Fintech unicorn Razorpay on Wednesday said that the company’s neo-banking subsidiary, RazorpayX has been chosen as the technology partner for payments on WhatsApp.
Whatsapp had earlier launched a cashback campaign for users across the country using the popular messaging platform in order to make their digital payments. The company onboarded RazorpayX to provide its consumers across the country with a smooth cashback experience via UPI in an effort to increase the adoption of its digital payments service.
As part of the partnership, RazorpayX will be expected to help minimise the likelihood of failures and pending transactions for users who use UPI to make payments on WhatsApp. Users will also receive cashback upon making payments through the messaging platform, Razorpay said in a statement.
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UPI is currently India’s indisputable payments platform among all other digital payment services. After the payments platform system surpassed over 5 billion transactions in a month for the first time in March of 2022, UPI achieved the $1 trillion transaction value threshold for FY 2021–22. Within five years of UPI’s launch, more than 50 per cent of retail payments in India are now made via the popular payment system.
Commenting on the partnership, Harshil Mathur, co-founder & Chief Executive Officer of Razorpay said, “With India’s preference towards instant digital modes of payments growing exponentially, Payments on WhatsApp will play a key role in financial inclusion for its 500 million users. We are excited to power the first cashback effort on Payments on WhatsApp as they embark on this journey. At Razorpay, we are committed to enhancing the existing payment process and simplifying it further to offer convenience, instant gratification, and ease to consumers.”
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Manesh Mahatme, Director of Payments at WhatsApp India, welcomed the collaboration between the companies by saying, “WhatsApp is often the first digital gateway for Indians, especially those in rural and semi-urban areas and through payments on WhatsApp our goal is to expand financial inclusion to those who need it the most. Offering safe, secure and easy-to-use digital payments is an important part of scaling India’s digital economy, and we’ll continue to drive awareness of payments on WhatsApp as part of our broader efforts to bring the next 500 million Indians onto the digital payments ecosystem.”
According to the company’s press release, over 20,000 of all UPI registered users in India had transactions completed by RazorpayX in the previous calendar year. RazorpayX currently offers services to over 30,000 enterprises and has witnessed over 200% growth in its Payouts business.
