INTRODUCTION to 9% by 2018. Asia and

INTRODUCTION

India is facing a
cash currency crunch, and until the gap is met by new currency. Nonetheless,
thanks to the evolution of digital payments there are several ways to skip the
paper currency with the help of our smart phones. Mobile payment (also referred to as mobile money, mobile money
transfer, and mobile wallet) generally refer to
payment services operated under financial regulation and performed from or via
a mobile device. Instead of paying with cash, cheque,
or credit cards, a consumer can use a mobile to pay for a wide range of
services and digital or hard goods. Although the concept of using
non-coin-based currency systems has a long history, it is only recently that
the technology to support such systems has become widely available.

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Mobile payment is being adopted all
over the world in different ways. In 2008, the combined market for all
types of mobile payments was projected to reach more than $600 billion globally
by 2013, which would be double the figure as of
February, 2011. The mobile payment market for goods and services,
excluding contactless payments using near field communication (NFC) and money transfers, is
expected to exceed $300 billion globally by 2013. Investment on mobile
money services is expected to grow by 22.2% during the next two years across
the globe. It will result in revenue share of mobile money reaching up to 9% by
2018. Asia and Africa will observe significant growth for mobile money with
technological innovation and focus on interoperability emerging as prominent
trends by 2018.

In developing countries mobile payment solutions have
been deployed as a means of extending financial services to the community known
as the “unbanked” or “under banked,” which is estimated to
be as much as 50% of the world’s adult population, according to Financial
Access’ 2009 Report “Half the World is Unbanked”. These payment
networks are often used for micropayments. The
use of mobile payments in developing countries has attracted public and private
funding by organizations such as the Bill &
Melinda Gates Foundation, United States Agency for International Development and Mercy Corps.

The use of digital wallet is also increasing day by
day which refers to an electronic device that allows an individual to
make electronic transactions. Digital wallet systems enable the
widespread use of digital wallet transactions. One in five consumers in Asia
are now using digital wallet representing twofold increase from two years ago.
A recent survey by MasterCard’s mobile shopping survey shows on 8500 adults
aged 18–64 across 14 markets showed, 45% users in China, 36.7% users in India
and 23.3% users in Singapore are the biggest adopters of digital wallet. The
survey was conducted on between October and December 2015. Also analysis showed
(48.5%) consumers in these regions made purchase using smart phones. Indian
consumers are leading the way with 76.4% using a smart phone to make purchase
which is a drastic increase of 29.3% from previous year. This has made
companies like Reliance and Amazon India to come out with its own digital
wallet. Flipkart has already introduced its own digital wallet.

APPLICATION OF DIGITAL WALLETS:

Consumers are not required to fill out order forms on
each site when they purchase an item because the information has already been
stored and is automatically updated and entered into the order fields across
merchant sites when using a digital wallet. Consumers also benefit when using
digital wallets because their information is encrypted or protected by a
private software code; merchants benefit by receiving protection against fraud.

Digital wallets are available to consumers free of
charge, and they’re fairly easy to obtain. For example, when a consumer makes a
purchase at a merchant site that’s set up to handle server-side digital
wallets, he types his name and payment and shipping information into the merchant’s
own form. At the end of the purchase, the consumer is asked to sign up for a
wallet of his choice by entering a user name and password for future purchases.
Users can also acquire wallets at a wallet vendor’s site.

Although a wallet is free for consumers, vendors charge
merchants for wallets. Some wallet vendors make arrangements for merchants to
pay them a percentage of every successful purchase directed through their
wallets. In other cases, digital wallet vendors process the transactions between
cardholders and participating merchants and charge merchants a flat fee.

 

 

 

 

STATEMENT OF THE
PROBLEM:

As the internet usage is increasing day by day, the usage of
E – payment apps were also increasing which encourages digital transactions. As
India is a country with huge young population, this study focuses to find the
usage of E- payment apps among youngsters in and around malumichampatti
village. And also to find the problems faced by them.

OBJECTIVES:

Ø  To
find out the usage of E–payment apps among youngsters.

Ø  To
find out the most preferable E –payment app among youngsters.

Ø  To
found out the amount spent on E – payment app by youngsters.

Ø  To
find out the satisfaction level of youngsters about E – payment apps.

RESEARCH METHODOLOGY:

Ø 
Area of the study

§ 
Area
of the study refers to Malumichampatti village.

Ø 
Sample Size

§ 
The
data was collected from 100 respondents using convenience sampling method.

Ø 
Sources of data

§ 
The
study has used primary data which is collected with a structured questionnaire
from 100 respondents.

Ø 
Tools for analysis

                          For the purpose of
the analysis, the following tools are used:

·        
Percentage
Analysis.

·        
Simple
ranking analysis.

·        
Weighted
average analysis.

 

 

LIMITATIONS
OF THE STUDY:

Ø  The study covers only Malumichampatti village, it cannot generalize the entire
population.

Ø  The study is restricted to 100
respondents, results are restricted with in the domain.

Ø 
Data collection is
done  using convenience sampling method through questionnaires filled by the respondents which may not be
accurate.

REVIEW OF
LITERATURE:

ü  DR.S.Manikandan and J.Mary Jayakodi (2017):
On “AN EMPRICAL STUDY ON CONSUMERS ADOPTION OF MOBILE WALLET WITH SPECIAL
REFERENCE TO CHENNAI CITY” says that the security issues are tighten and risk
factors are reduced will automatically increase the adoption of mobile wallet
.Apart from these issues the convenience and ease of use as gained an credit to
mobile wallet and it can be concluded that they will be a tremendous growth in
adoption of mobile wallet in the forthcoming years. International Journal of
Research Granthaalayah, 5(5), 107-115..

ü  Dr. Ramesh Sardar (2016): On “PREFERENCE
TOWARDS MOBILE WALLETS AMONG URBAN POPULATION OF JALGAON CITY”, says that Mobile
wallet usage awareness as spread among the people in India due to government
policy of demonetization and this as forcefully induced the usage of mobile
wallet. Journal of Management (JOM) Volume 3, Issue 2, July–Dec (2016), pp.
01–11, Article ID: JOM_03_02_001.

ü  Mr. Roopali Batra and Neha Kalra (2016): On “ARE DIGITAL WALLETS THE NEW CURRENCY?” finds that the
results indicate that there exists a huge untapped market for digital wallets
both in terms of increasing awareness as well as its usage. Also, the frequency
and value of each transaction using digital wallets remains limited. Apeejay Journal of
Management and Technology January 2016 ,Vol.11 ,No:1.

 

 

 

ADVANTAGES OF E-
COMMERCE SITES:

Upwards of 25% of online shoppers abandon their order due to
frustration in filling in forms. The digital wallet combats this problem
by giving users the option to transfer their information securely and
accurately. This simplified approach to completing transactions results in
better usability and ultimately more utility for the customer.

Digital
Wallets can also increase the security of the transaction since the wallet
typically does not pass payment card details to the website (a unique
transaction identifier or token is shared instead). Increasingly this approach
is a feature of online payment gateways,
especially if the payment gateway offers a “hosted payment page”
integration approach.

ANALYSIS AND INTERPRETATION:

 

Table 1: Table showing most preferred E-Payment app of
respondents

E-Payment
app

No. of
respondents

Rank

Paytm

32

I

Mobikwik

7

V

Freecharge

19

III

Bank payment apps

27

II

More than one  app

15

IV

Total

100

 

Source: Primary data

INTERPRETATION:

        The above table shows the most
preferred E-Payment app among respondents . Out of 100 respondents, 32
respondents preferring Paytm, 7 respondents preferring Mobikwik, 19 respondents
preferring Freecharge, 27 respondents preferring Bank payment apps and 15
respondents preferring more than one of the above apps.

         Majority (32) of respondents prefers
using Paytm.

 

 

 

Table 2: Table showing type of service used by respondents

Services

No.
Of respondents

Rank

Mobile Recharge

36

I

Ticket Booking

23

II

Online Payment to E – Commerce sites

14

IV

Send money to others

8

V

Using more than one service

19

III

Total

100

 

Source: Primary data

INTERPRETATION:

        The above table shows the type
of service frequently used by respondents. Out of 100 respondents, 36
respondents uses E-Payment app for mobile recharge, 23 respondents uses
E-Payment app for ticket booking, 14 respondents uses E-Payment app for Online
payment to E – commerce sites, 8 respondents uses E-Payment app for sending
money to others and 19 respondents uses E-Payment app for using more than one
of the above service.

         Majority (36) of respondents uses
E-Payment apps to Mobile recharge.

 

Table 3: Table showing the satisfaction level of  respondents

Opinion

f

w

fw

Rank

Highly
satisfied

20

5

100

II

Satisfied

61

4

244

I

Average

18

3

54

III

Dissatisfied

1

2

1

IV

Highly
dissatisfied

0

1

0

 

Total

100

15

399

 

 

 

 

 

 

 

Source: Primary data

 

 

INTERPRETATION:

                        The above table shows
that the majority of respondents
are satisfied on using the E- payment apps.

FINDINGS AND SUGGESTIONS:

1.      Majority
64% of the male respondents were using E-Payment apps.

2.      Majority
83% of the respondents were unmarried.

3.      Majority
44% of the respondents were Under graduate.

4.      Majority
63% of the respondents are of students.

5.      Majority
32% of the respondents income was less than Rs. 15000.

6.      Majority
96% of the respondents are using smart phones.

7.      Majority
32% of the respondents use Paytm app.

8.      Majority
43% of the respondents were using E-payment app for the sake of time saving.

9.      Majority
45% of the respondents spend below Rs.1000 in E –payment apps.

10.  Majority
36% of the respondents uses E-payment apps for mobile recharge.

11.  Majority
28% of the respondents uses E-payment apps only at the time of offers.

12.  Majority
61% of the respondents were satisfied using E-payment apps.

13.  Majority
58% of the respondents were not facing any problem in using E-payment apps.

14.  Majority
59% of the respondents facing the problem due to delay.

15.  Majority
29% of the respondents were not aware about cyber crime.

SUGGESTIONS:

Ø  Most
of the respondents face delay in using E- payment apps so connectivity issues
has to be concentrated.

Ø  Most
of the respondents were not aware about cyber crime so awareness programs have
to be conducted to increase their awareness.

Ø  Most
of the respondents uses E-payment apps only at the time of offers so companies
have to give more offers to make their consumers use their app frequently.

 

 

 

CONCLUSION:

                                    As
per the finding of the study, E-payment apps were getting popularity among
youngsters like students and employees. Further the study also explained
E-payment wallet service is preferred by the consumers. The study witnessed
that paytm is leading among the other wallet providers. When a respondent is
making a payment online he is affected by many assorted factors like delay,
server down and failed transaction .The
main influencing factor for using E-Payment apps  has been identified as  time saving, features and convenience. The
study also finds that most of the respondents were satisfied using the
E-Payment apps.

E-Payment
apps in Digital India are rapidly growing due to the schemes provided by the government
and the consumers are also preferring E-payment apps because of their convenience
and time saving features, the future India is ready for a cashless economy
full-fledged cashless economy.    

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