Ever since the launch of UPI, multiple companies have been vying for the digital payments market. Amidst Google Pay, Walmart’s PhonePe, and Amazon Pay; the competition is quite stiff. Now, the latest entry into the market is the Adani Group.
The Adani Group, one of India’s biggest conglomerates, has always had its eye out for various digital segments. They have previously dipped their toe into online ticket-booking services and also hinted at a collaboration with Uber. But with this latest move, they will be entering into a highly competitive arena.
Diversification is Actually Necessary
India’s digital payments segment is almost a monopoly. Of the 12 billion monthly transactions that take place through the UPI, 86% are owned by Google Pay and PhonePe. Amazon, Paytm and a few other aggregators operate within the rest of the sector.
So, with Adani becoming a UPI payments partner as well, it is expected that a sense of democracy will start prevailing. Additionally, government bodies are also unhappy about the dominating presence of Gpay and PhonePe, so they are welcoming the entry of Adani as a fierce competitor.
As per reports, the payment services will be made available via the Adani One application.
Adani Entering multiple New Markets
Apart from the UPI market, Adani will also be launching its eCommerce portal. The conglomerate is reportedly in talks with the ONDC (online network for digital commerce) portal to get their e-commerce store off the ground.
This is also a highly competitive market in India, ruled by Flipkart and Amazon, with the former holding more than 10% market share.
While Adani is pushing hard into the consumer market, they are also suffering from a loss in stocks due to accusations of market manipulations.
