According to data accessible on NPCI and cited by Moneycontrol, One97 Communications Ltd (OCL), the parent firm of the Paytm app, saw a reduction in its unified payments interface (UPI) market share, falling to nine percent in March.
Its lowest point during the previous four years is this one. The decline comes after a decline to 11% in February from the prior month, which was ascribed to regulatory limitations the Reserve Bank of India (RBI) placed on its affiliate, Paytm Payments Bank Limited (PPBL).
The NPCI began disclosing the amount and value of UPI app transactions in April 2020, when Paytm’s market share was at its lowest.
Due to regulatory actions, the mobile payment app’s transaction value market share has decreased; it is currently at its lowest point in reacent years, at 6.7%.
On the other hand, over the last two months, PhonePe, the leading competitor in the market, has increased its volume market share to over 50%. Over the past year, Google Pay, which currently holds the second place, has seen a little gain in its market share of a few percentage points.
Paytm was a payments bank app until March 15, at which point it changed to function as a third-party application provider (TPAP), emulating rivals like PhonePe and Google Pay. This change most likely had an impact on the decline in market share.
