MUMBAI: As India transitions to a digital economy, a new survey from Visa, the global financial transactions firm, has revealed consumers are highly inclined to embrace new forms of payments.
Visa worked with research firm YouGov to poll more than 2,000 consumers across India, Bangladesh and Sri Lanka and found that more than three-quarters (78%) are likely to embrace new forms of digital payments.
“IoT and contactless payment technology, enabling simplified, secure and faster e-commerce experiences, are some of the trends defining the next wave of the future of payments,” said TR Ramachandran, Group Country Manager of Visa India and South Asia.
“The study shows that while consumers are steadily embracing digital payments, they are also seeking secure payment forms,” he added, in comments reported by the Economic Times.
Some 70% of respondents who said that they used less cash than in the past cited the convenience, efficiency and speed of transactions as important factors in making the switch.
But the transition has not been a smooth one for everyone because the survey also found that among those who find it “tough” to switch to digital payments, 41% said the merchants frequent only accept cash, while 39% had concerns about security.
Indeed, security stood out as a key concern for consumers overall, with 81% stating that they value safety over convenience when it comes to making payments online.
The report went on to say that digital payments are expected to increase from 34% of transactions last year to 36% this year, rising to 39% in 2018.
Meanwhile, cash usage declined slightly from 33% last year to 31% currently, although it is then expected to drop to 25% over the next 12 months.
Sourced from Economic Times; additional content by WARC staff