Digital payments are on the decline

:Mobile wallets such as Paytm and MobiKwik have perhaps benefitted the most from demonetisation, with a fourth of their consumers joining them after November 8, 2016. But six months later, traders say consumers are moving away from digital payments.

Manoj Kumar, a tea stall owner on the Elgin Road in Kolkata, said the decline in Paytm payments has been huge. “I introduced Paytm facility in the middle of November. From then till the middle of January, daily Paytm transactions had been as high as ₹500-₹600. But it started declining since and now the daily amount ranges from ₹50-₹60,” Kumar told HT.

The experience is same for Asutosh Addya, owner of a small garments shop in Jadubabu’s Bazar in Bhawanipur and Manorajan Saha, a tailor near Hazra Road crossing.

The story is not very different at Delhi’s favourite flee market, Janpath. Barely one or two traders use mobile wallets here. “We have been using Paytm since demonetisation six months ago. Overall sales have increased since but cash remains the preferred method of payment for both customers and shopkeepers,” said Saurabh Monga, 32, whose family runs a small garments store.

Janpath sells clothes, accessories, titbits and souvenirs and most shop owners said they run a cash only business.

“Some people, who accepted old notes, made huge profits just after demonetisation. Usually people come to Janpath and haggle over prices. At that time, clothes which usually sell for ₹300 were sold for ₹500. People who didn’t have any money, made some. Now things have normalised,” said retailer Vikram Singh.