Mswipe Technologies Private Limited, India’s largest independent point of sale (POS) merchant acquirer and network provider, and PayU, India’s leading internet payment service provider have collaborated for digital payments.
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Under this partnership, Mswipe will merge PayU’s existing offline POS division team into its existing operations and workforce expanding its network to 2,20,000 terminals, across over 550 cities with a combined team strength of 2,000 plus employees.
Also, this association will help both the brands to acquire new merchants and gain wider acceptance across categories as a payment option, a joint statement said.
Mutual Gain from the Alliance
Launched in 2011 by Manish Patel, Mswipe is a PoS service provider for a large merchant base. It also allows merchants to undertake plastic card payments through smartphones or ordinary feature phones. Headquartered in Mumbai, the company claims to have a team of 2000.
The bilateral alliance between the companies will allow the merchant base of Mswipe to benefit from numerous internet payment services offered by PayU India.
Mswipe founder and CEO, Manish Patel said,
“POS terminals are the preferred medium of payments by customers to transact digitally at merchant locations. The partnership with PayU is mutually beneficial to both companies as it helps each consolidate its leadership positions in their areas of focus.the merchant network and the expanded footprint across small and mid-sized merchants will further help us bring them into the digital fold by offering affordable and convenient POS services.”
Moreover, PayU’s wide variety of merchants across sectors will have an access to Mswipe for their entire POS services related requirement.
PayU India CEO Amrish Rau said,
“We want to remain focused on driving disruptive payments product in the online payments space and decided to work with a partner for the offline side. This partnership allows us to work closely with Mswipe, which has been making a great stride in the offline space.”
Digital Payment Push
Earlier this year, government removed all duties on devices used in the process of cashless transactions like point of sales machines, finger print readers etc.It also exempted components from taxes to encourage domestic manufacturing of these devices.Increasingly, POS terminals are web-enabled, which makes remote training and operation possible, as well as inventory tracking across geographically-dispersed locations.
India is headed for an exponential increase in digital payments over the next four years. The digital payments industry in Asia’s third-largest economy will grow by 10 times to touch $500 billion by 2020 and contribute 15% of gross domestic product (GDP), a Google-BCG report predicted.Online fintech and payments space will witness more such collaborations ahead.