Ever since the demonetization fiasco hit the Indians, the market share of online payment applications and platforms have seen an unprecedented rise. Compulsions at that period made this convenient procedure a habit among large number of people especially the tech-savvy youth. Prime Minister of India at the inception of his term has been lobbying for a Digital India, and now his focus has been on less cash economy. Apps like Paytm have seen a mass surge in usage. Since the nation is on a growing trajectory, this payment application utility is set to outperform other sectors. In order to tap into this attractive market, Google has launched a payment solution app called Tez. In fact, it is built on government’s UPI interface. In India, 650 million people will be using internet by the year 2020. Moreover, India’s digital economy can increase up to $1 trillion in coming years.
The app will perform functions such as financial transactions and payment of bills. It can be linked to the user’s bank account. Tez is available in seven languages, Hindi, English, Gujarati, Kannada, Marathi, Tamil, and Telegu. Google has partnered with four prominent banks Axis Bank. HDBC, ICICI, and State Bank of India. The cash mode specification allows users to make payments without using their banking credentials or phone number. It employs the Near Field Communication Technology and audio transmission by QR technology. This works even in a noisy environment. As it uses the bank to bank interface of UPI, Google claims that the app is highly secure.
Tez is available on both Android and iOS. Security is assured by either a pin code or fingerprint scanner. Google is providing an incentive of Rs. 51 for all new user referrals. Google Tez scratch cards give users the opportunity to earn up to Rs. 1000 and even 1 lakh that is transferred to their account. Surprisingly, Tez app already has 50,000 users who have made transactions of 11 lakhs through 16,000 transactions. This clearly demonstrates the gaining prominence of this new app.
Most payment solution apps such as Paytm have provided flawless services to the people. However, there are security and margin issues associated with them. Several merchants are reluctant to use Paytm as the margin it deducts while transfer of money is their stipulated profit, which turns into a loss eventually. Google being an international Internet giant offers credible cybersecurity of data and services. Tez app uses UPI that ensures cashless transaction which is the need of the hour.
Article by Mausam