The global card brand has partnered with Confederation of All India Traders (CAIT) to raise digital awareness via WhatsApp in India’s tier 2 and 3 cities. The multicity campaign will span across those local market sectors that range in population from 50,000 to 99,999 (tier 2) and 20,000 to 49,999 (tier 3).
Directly in line with the Indian government’s initiative to drive the push towards a completely cashless economy, this campaign will send specialty videos detailing the benefits of cashless (via WhatsApp) to all merchants listed in CAITs network, according to the company’s press release.
According to Mastercard research, roughly 60 percent of small merchants are still not aware of the benefits that digital payments offer. As such, the campaign also promises timely response to queries and issues regarding cashless, as well as support for those looking to employ the technology.
And Mastercard isn’t the only brand targeting India’s tier 2 and 3 sectors. Paytm has also seen a digital spike in this market segment and their numbers are reflecting it. These smaller cities now make up 50% of the company’s total user base, Paytm said in a blog post.
The digital payments company has reached an annual rate of 5 billion in transaction volume and $50 billion in gross transaction value. This includes United Payments Interface (UPI), wallet and card-based payments, the company said.
Paytm credits its growth numbers in part to the Indian government’s push towards the adoption of digital payments (tier 2 and 3 cities being a large part of this push), as well a “network effect” among both merchants and consumers that shows an increase in activity on both fronts.