Moneycontrol BureauIn a bid to further capitalise on the gains made due to demonetisation, Vijay Shekhar Sharma-led Paytm plans to invest Rs 600 crore in the next 10 months to develop a QR code-based payments solution.
The company run by One97 Communications, plans to train 10 million merchants to accept digital payments across 650 districts by December.
What are QR codes?
QR code or Quick Response code, is an arrangement of black and white lines or square blocks which are used to store information such as weblinks or a merchant's bank account details. Such codes can be deciphered or read by a smartphone camera.
Paytm QR code plans
The Alibaba-backed e-commerce company had initiated this instant payment option in 2015. The company said that it will use the money to get more people on board, invest in building better technology, along with educating merchants. Cashbacks will continue on this platform to encourage more users and merchants transact digitally for the first time and become a part of the digital economy.
Paytm’s Senior Vice-President Kiran Vasireddy said that company’s zero percent merchant transaction fee coupled with an aggressive merchant acquisition rate will help it take QR code-based payments across country.
The introduction of demonetisation scheme spurred the use of QR codes on the e-commerce site, which already had more than five million merchants using this payment option. Currently, Paytm gets 65 percent of overall transactions on its platform through QR codes.
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