The Indian e-commerce market could grow four times by 2022, says payment and transaction processing company Worldline.
The merchant categories with the highest volume and value of transactions are grocery stores and supermarkets, restaurants, service stations, clothing stores and hotels, which account for about 45 per cent of transactions. The categories remain the same for both credit and debit card transactions. The number of transactions at point of sale (POS) terminals, electronic devices used to process card payments at retail locations, is up by 26 per cent while the share of card transactions at POS terminals to total card transactions remains constant in the 35 per cent to 38 per cent range.
The value of transactions at POS terminals is up by around 27 per cent while the share of value of money spent through cards at POS transactions to total money spent through card transactions at POS terminals and ATMs is 26 per cent. The number of POS terminals increased by 17 per cent from 2017 to 2018.
Twenty nine per cent of all transactions done on POS terminals are done through credit cards and they translate to half of the total amount spent on POS terminals. Cash withdrawals have bucked the trend of reducing ATMs; in 2018, cash withdrawals rose 21.2 per cent over 2017.