Fintech Unicorn Razorpay Introduces One-Tap, OTP-Less Checkouts

Fintech startup Razorpay and caller identification app Truecaller have launched the new 1-Tap OTP-less verification feature to enhance the shopping experience of online buyers.

In a statement, Truecaller said that the solution will enable Razorpay to offer fast and seamless checkouts to its 200 Mn-plus customers. With the new feature, customers will no longer need to enter details manually or wait for the OTP during the checkout process. Instead, their details will get auto-filled with a single tap through Truecaller.

Commenting on the development, Khilan Haria, SVP & head of payments and product at Razorpay, said, “With this 1-Tap Verification feature, customers can now securely and effortlessly bypass the cumbersome multi-step verification process and enjoy the luxury of having their information prefilled with a single tap, streamlining their shopping journey on Android devices.”

To this, Priyam Bose, global head of Truecaller for Business GTM, said that the caller identification app is looking to develop more such frictionless shopping experiences for both businesses and customers. “We are eager to further develop and scale solutions for the direct-to-consumer digital ecosystem through this collaboration,” he added. 

Razorpay competes with the likes of PayU and PayPal in the online payment gateway space. To add to the competition, in June, PhonePe launched its payment gateway and offered free onboarding to merchants. 

OTP-less and CVV-less online transactions are slowly picking pace in the Indian market. In May, the global card transaction company Visa announced the launch of a CVV-less payment feature to allow fast and seamless transactions. Earlier this month, its competitor Mastercard, too, launched a similar feature. 

According to Inc42’s State Of The Indian Fintech Report Q2 2023, the Indian fintech market, which fosters 22 unicorns, is set to reach a market size of $2.1 Tn by 2030, growing at a CAGR of 18%.