Sharp jump in cashless payments on e-commerce platforms, increased from 20.4% to 58.1 percent in six years

India has seen a sharp jump in cashless payments on e-commerce platforms in the last six years. It was 20.4 percent in 2018 and increased to 58.1 percent in 2024. Data analysis company GlobalData has given this information in a report.

Apart from cash transfer, other payment options include UPI, debit card,s and credit card. The report explains in detail that the widespread use of mobile wallets is responsible for the jump in alternative payments. It is powered by UPI and provides a mobile payment facility in real-time by scanning a QR code.

The report said that payment platforms such as mobile and digital wallets in the Asia-Pacific (APAC) region have completely replaced the traditional methods of cash and bank transfers. The report further highlights that such alternative payment platforms are first popular in countries like China and India and are also gaining popularity in the markets of the Asia-Pacific region.

China leads the Asia Pacific area in cashless payments, accounting for around two-thirds of all transactions. However, India is likewise not far behind in this regard. The adoption of alternative payment channels in India has increased since 2018. According to the company's analysis, a similar tendency can also be found in Asia Pacific countries such as the Philippines, Malaysia, and Indonesia.

According to Amar Ujala, China and India use alternative payment platforms at a faster rate than other countries in the Asia Pacific area.

According to the company's Financial Services Consumer Survey 2023, alternative platforms are responsible for more than 65% of cashless payments in China, the largest e-commerce market globally. In 2018, it was responsible for 53.4% ​​of payments.