Mobile payment & ecommerce platform, Paytm, has launched a new feature on its Wallet app, Quick Response (QR) code-based payments. QR code can be used by any shopkeeper or service provider to start accepting digital payments.
A QR code is a matrix bar code – a machine-readable label that contains information. In the case of the pre-printed QR codes, the only information it will contain is the Paytm account details of the merchants. After scanning the QR code, the buyer has to enter the payment amount and approve the payment which will be confirmed via SMS. Merchants will also be able to generate dynamic QR codes which will contain the amount to be paid as well, in addition to merchant’s Paytm details.
The QR code option will allow service providers such as kirana stores, auto-rickshaws, fast food joints and others carry a laminated QR code of their account and receive payment even without a data connection.
Soon, the existing 10,000 merchants, who enable top-up of Paytm wallets with cash, will also be encouraged to start accepting QR code-based payments as many of them are kirana stores. “We see high applicability of this solution with local retailers & service providers like handyman, autos, small restaurants & kirana stores. The benefits for merchants are freedom from handling cash, instant payments & much lower operational costs,” said Nitin Misra, Vice President – Payment Products.
Brands that are currently using Paytm app for payments include Pizza Hut, KFC, Costa Coffee and few others. Under the current method, a one-time password is generated after the customer’s mobile number is received.
In the near future, Paytm is also looking to launch a payment merchant application that will give retailers a wider range of functionality.
Welcome to Flash Feed, your essential source for breaking news and innovation from around the web – bite-sized and updated all day.