The average value of transactions made on mobile phones in India has beaten the average value of transactions made from credit and debit cards. The average value of transactions from mobile phones stood at Rs 5,847 (US$ 88.5) in FY 2014-15, which was significantly higher than Rs 3,089 (US$ 46.7) transaction value via credit cards and Rs 1,485 (US$ 22.5) via debit cards, according to the Reserve Bank of India. The rising mobile payments only signal towards the increasing consumer acceptability towards using mobile phones as the preferred medium for payments. In this light, the payment banks are expected to be the game changer in the Indian banking industry.
In another significant development, search queries from mobile devices from India has surpassed the desktop driven queries with a share of over 50 per cent, up from less than 25 per cent in the second half of 2013, according to Google. The surge in mobile queries in India was supported by strong smartphone sales, estimated at close to six million every month, Google added. Factors like affordable smartphones and data prices are expected to drive the mobile growth in the coming years as well.
Ravi Capoor, IAS
Chief Executive Officer
India Brand Equity Foundation