How Digital Payments are Empowering Online Businesses

Are you an online business looking for an ideal, inexpensive and secure way to collect digital payments? Going digital hasn’t been easier.

Gone are the days where customers stood in long queues waiting to pay bills. With the growing digital boom, everything is now available at your fingertips. Here, are 4 time-sensitive and cost-effective ways, you as a business can collect digital payments, hassle free and within a few clicks.

Easy ways to collect digital payments in India:

  • Payment Gateways: 

Payment Gateways are e-commerce services which enable digital payments. A payment gateway works as a middleman, who allows for the flow of money from the buyer’s account to the seller’s account. To know how payment gateways work, click here.

Payment Gateways are an easy, secure and efficient way of collecting digital payments. Additionally, payment gateways offer a wide range of options to collect digital payments. This makes your business more accessible to a wider range of customers. Some of the most common modes supported by payment gateways are debit cards, credit cards, net banking, wallets, and UPI.

We conducted a research to analyze the top 7 payment gateways in India on various parameters, click here to know more.

  • Payment Links: 

Payment links are one of the easiest ways to collect digital payments. All you do is, create a payment link on your chosen payment gateway and share it with your customers. With payment links, you can receive payments by simply sending these links to your customers. These links can be shared across various channels like WhatsApp, Email, SMS, Facebook and more. Digital payments can be collected with a simple “Pay with a link” option, which creates a custom-made link to collect payments.

One of the most prominent payment links in the market today is Instamojo’s Smart Links. These links not only help collect instant payments but also allow you to collect customer shipping details, GST details for invoicing purposes and more. To check out Instamojo’s payment links, click here.

UPI is a payment mode built on IMPS. UPI works on a VPA (Virtual Payment address), which works like an email ID which connects back to your bank account. Recently relaunched in August 2018 UPI 2.0 is all set to take the digital payments sector by storm.

Up until now, UPI concentrated being a person-to-person payment mode and lacked features that could support businesses. But now, with a renewed brand and outlook, UPI has become a merchant-centric platform. UPI transactions have crossed the 300 million mark in August, according to the NPCI.

Some of the features which help in empowering merchants via UPI are linking of overdraft account facility, one-time mandate, invoice verification, and signed intent and QR.

You can effectively collect digital payments via these virtual mobile-based wallets. Digital wallets have gained momentum in India post, PM Narendra Modi’s surgical strike to clean up black money with demonetization. On one side the demonetization wave caused havoc in the lives of people. On the other, it forced India to take the plunge into the new-age system of digital payments.

While wallets are extremely easy to use from a customer point of view, it lacks an essential feature: interoperability. This means, if a customer doesn’t already have the wallet option you offer, they would have to sign up, add money to their wallets and then go about the transactions. This could be a cumbersome process, which may result in the loss of potential customers. Hence, it is essential for you, as a business to offer multiple digital payments options to tend to a larger audience.

Future of digital payments in India:

While most businesses only concentrate on the products and services, they tend to ignore the overall user experience. Having a seamless UI experience, just won’t suffice. Covering the last mile with providing a seamless and secure mode of digital payments, help provide a wholesome experience for customers.

To ensure this, pick a payments solution which tends to all your business needs. While wallets, payment links, and UPI offer only a handful of offerings, payment gateways come with various additional benefits. Be it tools, invoicing options, free online stores, analytics or various integrations and plug-ins, they are a likely pick for startups or businesses looking for an overall approach.

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