Special Issue - (MMK: ACE - 2023) International Journal of Innovative Science and Research Technology

ISSN No:-2456-2165

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Special Issue - (MMK: ACE - 2023) International Journal of Innovative Science and Research Technology
ISSN No:-2456-2165
FROM THE DESK OF THE EDITOR…!

After Covid-19 the education world has been changing very fast with drastic majorchanges in the research dimensions. UGC
and MHRD have launched many virtual platforms with online depositories, e-books and other online teaching/learning materials.
Combination of the traditional technologies’ with mobile/web technologies to a single platform with depositories would enhance
better accessibility and flexibility to education.
The main objectives of NEP 2020 clearly define the pivotal role in catalysing interdisciplinary /multi-disciplinary research
culture at UG level.
Students’ research at undergraduate and post graduate level is the key to success towards real life education. Implementation
of this student centric research requires establishment of the Academic Bank of Credits (ABC), a national level facility which will
be a bank for academic purposes with students as academic account holders. A minimum of 20 credits of the 160 credits in four
years undergraduate degree programmes will be earned via research activities according to guidelines prepared under NEP 2020.
Further, it will encourage and make it possible for all students to open an academic bank account to commute credits to
award any degree/research fellowship/certificates.
The ability to integrate classroom knowledge with practical problems is important to decide research problems of the real
world and to provide realistic solutions for the same. Four years Undergraduate bachelor’s degree programme objectives are
clearly defined in these directions. This calls for developing research experiences in students and developing system of offering
real life research projects with keen interest towards pursuing realistic research projects. Here role of research organisations,
higher institutions or research centre can support research internships as providers.
Keeping such ideas in mind, I feel humbled to bring out the Third students special Issue of our reputed E-Journal “MMK:
ACE”, including research papers for the first time from students’ community at various undergraduate, post graduate and
Doctoral level Programmes of our College. This volume develops the fact finding empirical approach among students community
at higher education.
I extend my sincere gratitude to the Management of H.S.N.C. Board and our respected Principal Prof. Dr. CA Kishore
Peshori for their constant support and motivation towards a strong Research foundation.
Finally, a big thank you to the Peer-reviewers and Publishing House for helping us in publishing this E-Journal. I invite
feedback and suggestions from our Readers, Researchers and Academicians for further improvement in our E-Journal “MMK:
ACE”.

Dr. Aashish S. Jani

Vice-Principal & Executive Editor

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Special Issue - (MMK: ACE - 2023) International Journal of Innovative Science and Research Technology
ISSN No:-2456-2165
PRINCIPAL’S MESSAGE…!

Dear Members of the Academia,

It brings me immense joy and pride to witness the continued growth of SMT. M.M.K. College, especially in the realm of
research, as evidenced by the expansion of our esteemed Research Centre in Commerce (Business Policy & Administration) and
the recent approval in Accountancy.

I extend my heartfelt gratitude to the dynamic editorial team, led by Dr. Aashish Jani, Vice Principal, for their unwavering
commitment and dedication to advancing the cause of research at our institution. Their tireless efforts have played a pivotal role in
steering our academic community toward the frontiers of knowledge.

In the spirit of our rich cultural heritage, I am pleased to include a Sanskrit shloka in this research endeavour, symbolizing
the fusion of tradition and progress in our scholarly pursuits:

“चरै वेतिचरै वेति…”

“Keep Walking, Keep Walking”,

The present focus on student-centric research in this Third edition of MMK: ACE is indeed a commendable initiative taken
at the opportune moment. It reflects our collective commitment to nurturing the research acumen of our students, a vital aspect of
our academic mission.

I express my sincere appreciation to the Research Committee, whose proactive approach has not only fostered the
development of new faculty but has also provided a platform for meaningful research at both undergraduate and postgraduate
levels. The previous volumes of MMK: ACE have been well-received by the academic community, and I am confident that this
edition, emphasizing student research, will further elevate our standing.

Kudos to the editorial team for curating diverse themes that delve into various facets of the Economy and Education sector. I
extend my appreciation to the Course Coordinators, specialized students, academicians, research guides, and scholars whose
valuable contributions have enriched the content of this journal.

I applaud the continuous efforts of the editorial board in cultivating and promoting a robust Research Culture across all
multidisciplinary programs. Your dedication is instrumental in inspiring our faculty and students to embrace the role of
researchers and critical thinkers.

As we embark on this intellectual journey through the pages of MMK: ACE, I wish the entire team the very best. May the
ideas shared in this volume pave the way for positive outcomes and catalyze many more students and teachers to embark on the
rewarding path of research and scholarly exploration.

With warm regards,

Prof. Dr. CA Kishore Peshori

(Principal)

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Special Issue - (MMK: ACE - 2023) International Journal of Innovative Science and Research Technology
ISSN No:-2456-2165
CONTENTS
RESEARCH PAPERS & ARTICLES ON ACCOUNTANCY

PAPER I.D & PROGRAMME RESEARCH TOPIC AUTHORS

IJISRT22NOV032 A Study Of Mergers And Acquisitions In India & Their Dr. Meena Kumari&
(M.COM.) Impact On Financial Performance Ms. Shaikh Noorjahan Begum
Murad Hussain

IJISRT22DEC1506 Analytical Study On Various Heterogeneous Valuation Dr. Meena Kumari&

(PH.D. ACCOUNTANCY) Techniques Followed In Balance Sheet Ms. CA Asmita Agrawal

IJISRT23JAN439 Opportunities and Challenges of Rural Areas of Dr. Jayesh K. Rana &
(PH.D. ACCOUNTANCY) Maharashtra State Ms. Bhavana T. Shinde

IJISRT23JAN051 A Study On Financial Risk Management Specifying Dr. Jayesh K. Rana &
(PH.D. ACCOUNTANCY) Incomplete Construction Projects In Real Estate Anil N. Tike

IJISRT23DEC1003 (PH.D. A study on the perception of Indians towards Gold as the Dr. Jayesh K. Rana &
ACCOUNTANCY) Safest Alternative Ms. Rachel George

IJISRT23DEC240 A Study on Tata Technology IPO Dr. Jayesh K. Rana & Mr.
(PH.D. ACCOUNTANCY) Bhavesh Dilip Khanted

IJISRT22NOV026 A Study On The Growth of Mutual Fund Industry In Ms. Harsha Hardasani &
(B.F.M.) India From Period 2017-22 Mr. Vinay Bafna

CONTENTS

PAPER I.D & PROGRAMME RESEARCH TOPIC AUTHORS

IJISRT22NOV028 The Influence Of Corona virus Pandemic On The Indian Dr. Aashish S. Jani &
(PH.D. Digital Payments Ecosystem Mr. Kayzad F. Dadachanji
COMMERCE)
IJISRT22NOV029 Revival Of Hotel Industry With The Latest Trends: Post Dr. Aashish S. Jani &
(PH.D. Pandemic Period Ms. Jasmine Gulshan Rai
COMMERCE)
IJISRT22NOV030 A Comparison Of The Effectiveness Of Learning In The Dr. Aashish S. Jani &
(PH.D. Physical Classroom Versus Online Learning For Students Ms. Revati Hunswadkar
COMMERCE) During The COVID-19 Pandemic
IJISRT22NOV031 A Study of Various Social Security Measures of The Dr. Aashish S. Jani&
(PH.D. Government With Special Reference To Retirement Ms. Mamta Meghnani
COMMERCE) Schemes
IJISRT23DEC243 Factors Affecting The Longevity of Startups Dr. Aashish S. Jani & Mr.
(PH.D. Darshan Panchal
COMMERCE)
IJISRT23DEC241 Role Of Forensic Audit In Preventing &; Detecting Prof. Shreekumar Menon &
(M.COM.) Financial Frauds Danish Mohd Farukh Shaikh

IJISRT22DEC1503 A Study On Consumer Behavior Towards Buying Electric Prof. Vishal R. Tomar &
(PH.D. Vehicle In KDMC Ms. Jyotsana Suraj Agarwal
COMMERCE)
IJISRT23DEC247 Unleashing Potential: Navigating Opportunities And Prof. Vishal R. Tomar & Mr.
(PH.D. Challenges In India's Evolving Gig Economy Ravi Rakesh Singh
COMMERCE)

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Special Issue - (MMK: ACE - 2023) International Journal of Innovative Science and Research Technology
ISSN No:-2456-2165
IJISRT23DEC244 A Study On Opportunities & Challenges Posed By Ai Prof. Vishal R. Tomar & Ms.
(PH.D. Among College Students In Mumbai Aditi Kapoor
COMMERCE)
IJISRT23DEC245 Opportunities And Challenges Of Tourism Industry In Prof. Vishal R. Tomar & Mrs.
(PH.D. Ratnagiri District Veena V. Sawant
COMMERCE)
IJISRT23DEC248 Opportunities And Challenges Of Entrepreneurs In Prof. Vishal R. Tomar & Ms.
(PH.D. Sustainable Development Of Power Loom Sector (With Kamini Pawar
COMMERCE) Special Reference To Bhiwandi)

CONTENTS
RESEARCH PAPERS & ARTICLES ON ECONOMICS

PAPER I.D & PROGRAMME RESEARCH TOPIC AUTHORS

IJISRT23JAN440 Rebooting The German Economy Through Dr.Sheetal Chaddha &
(B.M.S.) Digitalization Mr. Santosh Gupta,
Mr. Aniket Pujari,
Mr. Durvankur Mukadam
IJISRT22NOV027 A Study Towards The Awareness And Impact Ms. Prajakta Paralkar &
(B.B.I.) Ofcovid-19 On Health Insurance Sector In India Ms. Ayesha Iqbal Khair

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Special Issue - (MMK: ACE - 2023) International Journal of Innovative Science and Research Technology
ISSN No:-2456-2165

The Influence of Corona Virus Pandemic on the

Indian Digital Payments Ecosystem
MMK:ACE VOLUME 3:PAPER NO. 03

Dr. Aashish S. Jani

Research Guide and Vice Principal
Smt. M.M.K College of Commerce and Economics, Mumbai, Maharashtra, India

Kayzad F. Dadachanji
Research Scholar, Smt. M.M.K College of Commerce and Economics, Mumbai, Maharashtra, India
Working as Assistant Professor in the Dept. of Commerce
R.D.National College of Arts, Commerce & Science, Bandra.Mumbai-50

Abstract:- The Corona virus pandemic in India resulted But it was COVID 19, that made more and more
in lockdowns and restrictions which led to more and people resort to online modes of payment. Through this
more people resorting to digital modes of payment as it research paper an attempt is made to understand the impact
was safer. This research paper attempts to study the covid had on the digital payment sector of the country. It is
influence that Covid 19 is having on the Digital Payment quite obvious that during the lockdown period there was a
Sector in India. Also, the challenges faced by the Digital rise in the digital transactions in the country and also an
Payment Sector has been highlighted in the paper. increase in the number of digital users but has the country
Further, certain suggestions have been provided for been able to maintain that increasing trend of number of
retaining the existing users of digital payments mode and people resorting to digital payments, the research paper tries
also attracting new people to adopt digital payment to seek an answer to this question.
modes so that the goal of “Digital India” in true sense is
achieved. II. REVIEW OF LITERATURE

Keywords:- Covid 19, Digital Modes of Payment, Indian  Mate, R. and Kapdi, A (2021), Impact of Covid on
Economy. Digital Payment Usage in India, Anvesak, Vol. 51, No.2
(III) (pp 78-87) attempted to understand the importance
I. INTRODUCTION of digital payment modes in the times of pandemic and
also the perceptions of consumers with regards to usage
India witnessed one of the most lethal pandemics of the of digital payments. Their studies concluded that there
century in the form of COVID 19 in March,2020 whereby was an increase in the number of e-commerce
the entire country was in lockdown mode. There were large transactions and users during the pandemic as people
scale restrictions imposed by the Government of the country preferred the digital modes as payment could be made
to safeguard its population. This lockdown had a severe from the comfort of their homes without them having to
impact on the country as people were confined to their venture out.
residential homes and businesses were disrupted.  Panwar, M. et. al., (2020), Impact of Covid 19 on
Technology played a very crucial role by helping the Digital Payments, World Journal of Innovative Research,
businesses to conduct their trade online and work from Vol. 9, Issue 4 (pp 77-81) tried to study the impact of
home became the new norm. It was this advancement in covid 19 on digital payments and the mode of payments
technology which permitted online purchase and sale of preferred by the customers during the pre and post covid
transactions. periods. They concluded that Covid 19 is a silver lining
as far as acceptance of digital modes of payments in
For online purchase of goods, people resorted to digital
India is concerned. They also stated that lack of
modes of payment like plastic cards, net banking, UPI, QR
awareness about digital payment modes and the costs
codes etc. Online mode of payments was preferred during
involved with are the prime reasons for people’s
the lockdown as people were scared of dealing in physical
reluctance to use digital payment alternatives.
cash as they believe that virus could also transmit through
notes and coins, so digital modes of payments appeared  Singhal, R. and Gupta, A. (2021), Impact of Covid 19 on
safer as there was no physical contact. Digital Payment Services at towns and villages,
International Journal of Creative Research Thoughts,
The Government of India since the last decade is Volume 9, Issue 5, (pp 585-594) have stated through
pushing for the use of digital modes of payment as it brings their research work that there will be a continuous
in more transparency and curbs corrupt and illegal practices. increase in the adoption as well as the use of digital
The Government had initiated various schemes to promote payment as people are educated about its importance and
digital modes of payment like the Jan Dhan Yojana and relevance.
demonetization.

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Special Issue - (MMK: ACE - 2023) International Journal of Innovative Science and Research Technology
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 Yadav, P. and Sinha, V. (2022), Paradigm Shift of “Digital Payment” can be defined as those transactions
Digital Payments in India, Journal of Management and where electronic mediums are used for transfer of money by
Entrepreneurship, Vol. 16, No. 2 (II), (pp 30-36) tried to both the parties to the transaction – the payer as well as the
understand and interpret the trends in the Indian Digital payee. These transactions are conducted online without any
Payment System during Covid times. They are of the involvement of physical transfer of money. (Bhatia, 2021).
view point that the start up ecosystem can play an
important role in overcoming the challenges that are In India there are a wide range of payments options
being faced for adoption of digital payments and also available especially when it comes to digital payments. A
stress on the need to create a strong robust digital few prominent digital payment options are stated below: -
payment eco system in line with the goals of the  Banking Cards
Government targeted towards financial inclusion.  Point of Sale (POS)
 Mistry, D. and Vyas, P. (2022), Impact of Covid 19 on  Internet Banking
Digital Payments in India with special reference to *99#  Unstructured Supplementary Service Data (USSD)
services, ComFin Research, Vol. 10, No. 1, 2022 (pp 1-  Bank Prepaid Cards
9), tried to study the impact of covid on digital payments  Micro-ATMs
with a special reference to *99# services. They  Unified Payment Interface (UPI)
concluded that there was a decrease in the number of  Mobile Banking
banks live on *99# during the Covid Pandemic and also  Mobile Wallets
a decrease in the value and volume of transactions  Aadhar Enabled Payment System (AEPS)
through *99#. The authors feel that this is due to easier  Bharat Interface for Money (BHIM) App.
availability of smartphones which has resulted in a
greater number of users preferring mobile banking and A. Covid 19 and the rising digital payments in India.
UPI as compared to *99# services. The Coronavirus Pandemic wreaked a havoc in the lives
 Saroy, R. et. al. (2022), The Impact of Covid 19 on of people in India as it had done throughout the world. India
Digital Payment Habits of Indian Households, Bulletin started reporting regular cases of Coronavirus from the last
of Monetary Economics and Banking, Special Issue (pp week of March, 2020. With no proper medical treatment
19-42), concluded through a large survey of data that known to tackle this virus and its highly communicable
there is a shift towards digital modes of payments. They nature, the Government of our country imposed a lockdown
further state that awareness about digital payments is whereby people were confined to their homes and
vital to attain the goal of Digital India. The pandemic has movement of the people being prohibited as there was a
brought more middle-aged people under the ambit of constant fear that they may also get exposed to the virus.
digitalisation, however the elderly still prefer cash. They
are of the opinion that the trust of the people in digital Slowly people started getting used to this lockdown
modes of payment should be retained. and restriction related situation and they made the use of
technology for conducting their day to day as well as job or
III. OBJECTIVES profession related operations. Work From Home and online
purchase through e commerce sites became the new norm.
 To discuss the growth in digital modes of payment in
India and the role played by Covid in that. During these testing times, the digital modes of
 To outline the hurdles that propel the customers to payment were preferred and adopted by a majority of the
refrain from digital modes of payment. population as the digital payments could be made from the
 To suggest measures to retain the customers who have comfort of the house and the most important factor was that
adopted digital payment modes and also to bring more there was no physical contact while making digital
people under the umbrella of digital payments so that payments, as physical contact was one of the ways of
goal of Digital India can be realised catching the highly communicable coronavirus.

IV. RESEARCH METHODOLOGY The first wave of the Coronavirus also known as the
Wuhan Strain witnessed a rise in the number of cases from
The entire research paper is based on secondary data the end of March, 2020 and it reached its peak in the month
obtained from websites, peer reviewed scholarly research of September, 2020.The second wave of the Coronavirus
articles and financial newspapers and reports published by also known as the Delta Variant began in March, 2021
the Reserve Bank of India. No primary data has been used. which was the more devastating one as the country reported
shortage of oxygen cylinders, hospital beds and vaccines.
V. DISCUSSIONS The rise in the cases was reported till August of 2021.
(Covid 19 Pandemic in India)
The Government of India right from 2015 has given
impetus to digitalisation. The Government is constantly These rising cases compelled the government to
striving to improve the technological infrastructure so that impose stricter curbs having an adverse effect on the
people can avail digitalized services as it promotes economy of the country. As stated earlier, people preferred
transparency and curbs black marketing and unethical trade digital payments during pandemic as they were considered
practices. to be safe, through this research paper, an attempt is being

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made to study that whether that rise in digital payments was The digital payments figure for the year prior to covid
only temporary or was it of a more permanent one. (financial year ending 31st March, 2020) are compared with
figures for the year during covid (financial years ending on
31st March, 2021 and 31st March, 2022)

Table 1: Information about the volume of digital payment transactions

Volume (in lacs)
PAYMENT SYSTEMS 2019-20 2020-21 2021-22
RTGS (Retail Segment) 1507 1592 2078
Credit Transfers 206297 317868 577632
Debit Transfers and Direct Debit 6027 10457 12222
Card Payments 72384 57787 61786
Prepaid Payment Instruments 53811 49743 65812
Total Digital Retail Payments 340026 437447 719530
Source: Reserve Bank of India (Annual Report 2021-2022)

From the above table, it is evident that there has been a have reported an increase in the volume of transactions
rise in the volume of digital transactions. The Year 2019- during the Covid times as compared to the period Covid.
2020 is the year before covid and the years 2020-2021 and The possible reason for the decrease in the volume of card
2021 -2022 represent the years affected by Covid. All the payments transactions can be the emergence of UPIs, IMPS
Payments Systems with the exception of Card Payments and NEFT technologies. Also, card payments at times also
(and Prepaid Payment Instruments for the year 2020-21) involve a cost.

Table 2: Information about the value of digital payment transactions

Value (in lac crores)
Payment Systems 2019-20 2020-21 2022-23
RTGS (Retail Segment) 1311.56 1056 1286.58
Credit Transfers 285.57 335.04 427.23
Debit Transfers and Direct Debit 6.06 8.66 10.38
Card Payments 14.35 12.92 17.02
Prepaid Payment Instruments 2.16 1.98 2.94
Total Digital Retail Payments 1619.7 1414.6 1744.15
Source: Reserve Bank of India (Annual Report 2021-2022)

The above table shows that in spite of increase in the The Reserve Bank of India has created a composite
volume of transactions of RTGS during the year 2020-2021 Digital Payments Index (DPI) to measure the reach of
and 2021-2022 as compared to 2019-2020 there has been a digitization of payments round the country. This index
decrease in the value of these transactions. The value of card enables the regulator to understand the effect and spread of
payments and prepaid instruments is less in the year 2020- digital modes of payments in urban areas, semi urban areas
2021 as compared to 2019-2020, this may be possibly due to and rural areas, as well as understanding the influence of
decrease in the disposable of income in the hands of the policy decisions undertaken by the Reserve Bank of
customers due to Covid 19 and its severe impact on the India.The Digital Payment Index includes five broad
economy. However, during the year 2021-2022, there were parameters which enables to measure the extent of
fewer lockdowns and restrictions making it somewhat penetration of digital payments over different time periods
possible to conduct business in the normal manner, hence in the country.
resulting in an increase in the value of digital transactions.

Table 3: Parameters of Digital Payment Index with their weightage

Serial Number Parameter Weightage (in terms of percentage)
01 Payment Enablers 25
02 Payment Infrastructure – Demand Side Factors 10
03 Payment Infrastructure – Supply Side Factors 15
04 Payment Performance 45
05 Consumer Centricity 05
(Digital Payments Index :- RBI, 2021)

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Table 4: Period wise RBI Digital Payment Index
Serial Number Time Period RBI Digital Payment Index
1 March 2018 (Base) 100
2 March 2019 153.47
3 September 2019 173.49
4 March 2020 207.84
5 September 2020 217.74
6 March 2021 270.59
7 September 2021 304.06
8 March 2022 349.30
(Das, 2022)

The RBI Digital Payment Index has increased by 29.08 competition between the services providers has resulted
percent in March 2022 as compared to March 2021. This as in price wars between the companies and severe impact
per the official statement of Reserve Bank of India released on the quality. The companies do not have a huge budget
on 27th July, 2022, “demonstrates significant growth for creating a quality network for better services. Covid
representing the quick and rapid adoption of payment via 19 has further increased the load resulting in a further
digital mode in recent times across the country.” strain on our technological infrastructure. Payment
traffic has certain specific requirements unlike the
B. Hurdles in the path of adoption of digital payment in regular web browsing sessions resulting in time outs and
India. frustration on the part of parties to online transactions as
Inspite of the figures and statistics demonstrating the customer receives the confirmation of payment while
continuous growth in the volume and value of payments of the merchant is unable to receive any confirmation. This
transactions digitally in India, there are still a few hurdles further contributes to the unwillingness on the part of the
that we need to overcome to bring about the true population to use digital payment modes.
understanding of the potential of digital payments. These  Online Frauds: - India is more prone to hacking or any
factors have been discussed below other cyber-attacks and is ranked only after the United
 The dilemmas of small merchants: - The small States when it comes to hacking attempts. Insufficient
merchants are extremely suspicious of parting with their investment in security technology and little or no
products and not receiving the payment for the same by awareness on the part of the public dealing with data in
the next day. This problem is on account of two factors bank and fintechs are the main reasons for this. Stricter
 Inadequate knowledge and awareness on the part of laws need to place especially when it comes to cyber
small traders regarding the functioning of the digital fraud so that people will not resort to hacking and other
payments system and electronic confirmation. online frauds. At the same instance, better investments in
 Highly complex and time-consuming dispute security infrastructure and banks and fintechs pulling up
management process. their socks, will slowly but surely minimize the instances
of online and cyber frauds. (Agrawal, 2021)
The digital payment confirmations are in the form
of smses or in the form of printed slips in English. The C. Measures to retain and attract more customers towards
small merchants in India are generally not very well digital payments in India.
versed with the English language. In the times of As discussed earlier, undoubtedly there has been an
resolving the disputes of merchants, certain technical increase in the digital payments in India but we also need to
terms are used making it even more difficult for the keep in the minds the concerns of the people using digital
small merchants. modes of payments.
 Every payment transaction has three parties to it: - the According to PR News Wire, more than two thirds of
bank accepting the transaction, a network like the digital payment users are worried about their security
Mastercard, Visa or Rupay and the issuer i.e., the bank while entering into online transactions as their personal
with the account of the customer, finding the main cause information is collected while initiating payment
of the problem becomes difficult. The merchants in transactions digitally.
majority of the instances do not read the agreements
while accepting digital payments which states that in These and other issues of the customers should be
case of disagreement on the dispute between the addressed as soon as possible so that people become more
accepting and issuing bank, the merchant would bear the confident while initiating online transactions and also
loss. encourage more people to adopt digital payments.
(Gundaniya)
For small merchants who have very little time at
their disposal for disputes, this further reduces their trust Here, a few measures are stated to retain the existing
in digital payment and they again shift towards cash. digital payment users and attracting more people to adopt
 Inferior Quality of Internet: - India still has severe digital payments.
problems when it comes to internet connectivity
especially in remote and rural areas. The continuous

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 Minimum time between initiation and completion of  Standardization of Payment Process
payments For carrying out digital payments, different mechanisms
The shorter time period between the initiation and are adopted by different browsers. Similar variation is also
completion of payments will attract more customers to observed when different types of devices are in use.
digital payment modes.
It is very important to have a uniform payment process
A Forbes Report states that roughly 68% of the across all types of devices, gateways and devices.
potential customers who browse through the products online
never complete their purchase. A major factor responsible Important information like card info, password is used
for this is the lengthy process of online payment involving for digital payments. Hence, redirection, pop ups and
unnecessary steps, at times also requiring surveys and verification through OTP should be standardized across all
customers registration while paying online. browsers and it must be safe from all types of online threats.
This will further increase the confidence of users in the
Demanding minimal information and keeping the digital modes of payments.
checkout process on single page will prove to be highly
fruitful in ensuring that customer will successfully complete  Fewer Redirects
their online purchases. When a customer is making a digital payment, he is
directed to different pages which could be the page of bank,
 Inclusion of Maximum banks and Financial Players OTP or payment gateway. These redirects cause
With the growth of online businesses and also the rise in unnecessary delay and at the same time, it increases the risk
e-commerce transactions, more users with every passing day of payment failure and also poses security threats. Thus, it is
are resorting to digital modes of payment. With the increase desirable for a digital payment solution to have fewer
in the number of users, it is highly desirable that maximum redirects.
banks and financial corporations have tie ups across systems
so that there is no problem experienced by the users of peer- (Gundaniya, seven ways to make digital payment
to-peer payment apps. methods more effective, 2020)

 Incentive/ Loyalty Programs VI. CONCLUSIONS AND RECOMMENDATIONS

Rewarding customers when they make payments online
is an attractive way to make digital payments more effective. The Covid 19 cases were on the constant rise in India
A Loyalty Program which gives rewards to the customers in and lockdowns were imposed during the first and second
the form of cashbacks and discounts whenever they make a wave of the virus. However, with the introduction of
digital payment should be introduced. vaccines and exposure to virus, people have developed
hybrid immunity and also the new variants of the virus have
This will motivate the customers to use digital payment been milder and hence in January, 2022 when the Omicron
modes while purchasing as in addition to the product they variant was on the rise, the Government did not resort to
are also getting some rewards. This definitely does lockdown and the businesses did not suffer to a great extent.
contribute in retaining the customers who have already The Covid 19 has undoubtedly resulted in rise in digital
adopted digital modes of payment but also attract more payment transactions in India as more people started using it
people to start making use of digital methods of payments. as it was safer and there was no need to venture out to make
payments.
 Compatibility
The digital payment should be well-matched across From the figures available on the websites of RBI and
different problems, if the digital payment is suited only for as discussed earlier, there is a rise in the digital payment
one platform and some set of systems and it is not much transactions in India during the year 2020-2021 where
compatible with others, it will result in lot of inconvenience lockdown and other strict restrictions were in place.
for the customers. The customer will also have a However, it is very heartening to report then during the Year
predicament about whether his payment is accepted or not 2021- 2022 there is a rise in both the volume and value of
by the platform. Any digital payment solution needs to have digital transactions as compared to the Pre-Covid year of
standardization through all platforms so as retain its 2019-2020. Thus, there is a constant rise in the digital
customers. payments in India which is a very good sign for the
economy. As per the study by PhonePe and Boston
 Educating the customers Consulting Group, the Indian Digital Payment Market is
In our country people are reluctant to change, they fear expected to more than triple to approximately 10 trillion
trying out something new and this behaviour increases dollars by 2026. The United Payment Interface (UPI)
manifold if money is involved. Even today inspite of the rise introduced by the National Payments Corporation of India is
in digital payments in India, there are still people who are said to grow significantly and account for 73 percentage of
very scared of using digital payments. These customers need all digital payments volume by the Financial Year 2026.
to be properly educated and informed about the benefits of (India's digital payments market will triple to $10 trillion by
digital payments, it is important to win their confidence and 2026: PhonePe-BCG study, 2022)
divert them towards digital modes.

IJISRT22NOV028 www.ijisrt.com 34
Special Issue - (MMK: ACE - 2023) International Journal of Innovative Science and Research Technology
ISSN No:-2456-2165
The Government is very much on course of achieving [9]. Mate, R., & Kapdi, A. (2021). IMPACT OF COVID-
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desirable as it promotes transparency. What is required on ANVESAK, 78-87.
the part of the Government is to invest in technological [10]. Mistry, D., & P, V. (2022). Impact of Covid 19 on
upgradation so that there is high speed internet connectivity Digital Payment in India- With Special Reference to
even in the remotest area of the region. The smartphones *99# Service. ComFin Research, 1-9.
cost and the cellular cost are pretty much affordable in India [11]. Panwar, M., Vashishta, A., & Choudhary, R. (2020).
as a result the number of smartphone users in India is on the Impact of Covid 19 Pandemic on Digital Payments.
constant rise. With more smartphone users there will be World Journal of Innovative Research (WJIR), 77-81.
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(2022). THE IMPACT OF COVID-19 ON DIGITAL
The Government with the help of Banks and Fintech PAYMENT HABITS OF INDIAN HOUSEHOLDS.
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system so that instances of online fraud and theft are at their [13]. Singhal, R., & Gupta, A. (2021). IMPACT OF
lowest. Another important thing is educating the customers COVID-19 ON DIGITAL PAYMENT SERVICES AT
and raising awareness about the digital payment systems as TOWNS AND VILLAGES. International Journal of
it is highly beneficial for the customers as well as the Creative Research and Thought, 585-594.
economy. [14]. Yadav, P., & Sinha, V. (2022). PARADIGM SHIFT
OF DIGITAL PAYMENTS IN INDIA. JOURNAL OF
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