Demonetization has hit us in a big way, and has affected everyone in every strata of the society in some way or the other. It is a never ending debate whether the effects are good or bad, but the aftermath has definitely changed our perception of monetary transactions. Cash as a mode of exchange and transaction has suffered a setback due to the current demonetization decision. New trends have set in, and we have seen a big rise in the number of people using plastic money as credit and debit cards for payments. Since 100 rupees and lower denominations are in circulation, online payments come as a relief for many.
One more thing that had shown a positive rise due to this is the use of mobile wallets. The growing popularity of m-commerce and mobile marketing ve already opened new ways of online marketing over the last few years. According to statistics released by Technoravio, the mobile wallet market in India will grow at around CAGR of 140% by 2018, and the same for the world market will reach a CAGR of 34% by 2020.
Hence, you can imagine that m-wallet is gradually replacing transaction methods using hard cash and even online gateway payments. In this age of mobility and easy access to the Internet using smartphones, mobile marketing and online purchase is growing every day. This is also a step to unify India under a digital platform.
With demonetization, there has been a marked growth in the use of Ola money, Paytm, and other mobile payment services.
According to the latest statistics, Ola Money has seen a 1500 percent increase in their mobile wallet recharge, while download of Paytm app has increased by a whopping 200 percent. So, you can imagine that more and more consumers are using to mobile wallets as it is easy without any restriction of time and location.
In a country like India, whose digitization dream was a mere fad is now on a fast track to accept different ways of transaction post demonetization. M-wallet is gradually becoming a point of sale, point of purchase and not only that the instantaneous nature of transactions also helps in better connect and brand recall.
Don’t be surprised if the local mom-and-pop shop asks for Paytm payment because that is where Digital India is going towards. Many countries have already put this practice of mobile transactions in place and for good.
Experts feel that India is almost losing its opportunity to save around 2% of the GDP, which is close to Rs. 2,15,000 crores by not integrating Indian economy with digital media. It is also a good way to reduce cash transactions and hence curb the menace of black money and corruption to a certain extent.
So, the decision of demonetization is somewhere fostering the digital dreams of India, and it might prove to be a positive initiative towards unifying urban and rural Indian towards a progressive future. So, if you are well-versed with using a smartphone or you want to use one soon, you probably need to do much more than calls, messaging and browsing. As a modern digital user, equip yourself with ways of m-commerce and start using m-wallets in place of monetary transactions, whenever possible. Demonetization might be a temporary phase for a better system, but mobile marketing is here to stay for a better economy and prospering India.