Course Code: FIN 351 Course Title: General Bank Operations

Course Instructor: Nancy Sahni

Academic Task No.: CA 1 Academic Task Title: Customer Awareness toward E-Wallet

Date of Allotment: 11/01/2020 Date of submission: 09/03/2020

Student’s Roll no: A28, A26, A 25, A20, A3 Student’s Reg. no: 11709567, 11708514, 11709360,
11709363, 11700175

Evaluation Parameters:

Learning Outcomes: We learnt about E-wallet awareness in Chandigarh and challenges faced
by them.

Declaration:

I declare that this Assignment is my individual work. I have not copied it from any other
student‟s work or from any other source except where due acknowledgement is made explicitly
in the text, nor has any part been written for me by any other person.

Student Signature

Evaluator’scomments (For Instructor’s use only)

General Observations Suggestions for Improvement Best part of assignment

Evaluator‟s Signature and Date:

Marks Obtained: Max. Marks: …………………………

1
 Index
SR. CONTENT PAGE
NO NO.
1 INTRODUCTION 3
2 DIGITAL PAYMENT MODES IN INDIA 4

3 LITERATURE REVIEW 9
4 OBJECTIVES 15

5 RESEARCH METHODOLOGY 15
6 DATA INTERPRETATION AND ANALYSIS 22

7 OBSERVATIONS 37

8 REVIEW OF E WALLETS 37

9 CHALLENGES FACED BY DIFFERENT CONSUMERS 39

10 CONCLUSION 41
11 REFERENCES 42
12 Questionnaire 43

2
 INTRODUCTION
It has been stated that each disruption creates opportunities and one such
disruption was the announcement of demonetization by means of Prime Minister Mr.
Narendra Modi on 8th November. Demonetization created large growth opportunity for
digital payment in India and the digital pockets corporations garbed
the opportunities with both the palms to expand their market share. Demonetization
has introduced a unique platform for adoption of digital payment, as an choice to cash for
Indian consumers.

Less Cash = More Cashlessness: Demonetization

several digital price applications, consisting of the Aadhaar Payment app, the UPI app,
and the National Payments Corporation of India (NPCI) developed the Bharat Interface
for Money (BHIM) app. Digital transfers the use of apps
has delivered behavioral change and helped in the adoption of digital payment. This has
resulted in ease of transfer of cash in rural areas which was no longer touched until
now through the digital payment method. Now many overseas buyers favor to make
investments in digital payment industry which is new captivating locations because of
scope of tremendous expansion in India.

There are range of facilitators which are leading to the increase of digital payment and
transition from money economy to less money economy. These facilitators consist
banking monetary institution facilitating digital payment, one touch payment, upward
shove of monetary science quarter and push by means of authorities both by giving
incentives or tax breaks.

3
DIGITAL PAYMENT MODES IN INDIA
There are quite a few mode of digital fee accessible in India. These are:

➢ Online or mobile wallets: They are used with the aid

of the net and through smartphone applications. Money can be stored on the
app by using recharge with the aid of debit or credit score playing cards or net-
banking. Consumer wallet restriction is Rs. 20,000 per month and the service
provider pockets limit is Rs. 50,000 per month after self-declaration and Rs.
100,000 after KYC verification.
➢ Prepaid credit cards: Pre-loaded to individual’s financial institution account. It
is similar to a gift card; customers can make purchases the use
of cash accessible on the card -and not on borrowed credit from the bank. Can be
recharged like a cellular smartphone recharge, up to a prescribed limit.
➢ Debit/Repays cards: These are linked to an individual’s bank account. Can be
used at shops, ATMs, on line wallets, micro-ATMs, and for e-commerce
purchases. Debit cards have overtaken credit cards in India. The variety of
debit cards in December 2015 extended to 630 million in contrast to 22.75 in
2014.
➢ AEPS: The Aadhaar Enabled Payment System makes use of the 12-
digit special Aadhaar identification number to enable bank-to-bank transactions at
PoS.
AEPS offerings encompass balance enquiry, money withdrawal, cash deposit, and
Aadhaar to Aadhaar fund transfers.
➢ USSD: Stands for Unstructured Supplementary Service Data based
totally mobile banking. It is linked to merchant’s financial institution account and
4
 used by means of mobile telephone on GSM community for payments up to Rs.
5,000 per day per customer.
➢ UPI: The United Payments Interface (UPI) envisages being a machine that
powers more than one bank accounts onto a single cellular utility platform (of
any participating bank). Merges more than one banking features, ensures seamless
fund routing, and merchant payments. It allows P2P fund transfers.

Digital repayments in India have been experiencing exponential growth and

with growth of net and cell penetration, in coming years the U.S. is prepared to witness
a massive rush in the adoption of digital payments. According to Ratan
Watal important guide Niti Aayog and former finance secretary, digital payments grew
55% by way of extent and 24.2% by way of fee in 2016-17 over the preceding year. Data
from the Reserve Bank of India (RBI) suggests that the price of adoption of
digital repayments had accelerated following demonetization ultimate year, however has
slowed in recent months of 2017. Total digital transactions in April 2017 of Rs109.58
trillion are 26.78 decrease from Rs149.58 trillion in March 2017.

The quantity of digital transaction has witnessed

exponential increase in volume and fee whether it is digital wallet, interbank switch or
transaction via debit or savings card. At service provider places the number of card
transaction at point of sale (PoS.) terminal have witnessed a huge serge
which reflects that humans have began making fee via debit card rather of

withdrawing cash from ATM to make payment. In January 2017 the variety of
transaction of debit card accelerated to one billion from 817 million in previous year. It
has been observed that ATM transaction are more or less identical at seven
hundred million, the transaction at PoS. terminal has multiplied three times from
109million in January 2016 to 328 million in Jan 2017.

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According to Lokvir Kapoor, chief govt officer at PineLabs “the card transaction put
up demonization saw big boom due to the fact of infrastructure for the acceptance of card
at special service provider location.” PineLabs has helped this growth through deploying
a enormous variety of Pos at outlets across the country. Also, the variety of initiative such
as cash back, no transaction cost up to certain restrict with similarly assist in boom of
digital transactions. The authorities put pressure on banks to set up one million addition
Pos terminal in three months raise the availability of PoS. and through January 2017,
their quantity rose to 2.52 million.

India is heading on the direction of a foremost digital revolution. The future financial
system will be pushed through cashless transaction which will
be feasible solely though digitalization of payment mechanism at distinctive region such
as smart phone, internet banking, card transaction etc. The focus of present study is
to discover how respondents are adopting digital payment. The study accrued response
from a hundred and fifty respondents and analyzed their perception, preferences
and pleasure degree of digital payment. It further identifies the boundaries and challenges
to the adoption of digital payment. The Table
1 gives the pinnacle five cellular payment pockets ofIndia.

A mobile wallet, in easy terms, is a virtual mobile-based wallet where one

can store money for making mobile, online or offline payments. There are more than a
few types of mobile wallets in India, such as open, semi-open, semi-closed and closed -
depending on the type of utilization and repayments that can be made. Wallets
are developing hastily as they assist in growing the speed of transaction, specially for
ecommerce groups and all ecommerce marketplaces have built-in with such cell wallets
too.

6
Here are some of the Top 5 mobile Wallet companies in India and what they provide to
their customers.

1. Paytm

PayTM is one of the biggest mobile commerce platforms in

India, supplying its customers adigital pockets to shop money andmake speedy payments.
Launched in 2010, PayTM works on a semi-closed mannequin and has
a cellular market, where a consumer canload money andmake payments to merchants wh
o have operational tie-ups with the company. Apart from making e-commerce
transactions, PayTM wallet can also be used to make bill payments, transfer money and
avail offerings from merchants from travel, enjoyment and retail industry.
Capitalizing on the scope and increase of India’s training market segment,
they lately partnered with premium educational establishments in India to introduce
cashless repayments for fees, bills and other expenses.

2. Amazon Pay

Amazon Pay is an on line payments processing provider that is owned through Amazon.
Launched in 2007 globally and in India in 2017, Amazon Pay makes use
of the client base of Amazon and focuses on giving customers the alternative to pay with
their Amazon bills on exterior service provider websites, such as apps like Big Bazaar
etc. You also get to Shop on Amazon using Amazon Pay.

3. Google Pay (formerly known as Tez)

As its part of the Google ecosystem they have scaled up their person base truly quickly,
in spite of being a late entrant. With Google Pay you can send cash to friends,
pay payments and purchase online, recharge your phone. Since Google Pay works with
your current bank account, which capability your money is safe with your bank. There's
no want to fear about reloading wallets and you don't need to do additional KYC - which
is required for all the different apps.

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4. PhonePe (now section of Flipkart) Number of installs: 100,000,000+ (100
Million or 10 crore) on Android Play Store

PhonePe started in 2015 and in simply 4 years it has been in a position to move the one
hundred million download mark. From UPI repayments to recharges, money transfers
to on-line invoice payments, you can do it all on PhonePe. It’s got a
very excellent person interface and is one of
the safest and quickest online price journey in India.

5. Mobikwik

Mobikwik is an impartial cellular charge community that supposedly connects 25

million customers with 50,000 outlets and more. This cellular pockets lets
its customers add cash the usage of debit, savings card, internet banking and even
doorstep cash collection service, which can in turn be used to recharge, pay
utility bills and save at marketplaces. Owing to the growing need for convenience,
Mobikwik has also lately tied up with massive and small-time grocery, eating
places and other offline merchants.
Another special feature they have is their price tracker which permits to set budget for
your expenses across all payment devices and it uses your SMS records to analyze
and control spends.

Services on E-Wallets Apps

The primary service provided by E-Wallets Apps to its customer is doing online
transaction successfully. Apart from that there are so many services provided by E-
Wallets Apps to its customer.

The list is as follows: -

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(i) Travel: - Booking of Travelling Ticket of Bus, Flight and Train and Metro
Recharge
(ii) Entertainment: - Booking of Movie Tickets, Event Tickets, Amusement Park
Tickets
(iii) Recharge: - Mobile Recharge, Dish Recharge
(iv) Bill Payments: - Electricity Bill, Water Supply Bill, Cable Tv Bill
(v) Miscellaneous: - Paytm Mall Shopping, Fees Payments, Toll Tax Payment

LITERATURE REVIEW
1. (Kumari & Khanna, Cashless Payment: A Behavioural Change to Economic
Growth, 2017),
The study examinesthe effect ofadoptingcashless fee on monetary growth and develo
pment of the creating countries. The paper discovered that the adoption of the
cashless economy coverage can enhance the increase of financial balance in the
country. It seems that plenty has already been done in making the people aware of
the cashless financial system and that a vast share of the human
beings are really watching for the introduction of the cashless
economy; consequently the cashless machine will be beneficial in the fight in
opposition to corruption and money laundering. One most massive contribution of
the cashless economy is that it is predicted to decrease the risk related with carrying
cash.

2. (Sharma, 2017) Conducted a survey to apprehend the potential for

cashless economic system in India, via an significant household survey of Jodhpur
city. It used to be estimated the extent to which households made
non money expenditure. It was once additionally recognized the bottlenecks
9
which prevented households to makenon cash payments like
Security, net connection, loss of card, hackers activity, lack
of science are issues of customers toward switching to cashless economy.

3. Natarajan and Manohar (1993) “Credit Cards–an Analysis”. A learn about has
been attempted to understand that to what extent the credit score cards are utilized by
means of the cardholders and the factors influencing the utilization of deposit cards.
The learn about is limited to cards issued through the Canara Bank. A random
sampling approach is used to accumulate the data. Ten aspects i.e. numbers of
purchases, shops, proportion of purchases, place, frequency, kind of product, kind of
services, cash withdrawal facilities, add on facility, insurance schemes
are recognized and used for the measurement. Chi square test has been carried
out to comprehend the level of utilization. For this, each non-public and
nonpersonal factors also have been taken into consideration.
Chi rectangular check exhibits that sex, age, educational qualification of card holders
has no relationship with utilization of Can Card. While occupation, income,
employment reputation of spouse, mode of getting card has relationship with
utilization of Can Card.

4. Vora and Gidwani (1993),

“Plastic at a premium” exhibit the utilization facilities and varieties of cards.
The lookup indicates that credit card is extremely beneficial to these human
beings who use it as to increase their buying electricity via the plastic card.
Different cards grant the different programs to entice the clients like tele ticketing,
discounts, insurance plan coverage and supply reward factors etc. According to
author, the card holders market has a possible to develop to 7 million, if all tax
paying residents are considered. But these manful efforts at

10
upgrading offerings can solely have a constrained have an effect on as long as the
Indian consumer remains savings shy. For this, they have to alternate their spending
habits and maintain their card active, so that a piece of plastic turns into a top
class card in an fantastic way.

5. (Mathur and George, 1994), “Use of credit-cards by way of older

American” shows the utilization behavior sample of older human beings with credit
score card spending. Using a massive national pattern of respondents from one-of-a-
kind age groups, finds that older adults use credit playing
cards as frequently as youthful adults when instances and opportunities for
consumption in both corporations are similar. Contrary to it,
the usually held trust that older humans do not use credit score cards,
the records suggests the need for practitioners to give
up wondering about customer ambitions in phrases ofageand focalpoint more on occa
sions that determine one’s probability touse credit cards. Factors such as income,
employment, retirement status, buying habits should be considered.
While credit card usage can also usual decline with age, certain section of
mature shoppers continues making use of deposit cards all through the life.
The facts in the current learn about suggests alternative criteria like profits and
employment status, for attractive to mature Americans. Targeting older consumers on
the basis of age would possibly now.

6. (Gupta, 2017), The primary of the paper was once to locate out scheme,
achievements and challenges of Haryana government for the cashless transaction.
She says that in order to promote cashless transactions in India Central Government
has additionally launched Lucky Grahak Yojana and Digi Dhan Vyapar Yojana in
which financial benefits will be provided to residents using cashless means for
transactions. The Haryana government has determined to have a look at a ‘cashless
week’ from January 20 to January 27 to promote digital fee in the state.

11
The authorities has additionally determined to interact university collegestudents and
group of workers (both instructing and non teaching) to promote the mission.

7. (Kumari D.,2016), her paper unfold the mild on the basic thought of cashless
transaction its security issues. She says that insufficient infrastructure
is additionally a predominant barricade for cashless transaction. Illiteracy is one of
the fundamental problems in the path of cashless transaction, as per UNESCO report.
Hacking is one of the troubles for cashless transaction as per the Economic time is
the fundamental challenges in cashless transaction.

8. (Garg & Panchal, 2017), her paper led light on the views of human beings on
cashless financial system in India. Responses from respondents shows that
cashless economy will assist in curbing black money,
counterfeit’s faux currency, fighting against terrorism, minimize money associated ro
bbery, helps in enhancing economic boom of our country. Major challenges that
can avoid the implementation of the coverage are cyber fraud, High illiteracy
rate, attitude of people, lack of transparency & effectivity in digital payment system.
The find out about suggests that the introduction of cashless economic system in
India can be seen as a step in proper direction. It helps
in boom and improvement of economic system in India.

9. Radhakrishnan (1996) find out about on “DEBIT CARDS” shows that the
debit playing cards also have observed broad acceptability than credit cards due to
the fact of assurance of payments to retailers, switching of cardholders to debit
card due to the fact of the usage of hobby free period to keep away
from high hobby cost, annual costs as in contrast to debit cards etc. The learn
about indicates that the increase of provider industry in the country, digital fund
transfer, factor of offerings offer a large viable for banks
to slicing down cost related with the paper-based clearing and price services. The

12
introduction of debit playing cards can take location because of this and
the objective need to be to acquire a indispensable mass in issuing range of
such playing cards so that the operation turns into price effective.

10. Kaynak (1995), “Correlates of credit score card acceptance and utilization in
an advanced developing Middle Eastern Country.” Study suggests that
with increases stage of socio monetary and technological development, credit
score card utilization particularly will increase in creating countries. An
empirical research learn about conducted in city Turkey shows that there
is sure relationship between socio-economic and demographic characteristics of
Turkish shoppers and their savings card holding and utilization behaviors. It was
once located that one of the determinants of credit card use is associated to the age of
the family head and household life–cycle stage. Generally, those family heads who
arein middle and top agehaving large discretionary income level are extra probable to
use credit cards.
For this deposit card issuers are meeting this undertaking by presenting to
cardholders unique advantages and incentives and by way of urging retailers to
promote debit/credit at the factor of sale.

11. (R., 2016), in his paper what is the relationship between cashless financial
system and knowledge economy. Cashless economic system is the fundamental way
to eradicate black money, however it also used to create recognition about the know-
how economic system among the common people. It improves the way
of thinking and use of their intellectual capital rights in a proper way.
Cashless economy is the fundamental way to eradicate black
money, but it additionally used to create recognition about
the understanding economic system amongst the common people.
12. (Pathania, 2016) in his article mentions some of the advantages of cashless
transactions to countries like expanded GDP through using playing

13
cards and decreased social cost, elevated in monetary inclusion due to acceptance of
e-payments, reduces the shadow economy, decreased in money payment permits e-
commerce increase and facilitated depended on transactions online. He says that at
1.7% of GDP, India incurs a lots higher fee of cash in contrast with most developed
economies.
13. (Team, 2016), paper clarifies the influence of Demonetization on the availability
of credit, spending, level of endeavor and authorities finances. The have an effect
on of the shock in the medium time period is a function of how an awful lot of
the currency will be replaced at the quit of the replacement technique and the extent
to which currency in circulation is extinguished.

14. Mandeep Kaur and Kamalpreet Kaur(2008), in their article, "Improvement of

Plastic Cards Market: Past, Present and Future Scenario in Indian Banks" presume
that Indian saving cash segment is tolerating the check of statistics innovation
as each one of the gatherings of investors have now remembered it
as critical necessity for their survival and improvement in future Despite
the stable advances in installments, an anticipated ninety percent of person utilization
consumption in India is as but made
with money which indicates the giant development capability of this business. So this
canbe considered asinsignificant beginning which indicates the extraordinary future p
rospects of plastic card showcase in India.

15. Bansi Patel and Urvi Amin (2012) in their exploration paper "Plastic Money :
Road may Towards Cash Less Society" examined that now days in
any alternate Plastic money winds up relatively unavoidable piece of the change and
to be all more simple and development would assume better position and alongside
the plastic cash.

14
 It seems that plausible that manage the money garb and attainable utilization of
budgetary framework would quit up especially practicable which would likewise
accommodating for cost enactment.

OBJECTIVES
The primary objective of the study was “to find out the customer perception and
impact of demographic factors on adoption of digital mode of payment”: Secondary
objectives are:

❖ The objective of the study is “to study the satisfaction level among the Paytm
users.
❖ To identify the most prominent area of dissatisfaction.
❖ To study the factors that influence consumers in adoption of mobile wallets.
❖ To find out suggestions to improve the services.
❖ To analyze the impact of customers education on usage of digital payments.

RESEARCH METHODOLOGY

The current study is based on primary data collected from 256 respondents from the
different parts of Chandigarh. We went to shopping complex, house hold sector and
students for collecting the data. A well-structured questionnaire was designed to collect
the information from the respondents the questionnaire was designed to study perception
of customer towards adoption of digital payment mode. Likert five-point scales were
used for obtaining responses. The responses have been collected by means of face-to-face
interviews by authors.

Sampling Plan

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Sampling unit: This call is for defining the target population to be surveyed. In this
research the sampling unit was the customers who have been using the digital payment
modes.

Sample size: In this survey the sample size decided was 256.

Sampling procedure: We adopted Intercept interview method for collection of primary

data, as it is not possible to take appointment from a large number of respondents.
Purpose of this research was told to respondents and questions were explained to them in
case there was any need for understanding any particular question. There had been no
personal bias or distortions were allowed while recording the responses.

Research and Statistical tools

The research and statistical tools employed in this study are Chi Square and frequency
analysis. Excel was used to perform statistical analysis. Frequency analysis on the main
factor under study, indicate overall satisfaction levels of respondents with digital payment
mode. For selecting respondents from strata simple random sampling technique is
used using random number tables. Collected data is analyzed by calculating
percentages. Chi Square was carried out to find the digital the responses and to test the
hypothesis.

RESULTS AND DISCUSSION

The analysis of this data was divided into following section

How do you rate the E-wallet service that you have used?
Sr. Opinion No. of Percentage
No. Respondents
1. Strongly Satisfied 74 28.9%
2. Satisfied 106 41.4%
3. Neutral 69 27%
4. Dissatisfied 6 2.3%

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5. Strongly Dissatisfied 1 0.39%
Total 256 100%

The data in the above table indicates that, 28.9 percent of respondents strongly
Satisfied, 41.4 percent of respondents Satisfied, 27 percent of respondents are neutral,
2.3 percent of respondents dissatisfied and remaining 0.39 percent of respondents
strongly Dissatisfied about convenience in transaction is the reason for cashless
payments in India.
It is concluded that Majority of the public (97.3%) felt that Quality of transaction
Services is the reason for cashless payments in India.

χ2-test
H0: Quality of E-Wallet services having no influence on cashless payment in India
H1: Quality of E-Wallet services having influence on cashless payment in India
Observed Frequency Expected Frequency
(Oi-Ei) (Oi-Ei)2 (Oi-Ei)2/ Ei
(Oi) (Ei)
74 51 23 529 10.37
106 51 55 3025 59.31
69 51 18 324 6.35
6 51 -45 2025 39.71
1 51 -50 2500 49.02
χ2 Total 164.76

Calculated value of χ2=164.76. The Critical value of χ2 at 4 degrees of freedom at 5%

level of Significance is 9.488. Calculated value is greater than Critical Value i.e.,
164.76>9.488, Hence, H0 is rejected.

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 Do you believe your transactions are secured?

Sr. Opinion No. of Percentage

No. Respondents
1. Strongly Agree 81 31.6%
2. Agree 105 41%
3. Neutral 62 24.2%
4. Disagree 7 2.7%
5. Strongly Disagree 1 0.3%
Total 256 100

The data in the above table indicates that, 31.6% percent of respondents strongly
agree, 41 percent of respondents agree, 24.2% percent of respondents are neutral, 2.7%
percent of respondents disagree and remaining 0.39 percent of respondents strongly
disagree about convenience in transaction is the reason for cashless payments in India.
It is concluded that Majority of the public (97 %) felt that Security of transaction Services
is the reason for cashless payments in India.

χ2-test

H0 : Security of E-wallet having no influence on cashless payment in India

H1 : Security of E-wallet having influence on cashless payment in India

Observed Frequency Expected Frequency

(Oi-Ei) (Oi-Ei)2 (Oi-Ei)2/ Ei
(Oi) (Ei)
81 51 30 900 17.65
105 51 54 2916 57.18
62 51 11 121 2.37

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 7 51 -44 1936 37.96
1 51 -50 2500 49.02
χ2 Total 164.18

Calculated value of χ2=164.18. The Critical value of χ2 at 4 degrees of freedom at 5%

level of Significance is 9.488. Calculated value is greater than Critical Value i.e.,
164.18>9.488, Hence, H0 is rejected.

Do you Feel 14-15 Business Days is so much time of blocking of

unwanted payments made?

Sr. Opinion No. of Percentage

No. Respondents
1. Strongly Agree 70 27.3%
2. Agree 94 36.7%
3. Neutral 68 26.6%
4. Disagree 20 7.8%
5. Strongly Disagree 4 1.5%
Total 256 100

The data in the above table indicates that, 27.3% percent of respondents strongly
agree, 36.7% percent of respondents agree, 26.6% percent of respondents are neutral,
2.7% percent of respondents disagree and remaining 0.39 percent of respondents
strongly disagree about convenience in transaction is the reason for cashless
payments in India.
It is concluded that Majority of the public (90.6 %) felt that Flowing of payment from
digital way is the reason for cashless payments in India.

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χ2-test

H0: Blocking of E-Wallet payment having no influence on cashless payment in India

H1: Blocking of E-Wallet payment having influence on cashless payment in India

Observed Frequency Expected Frequency

(Oi-Ei) (Oi-Ei)2 (Oi-Ei)2/ Ei
(Oi) (Ei)
70 51 19 361 7.08
94 51 43 1849 36.25
68 51 17 289 5.67
20 51 -31 961 18.84
4 51 -47 2209 43.31
χ2 Total 111.16

Calculated value of χ2=111.16. The Critical value of χ2 at 4 degrees of freedom at 5%

level of Significance is 9.488. Calculated value is greater than Critical Value i.e.,
111.16>9.488, Hence, H0 is rejected.

Are you overall satisfied with E-Wallet Payment?

Sr. Opinion No. of Percentage

No. Respondents
1. Highly Satisfied 73 28.5%
2. Satisfied 110 43%
3. Neutral 57 22.3%

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4. Dissatisfied 15 5.8%
5. Highly Dissatisfied 1 0.3%
Total 256 100

The data in the above table indicates that, 28.5 percent of respondents strongly
Satisfied, 43 percent of respondents Satisfied, 22.3 percent of respondents are neutral,
5.8 percent of respondents dissatisfied and remaining 0.3 percent of respondents
strongly Dissatisfied about convenience in transaction is the reason for cashless
payments in India.
It is concluded that Majority of the public (97.3%) felt that overall satisfaction and no
obstacle during transaction is reason for cashless payments in India.

χ2-test

H0: Any obstacles in E-Wallet payment having no influence on cashless payment in India

H1: Any obstacles in E-Wallet payment having influence on cashless payment in India

Observed Frequency Expected Frequency

(Oi-Ei) (Oi-Ei)2 (Oi-Ei)2/ Ei
(Oi) (Ei)
73 51 22 484 9.49
110 51 59 3481 68.25
57 51 6 36 0.71
15 51 -36 1296 25.41
1 51 -50 2500 49.02
χ2 Total 152.88

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Calculated value of χ2=152.88. The Critical value of χ2 at 4 degrees of freedom at 5%
level of Significance is 9.488. Calculated value is greater than Critical Value i.e.,
152.88>9.488, Hence, H0 is rejected.

Frequency Frequency
(Against) Rank (Favor) Rank D D2
Services 71 3 123 6 -3 9
Cost
76 4 102 5 -1 1
Network 6 38 1 5 25
144

2.Statistical Tool: Spearman Rank Correlation

Purpose: The Spearman's Rank Correlation Coefficient is used to discover the strength
of a link between two sets of data positive and negative

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Reliability
29 1 100 4 -3 9
Safety 5 63 2 3 9
85
Understand
37 2 94 3 -1 1

Total D2 54
Data Analysis: The following table indicates the consumers reviews against or favor of
E-wallets payments.

rs = 1 - 6* 54/ 6(62 -1)

rs = 1 – 324/ 210

rs = 1 – 1.54

rs= 0.54

As n = 6 then rs = 0.54 this indicates a strong positive relationship between the ranks of
positive and negative review of customers on different aspects like time consuming, cost
effective, Safety and security. That is, the higher you ranked in favor reviews, the lower
you ranked against reviews of customer regarding different services. and vice versa.

DATA INTERPRETATION AND

ANALYSIS

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• We have surveyed 257 people. Out of which 63% are males and other are
females.

• Maximum people are having the age above 21 years. Which is shown
below.

24
• We have surveyed 3 sectors of chandigarh.which is shown below

• Out of 257 responses 42% are students and 21.8% are service man as shown
below

25
• Out of the 256 responses 68% were aware of the functionality of E-
payment.

• 34.2% of the people every day uses E- wallets.

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• 165% people uses e wallets and 58.8% people uses cash out of 256 response

• Most preferable e-wallet is paytm (56.8%)

27
• The most common purpose of e wallet of e wallet are money transfer and
recharges.

• The main preference of using e wallet are because it is time saving.

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• Everyone uses e wallet for premium offers and available discount.

• Everyone’s first choice is e wallet as it is time saving.

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• Mostly people add RS. 500 and above

• Most of the people face challenges while using e wallet due to network
issues.

30
• Most of the face problems while using Google pay.

• There is 1% difference between the people who are facing and not facing
any problem in understanding the complexity of e wallet apps.

31
• Mostly people are satisfied with services provided by e-wallet

• Mostly people believe that e wallet payment are secured.

32
.

• As most of the people faced issues in understanding the complexity of the e

wallet that’s why they feel it take too time consumption to set up.

• Many of the people have faced obstacles to add money from there debit
card.

33
• 62.1% people have done the reverse payment of added in e wallet (paytm).

• According to our survey most of the people feel 14-15 business days are so
much time of blocking of unwanted payment made.

34
• Yes, many of the people have faced problem in receiving money in there e
wallet due to network issues.

• According to our survey no not many people have faced fraudulent activity
through e wallet money.

35
• The main reason of dissatisfaction is due to network error.

• According to our survey yes people feel every type of payment is possible.

36
• Time saving is the main factor for using e wallet apps.

• Yes, most of the people are satisfied.

OBSERVATIONS

37
Review of E-Wallet Apps

E-Wallet Apps is one of the best source in India for online transactions. E-Wallet Apps
has registered 200 million users for its digital wallet, reaching a milestone in India.

Reviews of Customers of E-Wallet Apps

❖ E-Wallet Apps is one of the best source in India for online transactions.

❖ E-Wallet Apps has tight security System as we have to login it for any payment
and with UPI and Paytm bank we have to type password every time.

❖ Apart from recharge, E-Wallet Apps is also providing many online services. In
this report online services provided by E-Wallet Apps are discussed above.

❖ E-Wallet Apps provide us so many cashback offers for any recharge, bill
payments etc.

❖ E-Wallet Apps is conventional to use.

❖ E-Wallet Apps is collaborated with Zomato and different E-commerce Apps.

1. Login to E-Wallet Apps with your mobile no. and password

2. Open either Paytm wallet, bank or UPI and pay it

It is very easy to send and receive money through E-Wallet Apps. Online mobile and DTH
recharge are very convenient. Recently E-Wallet Apps introduced payments bank and
BHIM UPI support in India. E-Wallet Apps is constantly adding new features but they are
not improving their website design.

Features of E-wallet

38
 ✓ Details required: Only Aadhaar number, IFSC or code allotted by banks on
registration Cost: (As levied by the telecom operator).
✓ E-WALLET Suitable for: Small-ticket transactions.
✓ Transaction limit: Rs 20,000 per month (Rs 1 lakh for KYC-compliant wallet
holders)
✓ Details required: Login ID Cost: Only if you transfer money from your wallet into
your bank account.
✓ RTGS: Real-time gross settlement systems NEFT: National Electronic Funds
Transfer IMPS: Immediate Payment Service UPI: Unified Payment Interface
USSD: Unstructured Supplementary Service Data

Following are some other advantages of making transactions through e wallets:

Ease of use: As digital wallet is like one click pay without filling details about card viz
card number and passwords every time, it allows user to link digital wallet to accounts
and pay right away so that the consumers face no issues to enter the details every time a
transaction happen.

Security: There is a good amount of security when payments are made through e wallets
since the wallet does not pass the payment card details to the website. These virtual
wallets allow users to lock their wallet.

Convenient and information stored under one roof: As digital wallets helps to
eliminate need to carry the physical wallet they are highly convenient. Also, a better
management is possible as there is synchronization of data from multiple platforms like
bank accounts, credit and debit cards, mobile accounts and billing portals.

Attractive discount: Cash back and discounts are being offered by most of the players
along with providing offline wallet balance top up known as 'Cash Pickup' service. This

39
service is being offered by Mobikwik that will facilitate cash to be directly added to
Mobikwik wallet where consumers of even smaller towns can be benefited.

Challenges Faced by Different Consumers

❖ Problems faced by business persons regarding E-wallet

1) People try to cheat them as instead of making actual E-wallet payment,
people use previous payment screenshot, screen recordings etc.
2) Sometime E-wallet apps faces network error.
3) Sometime E-wallet payments took a lot of time to receive a payment.
4) Sometime they didn't receive any message of receiving payments.
5) They can't make payment not more than 20000 to anybody.
6) They can't transfer money in International Account.

❖ Problems faced by students

1) In Paytm app Paytm wallet is available but in other E-wallet apps directly
linked with our savings A/c.
2) International students cannot create their A/c on Paytm.
3) Sometime E-wallet apps faces network error.
4) Sometime E-wallet payments took a lot of time to make a payment

❖ Problems faced by household sector

1) As in our survey there are so many interviewees are housewives. they don't
know how to use E-wallet apps.
2) They don't know what are the features of E-wallet app.
3) Apart from our data collection we also observe that some people hesitate in
completing their KYC of E-wallet apps.

40
 CONCLUSION
The electronic payment systems are crucial to the success of electronic commerce. Being
a business-critical system, the underlying electronic payment system is required to be
very secure, reliable and trustworthy. The move towards cashless economy is definitely a
good one but it will take much time to have I completely cashless economy. The efforts
are going well by the government as well as the private sector companies having their e-
wallets apps such as PayTM, PhonePe etc.

We have used different techniques to find out the status of cashless economy in
Chandigarh. The responses have been collected by means of face-to-face interviews by
authors. The research and statistical tools employed in this study are Chi Square and
frequency analysis. Excel was used to perform statistical analysis. Overall, we concluded
that our objective of surveying in Chandigarh is achieved. As It is concluded that

41
Majority of the public felt that overall satisfaction and no obstacle during transaction and
people feel Security of transaction Services is reason for cashless payments in India.
The biggest challenge in front of government is the lack of knowledge and awareness
among people and fear of loss of money by use of digital payment methods risk of
hacking. The government needs to tackle these challenges to have cashless economy and
to give a boost to digital payments to provide sustainable economic development to the
country in the long run.

REFERENCES
http://www.socialbeat.in/2015/09/29/top-10-mobile-wallets-in-india/

http://researchgate.net/publication/318484701_Public_Perception_on_Cashless_Transacti
ons_in_India

Garg, P., & Panchal, M. (2017). Study on Introduction of Cashless Economy in India
2016: Benefits and Challenge's. IORS Journal of Business and Management .

Gupta, A. (2017). Cashless Haryana: Achievements and Challenges in the way.

International Journal in Management and Social Science .

Hunt, C. (2014). Transforming talent management- the impact of social and digital
technology. Denovati.

42
Kumari, D. (2016). Cashless Transaction: Methods, Applications and Challenges.
International Journal of Enhanced Reserach in Educational Development .

Kumari, D. N. (n.d.). Imapct of Cashless Economy on Common Man in India.

Kumari, D. N., & Khanna, J. (2017). Cashless Payment: A Behavioural Change to

Economic Growth. IJSRE .

43
 Questionnaire
Survey on: Customer awareness toward E-
Wallet
Personal Details Form
* Required

1. 1. Name *

2. 2. Gender *

Mark only one oval.

Male

44
 Female

3. 3.Age *

4. 4. Chandigarh Sector *

Mark only one oval.

Sector 14

Sector 17

Sector 15

5. 5. Occupation *

Mark only one oval.

Business Man Skip to question 7

Service man Skip to question 7

Student Skip to question 7

Unemployed Skip to question 7

Housewife

Other:

6. 6. Shop Name (If Business Man)

45
7. 7. Are you fully aware of the functionality of E-payments? *

Mark only one oval.

Yes

No

Maybe

8. 8. How often do you use E Wallets ? *

Mark only one oval.

Everyday

Three to six times a

week One to two times a week

once a fortnight once every few

months

Don't know

46
9. 9. Which option you prefer for payment? *

10. 10. Which E-Wallet do you prefer? *

11. 11. What are your purpose of using E-wallet? *

Check all that apply.

Money transfer
Recharge
Utility and bill payment
Fee payment
Other

12. 12. Why do you prefer E-wallet over other modes of payment? *

Check all that apply.

Time Saving

47
 Ease of use
Security

13. 13. What you keep in mind while using E-wallet? *

Mark only one oval.

Premium offers

Available discount

Cash back

All of the above

Other:

14. 14. How do you consider E-wallet against the other sort of payment? *

Mark only one oval.

First choice

Alternate choice

Substitute

15. 15. How much money do you load in E-wallet on a monthly basis? *

Mark only one

oval. less than 500 500-

2000

2000 and Above

48
16. 16. Do you ever face challenges in making E-Wallet payment? *

Mark only one oval.

Yes

No

Maybe

17. 17. From which App you face the problems?

18. 18. Do you face any issue in understanding the complexity of E-Wallet apps? *

Mark only one oval.

49
 Yes

No

Maybe

19. 19. How do you rate the E-wallet service that you have used? *

Mark only one oval.

Strongly Satisfied

Satisfied

Neutral

Unsatisfied

Strongly Unsatisfied

20. 20. Do you believe your transactions are secured? *

Mark only one oval.

Strongly

Agree Agree

neutral

Disgree

Strongly Disagree

21. 21. What are the obstacles you face while using E-wallet? *

50
22. 22. Do you feel any obstacle in adding money in E-Wallets from Debit/Credit Card? *

Mark only one oval.

Very Likely

likely

Neutral

Unlikely

23. 24. Do you Feel 14-15 Business Days is so much time of blocking of unwanted payments
made? *

Mark only one oval.

Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

24. 23. Have you ever done the reverse payment of added money in E-Wallet? *

Mark only one oval.

Yes

No

25. 25. Do you feel problem in receiving money in E-Wallets from someone? *

Mark only one oval.

Very Likely

likely

51
 Neutral

Unlikely

26. 26. Have you faced any fraudulent activity through E-Wallet money? *

Mark only one oval.

Yes

No

Maybe

27. 27. If you feel unsatisfied with E-Wallet, What are the Reasons behind your
dissatisfaction? *

28. 28. Do you Feel every type of payment is possible with mobile and E-Wallet? *

Mark only one oval.

Strongly Agree

Agree

Neutral

Disagree

52
 Strongly Disagree

29. 29. What factors motivate you to use E-Wallets Apps? *

30. 30. Are you overall satisfied with E-Wallet Payment? *

Mark only one oval.

Highly Satisfied

Satisfied

Neutral

Dissatisfied

Highly Dissatisfied

31. 31. Any Comment regarding E-Wallets Payments.

53