New Delhi: Online payment gateway Razorpay saw digital payment transactions on its platform drop by 30% in 30 days of the Covid-19 induced lockdown.
“A significant drop of 30% in online payments in the last 30 days is something we are seeing for the first time after demonetisation.” Harshil Mathur, CEO and co-founder, Razorpay said.
The Bengaluru-based payment solutions startup released a report titled ‘The era of rising fintech’ based on transactions held on the Razorpay platform between February 24 and March 23 (before lockdown) vs March 24 and April 23 (during lockdown).
People are using online payment platforms to pay for utilities, with the segment registering a 73% increase in transactions. This was followed by IT and software by 32% and media and entertainment by 25%. Online donations during lockdown also witnessed an increase of 180%, reflecting users’ desire to contribute towards charities.
Segments like logistics, travel and real estate saw a decline in online payments. While transaction in logistics dropped by 96% due to gaps in supply chain, travel sector declined by 87%. Next to follow were real estate (83%), food and beverage ( 68%) and grocery by 54%.
Online transactions in cities like Ahmedabad, Mumbai and Chennai also took a hit of 43%, 32% and 25% respectively during the 30-day lockdown.
