Technology for MSMEs: Small businesses, startups, micro-entrepreneurs can now accept payments from customers within their website by integrating a payment gateway free of cost. Tiger Global-backed financial services company Razorpay has launched Payment Buttons for businesses that enable them to accept payments within their websites by adding a single line of code on their website or blog. The new service was launched following feedback from small businesses and entrepreneurs that there is a need for a customized payment solution that doesn’t require technical expertise or dependence on third-party vendors for receiving payments on websites. Consequently, small businesses will not require developer support as well.
Payment Buttons will support more than 100 currencies for international payments while businesses would be able to send automated receipts to customers without manual intervention. “The current situation has got all businesses feeling the pain to varying degrees, but it’s independent businesses that are hurting the most,” said Shashank Kumar CTO & Co-Founder, Razorpay. The company expects a 10x growth in demand for the new service by the end of this year.
Post demonetization and now Covid, digital payments have seen a significant rise in adoption and is likely to grow further as businesses and consumers shift towards the digital mode of transactions amid security and safety concerns. The transaction value including mobile PoS payments in the digital payment segment grew from $29.6 billion in 2017 to $69.1 billion in 2020 and is likely to scale to $141 billion in 2024, according to statistics portal Statista. Moreover, the number of digital payments users in India is also expected to grow from 589 million in 2020 to over 929 million in 2024 with penetration rate going up from 42.7 per cent to 64.9 per cent during the period.
Launched in 2014, Razorpay was the second startup from India to join the US largest startup accelerator. The startup, which competes with Paytm, PayU, CCAvenue, etc has raised $106.5 million so far from Sequoia India, Ribbit Capital, Matrix Partners, Y Combinator and MasterCard apart from Tiger Global.