transactions to pay salaries and other benefits to their employees, vendors, and business partners.
“Paytm Payouts is a unique product that minimizes their tasks of tracking and reconciliation of different payments. Now, they can manage all payments from the unified platform for all payouts. Going forward, we will continue to work closely with our partners to understand their needs and offer them a more customised solution. We are expecting 100% growth, both in the number of transactions and volume by the end of this fiscal year,” he added.
During the Covid-19 pandemic and the resultant lockdown, Vijay Shekhar Sharma-led Paytm has noted many firsts across its service offerings. In April, Paytm Payments Bank not only crossed INR 1K Cr in saving deposits, but also managed to hit the INR 600 Cr mark in fixed deposits.
With this, the company decided to launch direct benefit transfers (DBT) of government subsidies to its customers as well. The payments bank also noted a 55% hike in its profits in FY20, amounting to INR 29.8 Cr.
Then, Paytm First Games also expanded into the South Asian market, starting its journey off Bangladesh. The gaming company has partnered with South Asian ecommerce platform Daraz to launch Daraz First Games for the Bangladeshi venture. It now looks to enter Nepal, Sri Lanka and Myanmar. Digital Payments platform Paytm had also expanded its digital credit services Paytm Postpaid to a wider user base, while increasing the credit limit to INR 1 Lakh of monthly spends.