HDFC Bank will refurbish its PayZapp application and launch it as a full payment application called PayZapp 2.0 on the latest available digital technology platform.
A refurbished payment application, digital credit cards and a fully interoperable merchant solution will be among HDFC Bank’s priority launches over the next two to three quarters, said Parag Rao, Head of Payments Business and computer from the bank to FE. The Reserve Bank of India (RBI) on Saturday lifted its criminal embargo on digital launches by the bank.
“Over the next two or three quarters, we would be talking about five to six areas where we would go to market with either an enhanced digital offering or an entirely new offering. We will space them out to give us time to get everything right and also for customers to absorb them,” Rao said.
HDFC Bank will refurbish its PayZapp application and launch it as a full payment application called PayZapp 2.0 on the latest available digital technology platform. The bank believes this app will leverage its existing strengths, such as its $60 million debit and credit card franchise. Unlike its previous version, PayZapp 2.0 will have enabled unified payment interface payments. It will include a range of payment options, including modes such as tap and pay to transact at all merchant establishments with the required activation.
PayZapp 2.0 will also offer offers for all categories of merchants through the SmartBuy platform. “Over the next three years, we want this to be among the top three payment apps in the country in terms of transactions and volumes,” Rao said, adding that the app will be aimed at new customers as well as customers. existing.
The bank plans to use the app as a funnel for acquiring new customers. There will be a section on it for the bank to sell credit cards and other banking products.
The bank’s second priority area is the launch of a mobile-only credit card, which will also be serviced only through digital channels. This product line will be a precursor to other mobile-only DIY products the bank plans to launch, including its challenger bank. HDFC Bank had 16.04 million credit cards in circulation in January.
For its merchant clients, HDFC Bank will expand its Vyapar SmartHub app-based solution, which has already had a soft launch. Aimed at small and medium merchants, the app offers a do-it-yourself experience and assisted journeys to benefit from all payment solutions, loans and other value-added services on a single platform. The application will be interoperable with other payment platforms for acceptance transactions. For larger merchants, the bank will pair the app with a POS machine to suit their needs.
The approach to managing relationships with small and medium-sized enterprises (SMEs) will also be further digitized. HDFC Bank hopes to be able to reach a wider range of SME customers through this change.
Jefferies analysts said in a March 12 report that HDFC Bank would now be able to launch platforms integrating its automotive, healthcare and rural finance offerings in partnership with non-financial players. More importantly, the bank will be able to operate more smoothly, according to the report. “Removing the ban would also allow the bank to facilitate standstill initiatives, rather than having to seek clarification from RBI if in doubt.”