Paytm Payments Gateway (PPG) on Tuesday said it is working with mobile phone and DTH top-up retailers to make cashless payments for bulk recharge buys from telecom and satellite television service distributors, and expects to facilitate Rs 6,000 crore worth of transactions in business volume next year.
Retailers for mobile phone and DTH recharges usually make most of their payments to distributors of bulk top-ups in cash. However, with the ongoing pandemic companies are hoping to reduce dependency on cash and make the process digital.
PPG has already tied up with Vodafone Idea Limited to be the exclusive partner of the telecom major for retailer payments, a statement said.
It now powers Vi's internal merchant app that enables its lakhs of offline mobile phone recharge retailers to make bulk payments for top-ups to the company's distributors, it added.
This saves distributors time in collecting cash, reconciliation, and bank deposit. It also helps the company bring in transparency into the whole process as everything is digitised and recorded online.
Paytm said it is targeting over 50,000 distributors of telecom and DTH service providers to start accepting payments digitally from retailers by the year-end.
The company is eyeing close to Rs 500 crore per month in business volume from these transactions by next year, it added.
"Our Paytm PG empowers retailers all over the country to promote less cash transactions and digitise their operations. We aim to reduce the dependency of cash and time taken by distributors in collecting, reconciling, and depositing it in banks," Paytm Senior Vice President Abhay Sharma said.
