Fintech major Razorpay on Thursday said it has seen strong growth in the number of payments processed on its platform, and it expects its total payment volume (TPV) to touch USD 90 billion by end of next year.
The unicorn, which is backed by investors like Tiger Global, Sequoia Capital India and Mastercard, has announced the launch of three new products that are aimed at simplifying payment management processes for businesses, especially small and medium-sized enterprises (SMEs).
“Today, we are the fastest growing fintech market in the world. Fintech in India has crossed China and has become the second largest fintech economy after the US with the highest adoption rate globally…India is leading the pack in the APAC having registered around 25 million transactions in 2020, followed by China and South Korea,” Razorpay CEO and co-founder Harshil Mathur said.
Speaking at the fourth edition of its flagship FTX event, Mathur said over the last couple of years, Indian fintech companies have displayed immense potential by leveraging new technologies to simply and accelerate requirements of businesses and consumers. “We have helped increase outreach, improve customer experience, reduce operational friction and foster adoption of digital payments,” he added.
Mathur highlighted that Razorpay has registered over 300 per cent growth for the second consecutive year and has achieved a USD 60 billion TPV as of early December 2021 – 20 per cent more than its goal of USD 50 billion TPV that was announced in December last year. We plan to achieve USD 90 billion TPV by the end of 2022. This growth is a testament to the significant digital adoption by small businesses in the last 2 years. I believe that there is really no growth for us unless there is growth for our customers first, he noted.
Razorpay expects over 4x growth in volume and revenue by 2022. Razorpay currently powers payments for over 8 million businesses including the likes of Facebook, Ola, Zomato, Swiggy, Cred, Muthoot Finance, National Pension System, Indian Oil, among others and aims to reach 10 million businesses by 2022. Razorpay CTO and co-founder Shashank Kumar said the company has always strived to ensure that every SME in India embraces digital and automates every aspect of their financial operations, so that they can focus on growing and scaling their business, while Razorpay takes care of the rest.
“We are confident we will continue to make a meaningful and impactful contribution to the growth of the industry,” he added. Razorpay has launched Magic Checkout that securely saves shoppers’ information once during a purchase, and automatically prefills that information at all stores within the MAGIC Checkout’s network for all current and future purchases.
This is aimed at helping retail businesses that often see customers dropping off at the last step of the transaction, abandoning their carts. The primary reason for this is often complex checkout pages with multiple hoops expecting users to remember passwords and manually enter card details, addresses, and OTPs to complete a purchase. With this checkout experience, shoppers can checkout 50 per cent faster while retailers can expect a 20 per cent increase in conversions, Razorpay claimed.
The company has also unveiled Tax Payment Suite, a one-stop platform for all tax payments needs of small businesses, be it TDS, GST, TCS or Advance Tax. Further, the RazorpayX dashboard provides businesses a single, transparent view of all disbursals for seamless collaboration between finance teams, external accountants, and business owners. Besides, Razorpay has launched RIZE – a launchpad that will help startups right from the initial incorporation to filing their first tax, paying their first payroll, and providing the tools to cater to their sales, marketing and finance needs.
RIZE will also help entrepreneurs acquire their first loan or funding. RIZE has partnered with over 50 product companies including AWS, Freshworks, WeWork, Zoho, Shiprocket, WebEngage and others to create a comprehensive toolkit, along with benefits worth half a million dollars on Razorpay and its partner products. RIZE is also a community of well-renowned founders and product experts that will support India’s upcoming innovators and disruptors. RIZE aims to incubate 1 lakh new businesses and entrepreneurs.
In addition to the launch of the three flagship products, Razorpay also announced several new products and features for businesses, including an upgraded RazorpayX mobile banking app for internet SMBs, allowing business owners to make and approve payments on the go, saving businesses at least 8 hours a month. The other products announced include a RazorpayX and RBL Co-branded Business Debit Card’, which is optimised for the needs of internet-first SMBs and Instant Settlements For Marketplaces’ for Amazon sellers.