A G E N E R A L PROJECT REPORT ON

TO STUDY THE IMPACT OF DIGITAL PAYMENT

SYSTEM/APPS ON CUSTOMERS/CONSUMERS IN BOISAR.
Submitted in partial fulfillment for the award of the degree of
Master of Management Studies (MMS).

(University of Mumbai)
Submitted By
KAUSHIK NAGRAJ CHAUDHARI
Roll No.
MB23009

Under the Guidance of

ASST. PROF. DEEPAK NAYAK
Academic Year
2023-25
SAS INSTITUTE OF MANAGEMMENT STUDIES
(MMS),
Saravali, Boisar (w),
Tal. & Dist. Palghar (MH) -401501.
 DECLARATION

I hereby declare that Project Report submitted by me on the topic “TO

STUDY THE IMPACT OF DIGITAL PAYMENT SYSTEM/APPS ON
CUSTOMERS/CONSUMERS IN BOISAR.” is a Bonafide work
undertaken by me and it is not submitted to any other University or
Institution for the award of any degree diploma/ certificate or published
any time before.

Signature:

Name:
Roll No:
Place: Date:
 DEEP EDUCATION SOCIETY’S

SAS INSTITUTE OF MANAGEMENT STUDIES

Enrich Enhance Elevate

CERTIFICATE
This is to certify that project titled “TO STUDY THE IMPACT OF DIGITAL
PAYMENT SYSTEM/APPS ON CUSTOMERS/CONSUMERS IN BOISAR.” is
successfully completed by KAUHSIK NAGRAJ CHAUDHARI during the IV
Semester, in partial fulfillment of the Master’s Degree in Management Studies
recognized by the University of Mumbai for the academic year 2018-20 through
SAS INSTITUTE OF MANAGEMENT STUDIES.
This project work is original and not submitted earlier for the award of any degree
/diploma or associateship of any other university / Institution.

Internal Examiner
Name: Signature:
External Examiner
Name: Signature:

Dr. Bhagesh Sankhe

(Director SASIMS) College Seal
 ACKNOWLEDGEMENT

I express my sincere thanks to my project guide, “Mr. DEEPAK

NAYAK”, Assistant Prof, of MBA Department, for guiding me right
from the Inception till the successful Completion of the project, I sincerely
acknowledge his for extending his valuable guidance, support for
literature, critical reviews of project and the report and above all the moral
support he had provided me for this project.
I would also like to thank our Director Dr. Bhagesh Sankhe Sir and
other staff members of MBA Department, for their help and cooperation
throughout my project.
 Table of content

Chapter Title Page No.

No.
Declaration
College Certificate
Acknowledgement
1 Introduction 1-18
2 Review of Literature 19-25
3 Research Methodology 26-27
3.1 Problem Statement 26
3.2 Objective of Research 26
3.3 Research Design 26
3.4 Sources of Data 27
1 Primary Data 27
2 Secondary Data 27
3.5 Sampling Size 27
3.6 Sampling Method 27
3.7 Area of the study 27
4 Data analysis and 28-49
interpretation
50
5 Findings

6 Limitations 51-52
7 Conclusion 53
8 Bibliography 54
9 Annexure 55-58

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 CHAPTER- 1) INTRODUCTION

1.1 INTRODUCTION

Mobile payment apps are also known as digital payment apps which are used
for easy transactions and payments. These payment apps were introduced to
customers for their benefits. There are various payment apps which are used
for UPI payments like Google pay Phone pe, Paytm etc. Now days the online
payment apps users are increased dramatically and also the payment options
have been spread in local market. The customers are highly beneficial and
satisfied towards payment apps.
The “Digital India” is the Indian Government’s flagship program with a vision
to convert India into a digitally empowered country. “Faceless, Paperless,
Cashless” is one of Supposed function of Digital India. Digital payment
system has gained importance nowadays, especially after demonetization.
The government is taking essential steps to encourage the public to use
payment gateway platforms. To promote payment gateways, it has declared
discounts on purchases of certain products digitally. It has also introduced
UPI (United Payment Interface) which is app based to transact across multiple
banks. Another improved version is set to be unveiled by the government,
which makes banking transactions though mobile phones without internet by
a platform called USSD (Unstructured Supplementary Service Data). These
initiatives have provided extensive boost up to the digital payment system in
the country. Government’s other initiatives like BHIM and UPI are supporting
in transition and faster adoption of digital payments. Electronics Consumer
transaction made at point of sale (POS) for services and products either
through internet banking or mobile banking using smart phone or card
payment are called as digital payment. In today’s digital era the usage of
internet has increased dramatically. Now days the customers are adopting the
digital devices in order to spend less time on banking. This digital payment is
very useful to transaction funds without taking any risk and also easy to
handle and make use of it. We all witnessed how technologies have been
growing in modern world. On This case the online payment apps also
introduced and it has been successful among customers. Major people who
live in urban areas are adapted to this digital payment system. Unless very
low number of people who lives in rural areas still didn’t know the importance

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and services of this online payment apps. The introduction of digital payment
systems and applications has been one of the most transformative changes in
the financial landscape in recent years. In Boisar, a town that has witnessed
rapid industrialization and growth, the shift toward digital transactions is
increasingly becoming a key aspect of daily life. Digital payment systems,
which include mobile wallets, UPI (Unified Payments Interface), and apps
such as Google Pay, Paytm, and PhonePe, offer users the ability to carry out
financial transactions seamlessly, bypassing the need for cash or physical
bank visits. This convenience is particularly beneficial in a town like Boisar,
where a diverse population, including factory workers, small business
owners, and residents, is transitioning toward a more digital economy.
For consumers in Boisar, the rise of these digital platforms presents several
advantages, such as easier access to financial services, faster payments, and
the ability to make transactions at any time, regardless of banking hours.
These benefits are often accompanied by enhanced security features, such as
encryption and two-factor authentication, which aim to protect users from
fraud. Moreover, these apps allow individuals to track their spending patterns,
manage budgets, and access promotions, which can be especially useful in a
growing urban setting like Boisar. However, the transition to a digital
payment ecosystem also presents challenges. For some customers,
particularly those in rural or semi-urban areas, there may be barriers such as
limited internet connectivity, lack of digital literacy, or reluctance to trust new
technology. Moreover, issues like data privacy concerns and the possibility of
cyber threats pose significant challenges to the widespread adoption of these
digital systems. Despite these hurdles, the government’s push towards a
cashless economy and the increasing number of businesses in Boisar adopting
digital payment methods point to a growing trend in the region.
As digital payment systems continue to evolve, their influence extends
beyond convenience and accessibility. In a rapidly developing town like
Boisar, digital payment platforms have become a powerful tool for financial
inclusion, offering residents the ability to participate in the formal financial
system without the need for traditional banking infrastructure. This is
particularly beneficial in areas where access to physical banks is limited, or
where traditional financial services have been insufficient in reaching certain
segments of the population, such as low-income families, small-scale
vendors, and elderly individuals. By providing an alternative to cash-based

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transactions, digital payment systems empower these groups to engage in
seamless financial exchanges and improve their economic opportunities.
In addition to financial inclusion, digital payments are transforming the
business landscape in Boisar. Small and medium-sized enterprises (SMEs),
often limited in their access to banking services, are increasingly adopting
mobile payment solutions to cater to a more tech-savvy customer base. This
allows local businesses to expand their customer reach, streamline their
payment processes, and increase operational efficiency. Digital payments also
enable businesses to track transactions and manage their finances in real-time,
improving overall business management and growth prospects. Furthermore,
by accepting digital payments, businesses can attract new customers who
prefer the ease and security of cashless transactions. From a customer
perspective, digital payments offer numerous benefits. The ability to make
instant, 24/7 payments for goods, services, and utility bills provides
convenience and saves time. Furthermore, many digital payment apps offer
cashback, discounts, and loyalty rewards, which serve as incentives for
customers to engage more frequently with these platforms. These added
benefits not only enhance customer satisfaction but also encourage repeated
usage, driving further adoption of digital payment systems in Boisar. The
integration of these systems with other financial services, such as investment
platforms and insurance providers, also adds a layer of convenience, allowing
customers to manage their entire financial portfolio in one place. However,
the digital payment revolution is not without its challenges, especially for
Boisar’s less tech-savvy or older population. Although digital payments can
provide immense convenience, they may be intimidating to those who lack
digital literacy or access to modern smartphones and internet connections.
Additionally, trust and security concerns remain a significant barrier for many
customers. Instances of fraud, phishing attacks, and data breaches have
highlighted the risks associated with digital payments, leading some
individuals to remain wary of fully embracing these platforms. While
companies and regulatory bodies are working to improve security features
and establish clearer guidelines, overcoming these concerns will be crucial to
fostering widespread adoption. Moreover, while digital payment systems are
growing rapidly, cash still remains a preferred mode of transaction for certain
sections of the Boisar population, particularly in rural areas where digital
infrastructure is less reliable. The shift towards digital payments, therefore,

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 must be inclusive, ensuring that no group is left behind and that the transition
is smooth and equitable for all customers.

1.2 Industry Profile: Digital Payment Systems in Boisar.

Boisar, an industrial town located in the Palghar district of Maharashtra, India,

has seen significant growth in recent years, driven by both its proximity to
Mumbai and its burgeoning industrial base. Historically known for its
manufacturing and industrial sectors, Boisar has been undergoing a
transformation with the increasing penetration of digital technologies,
particularly in the financial services sector. The rise of digital payment
systems and applications has been an integral part of this change, reflecting
broader trends in India's push towards a cashless economy.

1.2.1 Industry Overview:

The digital payment industry in India has experienced rapid growth, driven
by the government's initiatives such as Digital India and Make in India,
alongside the increasing adoption of smartphones and internet connectivity.
Digital payments include a wide variety of platforms such as mobile wallets
(Paytm, PhonePe, Google Pay), Unified Payments Interface (UPI), internet
banking, and point-of-sale (POS) systems. In Boisar, the adoption of these
platforms is becoming more widespread, particularly due to the area’s
increasing urbanization and the rise of local businesses that are turning to
technology to enhance their service offerings. Digital payments facilitate
various types of transactions including retail, bill payments, peer-to-peer
(P2P) transfers, and government-related disbursements. They offer multiple
advantages such as convenience, speed, security, and the ability to track and
manage finances in real-time. These features have resonated strongly with the
tech-savvy younger population in Boisar, while also attracting small
businesses and industrial workers who benefit from the time-saving and
hassle-free nature of digital transactions.

1.2.2 Key Players in the Industry:

In Boisar, as in the rest of India, several major players dominate the digital
payments landscape. These players are typically fintech companies or mobile
wallet providers, but banks and government-led initiatives also play a key
role.

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• Mobile Wallets: Companies such as Paytm, PhonePe, and Google Pay
have emerged as the frontrunners in the digital payment space, providing
services ranging from P2P transfers to utility bill payments. These wallets
offer convenience and are widely used for both personal and business
transactions in Boisar.
• UPI (Unified Payments Interface): UPI, developed by the National
Payments Corporation of India (NPCI), has become one of the most
popular methods for digital payments across India, including Boisar. It
enables instant money transfers between bank accounts using mobile
phones, without the need for a third-party app. UPI’s popularity is driven
by its ease of use, security features, and interoperability across banks and
digital payment systems.
• Banks and Government Platforms: Traditional banks in Boisar, such as
State Bank of India (SBI), ICICI, and HDFC, have embraced digital
payment methods through internet banking, mobile apps, and POS
systems. Additionally, government-led platforms like Bharat Bill
Payment System (BBPS) and Aadhaar-linked payment systems have
contributed to the adoption of digital payments, particularly for welfare and
subsidy transfers in rural areas.

1.2.3 Market Dynamics and Growth Drivers:

Several factors are driving the growth of digital payment systems in Boisar
and other semi-urban areas in India:
• Government Initiatives: The Digital India campaign, launched by the
Indian government in 2015, has been a key driver in promoting cashless
transactions. This initiative, which aims to transform India into a digitally
empowered society, has provided the necessary infrastructure and policies
to support digital payments, including increasing access to mobile phones
and high-speed internet.
• Infrastructure Development: Boisar's proximity to Mumbai has allowed
for better internet connectivity and mobile network penetration compared
to more rural areas of India. This has played a significant role in enabling
digital payment adoption, as both businesses and consumers have access to
reliable internet services necessary for seamless transactions.
• Evolving Consumer Behaviour: As consumers in Boisar become more
comfortable with smartphones and internet usage, their willingness to
engage in cashless transactions grows. The younger population, in

5
 particular, is leading this change, as they are more inclined to use mobile
apps and digital platforms for managing their finances and making
everyday purchases.
• Business and Industrial Adoption: Small businesses in Boisar, including
street vendors, shops, and factories, are increasingly adopting digital
payments as part of their business operations. Mobile wallets, UPI, and
POS systems allow businesses to conduct transactions without relying on
cash, reducing the risk of theft and improving financial transparency.
• Security and Trust Enhancements: Over time, digital payment platforms
have incorporated more robust security measures, such as encryption,
biometrics, and two-factor authentication. This has helped to mitigate
concerns about fraud and data breaches, increasing consumer trust in
digital payments.

1.2.4 Challenges and Barriers:

Despite the growth of digital payments in Boisar, several challenges remain,
which could hinder the industry’s further expansion:
• Digital Literacy: One of the primary barriers to adoption is the lack of
digital literacy, particularly among older individuals and those in rural parts
of Boisar. Many people are not familiar with how to use smartphones or
digital payment platforms, which can deter them from embracing cashless
transactions.
• Internet Connectivity Issues: While urban centres like Boisar benefit
from good internet access, there are still pockets where connectivity is
intermittent or unreliable. This can pose challenges for customers who rely
on seamless internet access to complete digital payments.
• Trust Issues: Even though security measures are improving, trust in digital
payments remains a concern for some consumers, especially regarding the
safety of personal data and the possibility of cyber fraud. This is
particularly true for people who have previously experienced scams or
security breaches.
• Cash Dependency: In semi-urban areas like Boisar, cash is still widely
used for daily transactions. The habit of using physical currency and the
lack of total reliance on cashless systems present a challenge to the full
adoption of digital payments.

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 1.2.5 Opportunities in the Industry:
Despite these challenges, several opportunities exist for growth and
innovation in the digital payments sector in Boisar:
• Financial Inclusion: Digital payments can significantly improve financial
inclusion in Boisar by bringing previously unbanked individuals into the
formal financial system. This opens up opportunities for micro-lending,
insurance, and savings accounts for the underserved population.
• Merchant Solutions: Providing digital payment solutions tailored for
local merchants in Boisar can help boost business growth and enhance
consumer experiences. Point-of-sale systems, QR codes, and mobile wallet
integrations can be promoted to small businesses to increase sales and
reduce cash handling.
• Cross-Sector Integration: By integrating digital payments with other
sectors such as transportation, education, healthcare, and utilities, the
convenience of cashless transactions can be further expanded, creating a
more cohesive digital economy in Boisar.
• Government Support: With continued government support through
subsidies, training programs, and initiatives aimed at boosting digital
literacy, the adoption of digital payments in Boisar is likely to continue to
grow, particularly among the rural population.

1.2.6 Future Outlook:

The digital payments industry in Boisar is poised for continued growth. As
internet infrastructure improves, digital literacy increases, and trust in
cashless systems builds, digital payments will become even more deeply
integrated into daily life. As a result, Boisar may soon emerge as a hub for
digital transactions in Maharashtra, contributing to the broader vision of a
cashless India. Local businesses, consumers, and the overall economy stand
to benefit from this transition, provided that challenges such as digital
education, infrastructure development, and security concerns are addressed
effectively. In conclusion, the digital payment industry in Boisar is at a pivotal
point. As the town continues to evolve both industrially and technologically,
digital payment systems are set to become an integral part of its economic
ecosystem, offering greater convenience, efficiency, and financial inclusivity.
However, addressing the challenges and maximizing the opportunities in this
space will require the collective effort of businesses, consumers, and
governmental bodies.

7
1.3 Popular online payment apps or payment apps or e wallet list in India
include:

1. Google pay: -
Google pay is a digital wallet platform and online payment system
developed by google to power in-app, online, and in-person contactless
purchases on mobile devices, enabling users to make payments with
android phones, tablets etc.,

2. Payzapp: -
Payzapp is a complete payment solution that empowers an individual to
pay with the help of just one click. The app allows individuals to buy
products from the partner apps, book movie tickets, send money to anyone,
and pay utility bills among many other things.

3. Phone pe: -
Phone pe is an Indian digital wallet platform and online payment company.
Using Phonepe, users can send and receive money, recharge mobile, DTH,
data cards, make utility payments, pay at shops, invest in tax saving funds,
liquid-funds, buy insurance and mutual funds for gold.

4. Paytm: -
Paytm is (a partial abbreviation for ‘Pay through mobile’) Is an Indian
multinational e-commerce payment system and financial technology
company based in Noida, Uttar Pradesh, India. Paytm is currently
available in 11 Indian languages and offers use cases like mobile
recharges, utility bill payments, travel, movies and as well as in store
payment at grocery stores and educational institutions with the Paytm QR
code.

5. Kotak 811: -
Kotak 811 is a zero-balance digital bank account available to everyone
(Resident Indian individuals only). Kotak 811 lets you choose between
zero balance account or an 811-edge savings account based on your needs,
Which acts as a one stop solution for all your financial needs and day to –
day transactions.

8
 6. Bhim app: -
Free charge Bhim (Bharat interface for money) is an Indian mobile
payment app developed by the national payments corporation of India
(NPCI), based on the unified payments interface (UPI). Named after B.R.
Ambedkar and launched on 30 December 2016, it is intended to facilitate
e-payments directly through banks and drive towards cashless
transactions.

7. Free Charge: -
Free charge, a wholly owned subsidiary of Axis bank limited, is one of the
e-payment applications which is based out Gurugram, Haryana. …Using
free charge, users can pay utility bills, mobile recharges, broadband
recharges, metro card recharge, pay landline bills, DTH bills.

➢ Mobile Wallet/Payment App Works:

In the case of First Payment using Online Payment Apps:

• Registered users will input their phone number and the provider
will send them an SMS along with a PIN.
• The user will enter the received PIN, authenticating the number.
• Now the user has to input their credit card information or another
payment method if required (not required if the account has already
been added) and will proceed to validate the payments.

➢ For Subsequent Payments through E Wallet Apps:

• The user will have to re-enter the PIN to authenticate and validate
the payment process

1.4 FEATURES OF E-WALLETS:

1. Instant Payments:
The money transfer between the payer wallet and the payee wallet will
happen within a matter of a few seconds, instead of hours or business days
in an e wallet account. The feature provides huge benefits as payments can
be done anytime and from anywhere making fund transactions
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 immediately and this will increase the control of personal and business
funds.

2. Managing Virtual and Physical Card Operations:

The emerging technology has helped the e wallet app to store the user’s
credit or debit card data, which can be used to make money transactions at
anytime from anywhere across the globe. The evolution of e-wallet
simplifies the user’s finance and it conveniently helps to aggregate all their
cards in one central space. A mobile wallet or payment app is safer to carry
all your cards with you as it avoids the user to physically carry the credit
card. The software helps the app to encrypt the card data without storing
the card numbers using high-grade security.

3. Bill Payments:
Payments App is one of the critical mobile wallets features as most of the
youngsters prefer to pay bills online be it for shopping, groceries,
restaurants, movie tickets booking, flight tickets booking, rent, tuition,
utilities, loans, and so on. With the digital cash moment gaining pace,
mobile wallets are indeed becoming a part of essential services for a
common man. App is one of the critical mobile wallets features as most of
the youngsters prefer to pay bills online be it for shopping, groceries,
restaurants, movie tickets booking, flight tickets booking, rent, tuition,
utilities, loans, and so on. With the digital cash moment gaining pace,
mobile wallets are indeed becoming a part of essential services for a
common man.

4. Easy and Fast Self – Registration:

The main intention of the introduction of e-wallet is to save people’s time,
efforts and ease to do the transaction. The simple self-registration process
comes in handy for the users which pushes them to go for the app without
thinking twice before using it. Usually, these–registration process hast the
following steps:
• Downloading the app and running it on the mobile phone.
• Signing up for it by providing the necessary data.
• Confirming the registration.
• Setting up of password and login.

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 • Linking up with debit or credit card or bank account, as per requirements
• Adding money in the wallet finally using the wallet.

5. Payments To and From Respective Bank Accounts:

A payment app will allow for instant money transfer to any bank including
an individual’s account in the same bank as well as transfer to another
person’s account held in different banks. The payment app owner will have
a variety of options for sending and receiving business or personal money
within just a few clicks from wherever you are and at any time based on
the requirement. One has to first download the online payment apps in
their smart phones. Most of the payment apps download is available in
both Android and IOS based phones.

6. Security:
The moment mobile financial services come into the picture; individuals
prefer the highest security to adopt it. It is essential for money transactions
to be safe and secure from one end to another. Payment Mobile Apps can
be secured with a lot of robust technologies such as passwords, one – time
passwords through SMS, point to point encryption, security questions,
biometrics, out of band authentication and so on. Despite the proven fact
that digital wallets are more safeguarded when compared with credit cards,
the growing concerns of safety in consumers' minds remains the main
obstacle to adopt payment apps.

7. Merchant Payments using Contactless Technologies:

The up-gradation of technology has many merchants across the globe who
is realizing the need to use various mechanics that accepts digital wallets.
Most of the retail clients have made arrangements to make in-store
payments using the mobile wallets via contactless methods are it using QR
– code or near field communication and so on. NFC or Near Field
Communication is a contactless remote technology that works within a
close distance say up to 10 cm and it provides people with secure payments
between the point of service devices and their respective smart phones.
Quick Response Code or QR code is one of the popular forms of payment
methods and it is very similar to a bar code. The user has to first scan the
QR code either using a smart phone or a camera which interprets the bar
code and a related application or a web site open through which payment

11
 can be made. Most of the payment apps provide NFC and QR payment
facilities as the demand for the contactless transaction and the convenience
which it offers to the users is growing seamlessly.

8. Coupons, Rewards, Discounts:

The use of payment apps and e-wallets provides its users with coupons,
discounts, rewards, loyalty points, and so on. Digital wallet solutions will
have tie-ups with many firms that provide offers, discounts, and coupons
on using the payment apps. The e-wallets form an ideal environment to
provide deal-seeking consumers with a huge range of benefits and helps
mobile wallet app to stand out in the market.

1.5 BENEFITS OF PAYMENT APPS & E-WALLETS:

1. Customer Convenience:
The best advantage of using a payment app is customer convenience as
they will be able to make payments using their mobile phones either using
the contactless payments or by scanning QR code instantly. The payment
apps India can be made by using either Samsung Pay or Android Pay or
Apple Pay. One can easily leave the cash and cards at home and use their
phones to make payments instead. Payments made using a mobile wallet
is often easier and faster.

2. Secure way to make payments:

Payments made using mobile phone apps allow the user to use the cell
phone to make in store purchases. These apps use a technology which is
called as Near – Field Communication (NFC) all you have to do is to tap
or wave your phone to make payments at the point of service (POS)
terminal. Most of the time, these apps use either encryption or protected
code to minimize the threat to the personal data of users. Your original card
number will not be stored on the device or with the retailer and instead,
the system will mask the card numbers by assigning them with a random
number or token for each purchase. If in case, a hacker tries to hack to gain
access to store data or your device, they will only get useless information.
E-Wallets offer a great level of security for the financial data of the users.
The user can add a fingerprint or PIN or Password as an additional layer
of security for the phone to enhance the surveillance coverage.

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 3. Improves Cash Flow:
The introduction of e-wallets has improved the cash flow in the markets.
For starters, most of the customers prefer to pay their bills using
debit/credit cards over the traditional method of cash payments. Most of
the mobile payment processors will transfer funds to a business account
under three days.

4. A faster way to make payments:

All the users have to do is tap, pay and go. With the increase in the number
of people who use mobile phones, the e-payment system has gained
momentum worldwide. All one has to do is to simply wave or tap the
phone in front of an NFC compatible terminal, with this single action, the
user has approved the transaction. This will result in a contactless
transaction, despite securing the card number which is never revealed, in
addition to this, the process is faster when compared to using debit or
credit card which needs to be inserted in the device or for swiping purpose
and also it can be expired after a year.

5. Integrates Loyalty Programmes:

The use of mobile payments makes it possible to integrate loyalty and
reward programs as customer information will be stored in the app. For
example: being able to send customers a coupon when they are close to
your store. This will help the customers to automatically receive the
reward points or coupons for every transaction which they make.

1.6 DRAWBACKS OF USING PAYMENT APPS:

1. Security Risks:
• Data Breaches: While payment apps often have encryption protocols
to protect your data, they are still susceptible to hacking. If a security
breach occurs, hackers may gain access to your personal data, including
bank account details, transaction history, and more.
• Phishing and Fraud: Many scammers target users of payment apps
through phishing attacks, tricking them into revealing their login
credentials or transferring money. Fraudulent transactions can be
difficult to reverse since many payment apps are designed to facilitate
fast, irreversible payments.

13
 • Device Vulnerabilities: If your smartphone or device is compromised
(e.g., through malware or unauthorized access), criminals could
potentially gain access to your payment app and steal money from your
account.

2. Privacy Concerns:
• Data Collection: Payment apps often gather extensive personal
information, such as your name, email, phone number, geolocation, and
transaction details. This data is valuable for advertising and could be
sold to third-party companies, leading to concerns about your privacy.
• Tracking: Some payment apps track your purchasing habits, location,
and other activities to build profiles for targeted ads or
recommendations. This level of data collection raises concerns about
who has access to your information and how it’s used.
• Sharing Data: The data you share with a payment app might be shared
with partners or affiliates, raising questions about how securely this data
is stored and whether it could be exposed or misused.

3. Technical Issues:
• App Downtime: Payment apps are reliant on servers and technology
infrastructure. Sometimes, the app may experience downtime due to
server issues, updates, or technical malfunctions. This can prevent you
from making payments or accessing your funds when you need them.
• App Compatibility: Not all versions of payment apps are compatible
with every device or operating system. For instance, some apps might
not function properly on older smartphones or on devices that have not
received recent software updates.
• App Crashes: In some cases, the app itself may crash during use,
especially if it’s not well-optimized. This can be frustrating if you're in
the middle of a transaction or need access to your account urgently.

4. Fees:
• Transaction Fees: Some payment apps charge fees for certain types of
transactions. For instance, sending money via a credit card might incur
a higher fee compared to using a bank account. If you need to transfer
money internationally, currency conversion fees may also apply.

14
 • Withdrawal Fees: Certain apps may charge a fee for transferring funds
from your app account to your bank account or for receiving payments.
These fees can vary depending on the payment method used (e.g., bank
transfers vs. credit card transfers).
• Inactivity Fees: Some payment apps charge a fee if your account
remains inactive for a certain period, leading to small charges over time
if you don’t use the app regularly.

5. Dependence on Internet Access:

• Unreliable Connection: Most payment apps require an internet
connection to function. If you're in an area with poor cellular or Wi-Fi
reception, you may find it difficult or impossible to complete
transactions.
• Offline Transactions: While some apps have the ability to process
payments offline or store transactions temporarily for later
synchronization, this feature is not universal. Without a reliable internet
connection, you may face inconvenience or delays in making payments
or accessing funds.
• Emergency Situations: In an emergency, if you don’t have internet
access, you may not be able to access your funds, pay for services, or
complete transactions.

6. Limited Acceptance:
• Merchant Limitations: Not every business accepts payment apps,
especially in areas with low technological adoption or in smaller, rural
regions. This limits your ability to make payments using these apps in
certain places.
• International Use: Some payment apps might have regional
restrictions, meaning you cannot use them abroad, or they may not be
compatible with international merchants. You may need to find
alternative payment methods, such as cash or credit cards, when
traveling.
• Peer-to-Peer (P2P) Payments: While many people are comfortable
using payment apps for P2P transfers, not everyone may be familiar
with or trust these systems. If you’re trying to send money to someone
who doesn’t use the same app, you might need to find another way to
send funds.

15
7. Fraudulent Transactions:
• Scams: Payment apps are often targeted by fraudsters who use social
engineering tactics to trick users into sending money. For example,
scammers may pose as family members, friends, or trusted companies,
requesting funds urgently.
• Unrecoverable Transactions: One of the major issues with many
payment apps is that transactions are irreversible once completed. If you
make a mistake or fall victim to fraud, it can be very difficult, if not
impossible, to get your money back.
• Account Hijacking: If someone gains access to your payment app
account (due to weak passwords, phishing attacks, or device hacking),
they can make fraudulent transactions, and recovering the stolen funds
might be challenging or not possible.

8. Lack of Consumer Protections:

• Limited Refund Options: Unlike credit cards, which offer chargeback
protections in the event of fraud or faulty goods, some payment apps do
not offer the same level of consumer protection. If you dispute a
transaction, you might not be able to recover your money easily.
• No Insurance on Transactions: Credit cards often come with fraud
protection and insurance for purchases, but many payment apps lack
similar safeguards. If you purchase something and the product is
defective, you may not be able to request a refund or get assistance from
the payment app provider.
• Dispute Resolution: Payment apps might not have a dedicated dispute
resolution process or customer service that can resolve issues related to
transactions, especially when the issue involves third-party vendors or
merchants.

9. Over-reliance on Technology:
• Loss of Access: If you rely too heavily on a payment app for your day-
to-day transactions, you may be left in a difficult situation if the app
becomes inaccessible due to technical issues or account problems.
• Risk of Losing Control: Over time, you may become so accustomed
to using payment apps that you stop keeping track of your physical
money, bank account, or budgeting. In case you lose access to your app
16
 account or face a technical issue, it could disrupt your financial
management.
• App Dependency: Some people may become so dependent on payment
apps that they forget traditional forms of payment or struggle to adapt
to different financial systems (e.g., cash, checks, or bank transfers).

10. Compatibility Issues:

• Device and Operating System Restrictions: Not all devices or
operating systems are compatible with all payment apps. For example,
a certain payment app might only work on Android or iOS, and may not
have a full-functioning version for older or less popular devices. This
creates an issue for people using outdated smartphones or devices that
don’t support certain apps.
• App Updates and Patches: To ensure the payment app functions
smoothly, regular updates and patches are often required. If you don't
update the app, you may encounter bugs, performance issues, or
security vulnerabilities.
• Regional App Limitations: Some apps are designed for specific
regions and may not work properly when used in different countries. If
you travel abroad or move to another country, you may face difficulties
using the app.

1.7 FUTURE OF PAYMENT APPS IN BOISAR:

The future of payment apps in Boisar, like in many small towns and cities, is
promising but will largely depend on several factors:

1. Increased Internet Connectivity: As internet access improves in Boisar,

more people will likely adopt digital payment apps. This will be driven by
faster, more reliable networks, which will make transactions smoother.
2. Rise of Cashless Transactions: With digital payments becoming more
popular across India, especially post-pandemic, Boisar is expected to
follow suit. Local merchants and residents will gradually embrace cashless
transactions, given their convenience.
3. Government Push: The Indian government’s push for a Digital India,
including schemes like UPI (Unified Payments Interface), will encourage

17
 more businesses and consumers in Boisar to use payment apps. Support for
financial literacy will also help increase adoption.
4. Small Business Adoption: With the rise of affordable smartphones and
POS (Point of Sale) solutions, small businesses in Boisar will likely begin
adopting payment apps to streamline their sales and reduce the need for
cash handling.
5. Mobile Wallets & Digital Banking: As fintech grows, apps like Google
Pay, Paytm, and PhonePe will continue to expand, offering services like
bill payments, recharges, and even small loans, making them integral to
daily life in Boisar.

In short, as digital infrastructure improves and the population becomes more

tech-savvy, Boisar will see a gradual shift toward widespread use of payment
apps in both personal and business transactions.

18
 CHAPTER- 2) REVIEW OF LITERATURE

1. Kaur, Puneet, et al. (2020) examined the significant rise in mobile wallet
apps, observing a dramatic trend in their adoption. The study highlighted that
mobile wallet applications have proven to be highly useful for customers due
to their convenience and efficiency in managing transactions. The ability to
make quick, seamless payments and store digital currency within a mobile app
has made these tools increasingly popular, especially for day-to-day
transactions like bill payments, shopping, and money transfers. Additionally,
mobile wallets have been lauded for their safety features, such as encryption,
two-factor authentication, and tokenization, which protect users from fraud
and theft, offering a level of security not always available with traditional cash
transactions or even credit cards. As mobile wallets provide a more
streamlined, user-friendly payment experience, they have significantly
improved the overall payment ecosystem. However, despite the numerous
benefits and growing trend, the adoption of mobile wallets has not been
uniformly extended to all markets. The reasons for this can be attributed to
several challenges that still need to be addressed. First, there are technological
barriers such as limited internet access in rural areas and a lack of sufficient
smartphone penetration in certain regions, which hinders the potential for
mobile wallet adoption in these markets. Second, while many customers are
increasingly adopting mobile wallets in urban areas, there remains a
significant portion of the population that is either unaware of such
technologies or hesitant to trust them due to concerns over data privacy, fraud,
and the complexity of learning to use new technologies. Moreover, the lack of
interoperability between different mobile wallet platforms and limited
acceptance among merchants are significant roadblocks, preventing wider use
in some regions. Furthermore, certain demographic groups, particularly older
generations, may find it difficult to transition from traditional payment
methods to mobile wallets due to the digital divide or fear of navigating new
technology. Despite the growing trend and the clear advantages, the global
spread of mobile wallet apps is still impeded by these barriers, as well as by
regulatory challenges and a lack of proper infrastructure in developing
countries. In markets where mobile wallet adoption has succeeded, there has
often been a robust support system, including financial education, incentives,
and government or institutional backing. However, in many areas, the

19
 transition to mobile wallets is slow and requires overcoming significant
infrastructural, cultural, and educational hurdles. Therefore, while mobile
wallet apps have certainly proven their worth in providing convenient, secure,
and efficient financial services, their widespread adoption remains uneven,
and much work remains to be done in extending these benefits to more diverse
and underserved markets. This means that, even as trends in mobile wallet
usage continue to rise, the full potential of these applications has yet to be
realized, and ongoing efforts to address these challenges will be crucial for
their future success in the global market.

2. Ghosh, Gourab (2021) highlights how the advancement of information and

communication technology (ICT) has revolutionized the way people make
payments, particularly with the emergence of digitalization. As ICT has
evolved, it has significantly transformed payment systems, opening the
gateway to more modern, efficient, and accessible methods of payment. One
of the key drivers of this transformation has been the widespread adoption of
smartphones and the increasing access to the internet, which have collectively
made life significantly easier for people. With these technological
advancements, individuals are now able to perform transactions and access
financial services from virtually anywhere, leading to a considerable reduction
in reliance on traditional payment methods like cash and checks. This shift
towards digital payment systems is primarily fuelled by the growth of mobile
banking, e-commerce, and mobile wallet apps, which have made monetary
transactions quicker, more secure, and convenient. Digitalization, which is the
integration of digital technologies into everyday life, has not only streamlined
trade and commerce but has also drastically improved how financial
transactions are conducted. The ability to make instant payments through
smartphones has eliminated many of the inefficiencies and delays associated
with traditional payment systems. People can now buy goods, pay bills,
transfer funds, and conduct various other financial activities from the palm of
their hands, all in a matter of seconds. Moreover, the ease of accessing
information, the ability to compare prices, and the availability of multiple
payment options have further enhanced the user experience, leading to greater
financial inclusion for individuals who previously lacked access to traditional
banking services. Additionally, the increased security features in digital
payment systems, such as encryption, biometrics, and two-factor
authentication, have provided users with a sense of safety and confidence in
conducting online transactions, further fuelling the adoption of digital
payment methods. The speed and efficiency of digital payments have also had
a transformative effect on businesses, allowing for quicker settlements,

20
 reducing transaction costs, and enhancing customer satisfaction. For
businesses, the shift towards digital payments means they can expand their
reach to global markets, process payments in multiple currencies, and provide
more flexible payment options to their customers. For individuals, the
convenience of digital payments has led to a rise in cashless transactions,
reducing the need for physical currency and making it easier to track personal
spending through digital transaction records. Overall, digitalization has
created a seamless and frictionless experience for both consumers and
businesses alike, transforming how financial transactions are conducted, and
facilitating a more connected, efficient, and inclusive economy. However,
while digital payments have clearly brought about numerous benefits, they
also present challenges, such as concerns over cybersecurity, privacy, and the
digital divide, which need to be addressed for the continued growth and
success of this payment ecosystem. Nonetheless, the continued evolution of
ICT and the growing embrace of digital technologies promise to drive further
advancements in payment systems, ultimately contributing to a more dynamic
and accessible global economy.

3. Vinitha, K., and S. Vasantha (2018) explore how the digital revolution has
profoundly transformed everyday life, highlighting the significant role of the
World Wide Web and digital payments in shaping modern society. The
widespread availability of internet access and the evolution of digital payment
systems have revolutionized how people engage in financial transactions,
offering the convenience of making payments anytime and anywhere. This
level of accessibility has empowered consumers, as they no longer need to rely
on traditional payment methods like cash or checks, which were often time-
consuming or geographically limited. Digital payments have not only
simplified transactions but also enhanced user satisfaction by enabling
seamless, secure, and instantaneous exchanges, whether for online shopping,
bill payments, or peer-to-peer transfers. The ease and efficiency of making
payments on-the-go, coupled with the growing number of payment platforms
offering diverse options, have reshaped consumer expectations, making it
easier for businesses to attract and retain customers. As a result, businesses
that adopt digital payment systems are able to provide greater flexibility, faster
service, and a more personalized experience, which fosters customer loyalty.
The ability to conduct transactions in a hassle-free, secure, and timely manner
has made digital payments a crucial aspect of modern commerce, playing a
pivotal role in enhancing customer satisfaction. Moreover, the increased
reliance on digital transactions has created a more connected global economy,
where consumers are not bound by geographic limitations and can engage in
commerce across borders at the click of a button. In turn, this convenience and

21
 accessibility have contributed significantly to building stronger relationships
between consumers and brands, as digital payments create a sense of trust and
ease that drives repeat business and long-term loyalty. The ongoing
digitalization of financial services, driven by innovations like mobile wallets,
digital banking, and secure online platforms, continues to redefine how
consumers interact with businesses, further solidifying the role of digital
payments in shaping consumer behaviour and loyalty in the modern world.

4. Mendola, Pallavi, Neetu Singhal, and Akash D. Dubey (2018) analyse how
the digital payment landscape in India has undergone a rapid transformation,
especially following the demonetization of 2016. The demonetization act
served as a pivotal moment that accelerated the adoption of digital payments,
pushing both businesses and consumers to shift away from cash-based
transactions and embrace cashless alternatives. This drastic policy move
catalysed a complete turnaround in the payment ecosystem, which previously
had been dominated by traditional banking systems. With the government’s
strong push towards a cashless economy, alongside the growing ubiquity of
smartphones and internet access, technology-driven payment solutions gained
significant traction. The revolution in technology, driven by advancements in
mobile banking, digital wallets, and UPI (Unified Payments Interface),
provided the necessary tools for consumers to engage in seamless, instant, and
secure transactions. Furthermore, the demonetization event acted as a catalyst
for the rise of numerous non-banking players in the payment space, such as
fintech startups, mobile wallet providers like Paytm, PhonePe, and Google
Pay, who introduced innovative and easy-to-use solutions that filled the gap
left by traditional banking systems. These non-bank entities leveraged new
technologies, such as QR codes, biometric authentication, and digital
currency, to create an ecosystem that is more accessible, faster, and more
secure than ever before. The government’s initiatives, including the promotion
of UPI, Aadhaar-based payments, and financial literacy campaigns, helped to
further cement the shift towards digital payments and promote financial
inclusion. As a result, the digital payment landscape in India expanded
exponentially, transforming how people interact with money and paving the
way for the country's ongoing digitalization. The rapid growth of digital
payments has not only made financial transactions more convenient but has
also empowered individuals, small businesses, and rural communities, who
were once excluded from the formal banking system, by providing them with
new opportunities for economic participation. This evolution of the digital
payment space, fuelled by government support and technological
advancements, is reshaping India's financial infrastructure and has set the
stage for a more inclusive, cashless economy.

22
5. Mishra, Sonal, and Kirti R. Swain (2018) discuss the rapid rise in the
popularity of mobile payment systems, attributing it to several key factors
such as the widespread adoption of smartphones, the availability of affordable
high-speed internet, and the growing consumer demand for faster payment
settlements and convenience. As smartphones become increasingly accessible
and internet connectivity improves, mobile payment platforms have gained
significant traction, offering users the ability to make instant, secure, and
convenient transactions from the palm of their hand. These systems provide a
range of payment options, including digital wallets, UPI (Unified Payments
Interface), and QR code-based payments, which have made it easier for
individuals to engage in cashless transactions for everyday purchases, bill
payments, and peer-to-peer transfers. However, despite the surge in mobile
payment adoption, the overall percentage increase remains lower than
expected, even after substantial efforts by the government to promote digital
literacy and encourage the use of digital payment methods. Programs such as
financial inclusion campaigns, the promotion of digital wallets, and initiatives
aimed at educating the population about the benefits of a cashless economy
have helped spread awareness. Still, significant barriers to widespread
adoption persist. These barriers include limited internet access in rural areas,
digital illiteracy among older generations, concerns over security and privacy,
and the lack of infrastructure in certain regions to support smooth digital
transactions. Additionally, many users continue to rely on traditional payment
methods due to their familiarity and trust in physical cash or card-based
transactions. Consequently, while mobile payment systems have undoubtedly
gained traction, there remains a need for continued efforts to address these
challenges, including further enhancing digital literacy, expanding internet
access in underserved regions, and building greater trust in the security of
digital platforms, to ensure that the mobile payment landscape can reach its
full potential.

6. Gupta, Knavish, and Nupur Arora (2020) explore the critical factors
influencing the adoption of mobile payment systems, focusing on the impact
of perceived ease of use and perceived usefulness. According to their study,
these two factors play a significant role in shaping users' attitudes towards
adopting mobile payment systems. The research indicates that when users
perceive mobile payment systems as easy to use and highly useful in fulfilling
their payment needs, they are more likely to develop a positive attitude toward
adopting these technologies. This positive attitude, in turn, has a strong
influence on their intention to adopt mobile payment systems, establishing a
clear link between favourable attitudes and the actual decision to integrate
such technologies into their daily lives. The study applies the Technology

23
 Acceptance Model (TAM), a widely recognized framework for understanding
how users come to accept and use new technologies. TAM posits that
perceived ease of use and perceived usefulness are the primary factors that
affect users' attitudes, which ultimately determine their behavioural intentions
to use a technology. The research further emphasizes that if users find mobile
payment systems convenient, efficient, and effective, they are more likely to
be willing to adopt them, leading to increased usage and acceptance. This
relationship between attitude and intention highlights the importance of
designing mobile payment systems that are user-friendly and provide clear
benefits to users, as these factors significantly influence the likelihood of their
adoption. Gupta, Knavish, and Nupur Arora’s study underscores the relevance
of TAM in explaining the adoption process, suggesting that enhancing the
perceived ease of use and usefulness of mobile payment systems is key to
encouraging their widespread adoption and successful implementation.

7. Mishra, A. B. (2020) highlights how the growing capabilities and strength of

wireless technologies have opened up significant opportunities for businesses
to enhance their offerings and improve customer experiences. As wireless
connectivity has become more robust and accessible, businesses are
increasingly recognizing that electronic payment (e-payment) systems are
crucial for driving brand differentiation, boosting sales, improving customer
satisfaction, and staying competitive in today’s fast-paced market. The shift
towards e-payment modes has permeated various sectors, including finance,
retail, telecommunications, and IT/ITES industries, allowing businesses to
streamline their transaction processes and provide customers with faster, more
convenient ways to make payments. The convenience of digital wallets and
mobile payment solutions has led to their widespread adoption, facilitating
smoother and more secure transactions. For example, one of the notable
successes in recent times has been the rapid growth of the BHIM (Bharat
Interface for Money) wallet, which recorded a threefold increase in
transactions in the financial year 2019-20 alone. This surge in BHIM wallet
usage reflects a broader trend where digital payment systems, backed by
government initiatives like the promotion of UPI (Unified Payments
Interface), have gained popularity due to their ease of use, reliability, and the
security they offer. Businesses that integrate e-payment systems are not only
enhancing their operational efficiency but are also providing customers with
an improved shopping or service experience, which in turn helps in customer

24
 retention and increased loyalty. This trend signifies that e-payment solutions
are no longer just a convenience but an essential tool for businesses aiming to
thrive in the modern, technology-driven marketplace.

8. Singh, Sindhu (2020) discusses how the technological advancements in

mobile phones have significantly boosted the popularity of mobile payments.
With the increasing sophistication of mobile devices, users now have the
ability to shop online and make payments on-the-go, which has not only saved
time but also enhanced convenience. The rise of mobile payment systems has
facilitated seamless transactions between users and payment providers,
transforming the way people engage in commerce. While much research has
focused on the initial acceptance of mobile payment systems—examining
factors such as perceived ease of use and perceived usefulness—Singh points
out that there has been less attention given to understanding users' behaviour
after they have adopted these systems. Post-adoption behaviour is crucial
because it provides insights into how users interact with the mobile payment
platforms over time, including their satisfaction, continued usage, and
willingness to recommend these services to others. Understanding this phase
is essential for businesses and service providers, as it can help identify factors
that influence customer retention, loyalty, and long-term engagement. As
mobile payment systems evolve and become an integral part of daily life,
studying the post-adoption phase could offer valuable data on how to enhance
user experience, improve service offerings, and address any challenges that
users face in their ongoing interactions with these platforms.

25
 CHAPTER- 3) RESEARCH METHODOLOGY

3.1 Problem Statement:

Online payment is very much used in recent years due to convenience,

speedy a transaction, saving time, attractive sales promotional offers,
etc., Despite these factors, there are various transactional and non-
transactional issues involved such as internet user being uncomfortable
often etc. which act as deterrents. However, the future for online payment
looks bright and promising. This is especially true in the context of
consumers in small cities, where online payment is still new, and
consumers are less familiar and often more sceptical towards it.
Therefore, this study aims to examine the customer satisfaction towards
online payment apps and also to analyse the issues and difficulties faced
by the customers towards online payment apps.

3.2 Objective Of Research:

• To study the usage/awareness on digital payment system amongst

customers/consumers.

• To study the impact of digital payment on customers/consumers.

• To know the problems and challenges of digital payment system.

• To highlight the importance of digital payment system.

3.3 Research Design:

Research is purely and simply the framework and plan for the study that
guides the collection and analysis of data. In this research I had used
‘Quantitative & Descriptive’ research type.

26
3.4 Source of Data:

Primary Data: I had used questionnaire as a primary source of data.

Secondary Data: The secondary data is collected from various websites.

3.5 Sampling Size:

I had collected data from 70 out of 100 respondents.

3.6 Sampling Method:

I had used simple random sampling method. In this method I just

randomly circulated questionnaire to collect quantitative data.

3.7Area of the study:

The Respondents are from Boisar and majority of data is collected from
adults.

27
 CHAPTER- 4) DATA ANALYSIS & INTERPRETATION

1. Age: -

OPTIONS Below 18 18-25 26-35 36-50 Above 50

PERCENTAGE 90.9% 9.1% 0% 0% 0%

INTERPRETATION: -
The age distribution reveals a strong concentration of respondents within the
18–25 age group, accounting for 90.9% (64 respondents), while only 9.1% (6
respondents) fell into the 26–35 age bracket. There were no participants under
18 or over 35 years of age. This shows that the survey predominantly reached
young adults, with minimal age variation, possibly reflecting a targeted group
such as college students or young professionals.

28
 2. Gender: -

OPTIONS Male Female Others

PERCENTAGE 72.7% 27.3% 0%

INTERPRETATION: -

Out of 70 total respondents, the gender distribution shows a clear majority of

males at 72.7% (51 respondents), followed by females at 27.3% (19 respondents),
with no representation from other gender identities. This shows that the
respondents pool mainly consist of males suggesting limited diversity in the
gender.

29
 3. Occupation: -

OPTIONS Student Employed Self- Unemployed Retired

employed
PERCENTAGE 72.7% 18.2% 9.1% 0% 0%

INTERPRETATION: -

Among the 70 respondents, a majority of 72.7% (approximately 51 individuals)

identified as students. Employed individuals made up 18.2% (around 13
respondents), while self-employed participants accounted for 9.1%
(approximately 6 respondents). There were no respondents from the unemployed
or retired categories. This indicates that the surveyed group primarily consists of
students, suggesting the data likely reflects opinions or behaviours of a younger,
possibly academic population.

30
 4. Monthly Income: -

OPTIONS Below 10,000- 30,000- Above

10,000 30,000 50,000 50,000
PERCENTAGE 36.4% 27.3% 9.1% 27.3%

INTERPRETATION: -
In terms of monthly income, 36.4% (about 25 respondents) reported earnings
below ₹10,000, indicating a significant portion of the sample may be financially
dependent or part-time earners, likely students. Both the ₹10,000–₹30,000 and
above ₹50,000 brackets each had 27.3% (about 19 respondents), showing a
moderate spread of income among working individuals. Meanwhile, only 9.1%
(around 6 respondents) earned between ₹30,000–₹50,000. The data suggests a
polarized income distribution, with a large low-income group and a comparable
high-income group, possibly reflecting a mix of students and professionals.

31
 5. Are you aware of digital payment apps?

OPTIONS YES NO

PERCENTAGE 100% 0%

INTERPRETATION: -

All 70 respondents (100%) reported being aware of digital payment apps,

indicating a complete level of awareness within the sample group. This suggests
that digital payment platforms have achieved significant penetration and
recognition among the surveyed population, possibly due to widespread
smartphone usage and increasing digital literacy.

32
 6. Which digital payment apps do you use?

OPTIONS Google PhonePe Paytm Amazon Others

Pay Pay
PERCENTAGE 100% 36.4% 27.3% 27.3% 9.1%

INTERPRETATION: -
Among the 70 respondents, all participants (100%) reported using Google Pay,
establishing it as the most widely used digital payment platform. PhonePe was
used by approximately 36.4% (around 25 people), while Paytm and Amazon Pay
were each used by 27.3% (about 19 respondents). Only 9.1% (roughly 6
individuals) reported using other apps. This shows that while Google Pay
dominates in popularity, a notable portion of users also diversify their usage
across multiple platforms.

33
 7. How often do you use digital payment apps?

OPTIONS Daily Weekly Monthly Rarely

PERCENTAGE 72.7% 18.2% 0% 9.1%

INTERPRETATION: -
A majority of respondents (approximately 72.7%, which equals 51 out of 70) use
digital payment apps on a daily basis, indicating strong integration of these apps
into their everyday transactions. Weekly users make up about 18.2% (13 people),
while 9.1% (6 people) use them rarely. This highlights the growing reliance on
digital payments for regular financial activity, with no usage for monthly and
minimal usage for rarely.

34
 8. What is the primary reason for using digital payment apps?

OPTIONS Convenience Cashback Faster Safer than cash

and rewards transaction transaction
PERCENTAGE 54.5% 27.3% 18.2% 0%

INTERPRETATION: -
The most common reason cited for using digital payment apps is convenience,
chosen by 54.5% of respondents (about 38 people). Cashback and rewards
attracted 27.3% (around 19 people), while 18.2% (13 people) use them for faster
transactions. No respondents selected "safer than cash transactions" as their main
reason. This indicates that ease of use and financial incentives are the key
motivators behind the adoption of digital payment systems.

35
 9. Have you reduced cash transactions after adopting digital payments?

OPTIONS YES NO

PERCENTAGE 90.9% 9.1%

INTERPRETATION: -
An overwhelming 90.9% of the participants (64 out of 70) reported that they have
reduced their cash transactions after adopting digital payments, while only 9.1%
(6 people) said otherwise. This reflects a significant behavioural shift from cash
to digital modes of payment, emphasizing the growing acceptance and trust in
digital financial platforms.

36
 10. What type of transactions do you mostly use digital payment apps for?
(Select all that apply)

OPTIONS Bill Online Money Groceries Others

Payment Shopping transfer
PERCENTAGE 72.7% 63.6% 72.7% 54.5% 0%

INTERPRETATION: -
A large number of respondents use digital payment apps for essential daily
transactions. Specifically, 72.7% (about 51 out of 70) use them for bill payments
and money transfers, indicating a strong preference for convenience in managing
regular expenses and sending money. Online shopping is also a popular use case
at 63.6% (approximately 45 users), while grocery payments are slightly less
frequent at 54.5% (around 38 users). This reflects the diverse application of
digital payments in day-to-day life.

37
 11. What is the highest amount you have transacted using a digital
payment app?

OPTIONS Less than Rs.500 - Rs.2,000 - Above Rs.

Rs.500 Rs.2,000 Rs.5,000 5,000
PERCENTAGE 9.1% 18.2% 18.2% 54.5%

INTERPRETATION: -
A significant portion of users (54.5%, about 38 people) have made digital
payments above ₹5,000, showing trust and comfort in handling high-value
transactions through these platforms. Meanwhile, 18.2% (13 people) each fall in
the ₹2,000–₹5,000 and ₹500–₹2,000 ranges, suggesting varied spending habits.
Only 9.1% (6 people) have transacted less than ₹500, implying that the majority
of users are not just limiting usage to small-scale payments.

38
 12. How Satisfied are you with digital payment apps?

OPTIONS 1.Very 2.Satisfied 3.Neutral 4.Dissatisfied 5.Very

Satisfied Dissatisfied
PERCENTAGE 27.3% 36.4% 9.1% 9.1% 18.2%

INTERPRETATION: -
User satisfaction appears mixed, with the majority (36.4%, about 25 respondents)
rating their satisfaction level at 2 on a scale of 1 to 5 indicating they are satisfied.
Another 27.3% (around 19 users) rated it 1, indicating they are very satisfied.
Only 18.2% (13 people) gave a rating of 5 means they are not very satisfied, and
9.1% (6 users) each rated it 3 and 4. This suggests that many of the respondents
are satisfied and only few are dissatisfied with the usage of digital payment apps.

39
 13. Which features do you like the most about digital payment apps?
(Select all that apply)

OPTIONS Ease of Security Cashback Speed of

use features and rewards transactions
PERCENTAGE 63.6% 54.5% 54.5% 45.5%

INTERPRETATION: -
Among the surveyed 70 respondents, the most appreciated feature is the ease of
use, favoured by around 64 individuals (63.6%). This is closely followed by
security features and cashback and rewards, each liked by about 55 people
(54.5%). Speed of transactions is slightly less popular but still valued by 45 users
(45.5%). These preferences highlight that users value not just utility but also
security and incentives in digital payment platforms.

40
 14. Do you trust digital payment apps with your financial transactions?

OPTIONS YES NO

PERCENTAGE 90.9% 9.1%

INTERPRETATION: -
A large majority of the 70 respondents—approximately 64 people (90.9%)—trust
digital payment apps for managing their financial transactions. Only 6 users
(9.1%) expressed a lack of trust. This high level of trust indicates a strong
acceptance and reliance on digital payment systems, possibly influenced by
positive user experiences and growing digital infrastructure.

41
 15. Have you faced issues with digital payment transactions?

OPTIONS Yes, transaction Yes, unauthorized Yes, delays No issues

failures transactions in refund faced

PERCENTAGE 63.6% 0% 27.3% 9.1%

INTERPRETATION: -
Despite the popularity, some challenges persist. About 45 respondents (63.6%)
have experienced transaction failures, which is the most common issue. Around
19 users (27.3%) reported delay in refund, and 6 individuals (9.1%) has not issues
faced any issue. Notably, none of the respondents indicated that they faced an
unauthorized transactions, suggesting room for improvement in reliability and
dispute resolution mechanisms in digital payment platforms.

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 16. How do you resolve digital payment transaction failure?

OPTIONS Contact customer Wait and Avoid using Other

support retry the app again

PERCENTAGE 54.5% 45.5% 0% 0%

INTERPRETATION: -
Among 70 respondents, around 38 people (54.5%) stated that they resolve digital
payment transaction failures by contacting customer support, while
approximately 32 users (45.5%) prefer to wait and retry. Notably, none reported
avoiding the app altogether, indicating that while users do face technical issues,
they are still willing to engage with the platforms and seek resolutions rather than
abandoning them.

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 17. Have you ever received fraudulent calls or massages related to digital
payments?

OPTIONS YES NO

PERCENTAGE 72.7% 27.3%

INTERPRETATION: -
Out of 70 participants, about 52 respondents (72.7%) confirmed having received
fraudulent calls or messages related to digital payments, while around 18 (27.3%)
had not encountered such scams. This indicates a significant vulnerability in user
safety, emphasizing the need for better awareness and protective measures against
phishing and fraud in the digital payment ecosystem.

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 18. What challenges have you faced while using digital payment apps?
(Select all that apply)

OPTIONS Poor internet Transaction Avoid using Other

connectivity failures the app again

PERCENTAGE 63.6% 54.5% 36.4% 9.1%

INTERPRETATION: -
When it comes to challenges, poor internet connectivity was the most common
issue, reported by approximately 45 users (63.6%), followed closely by
transaction failures affecting around 38 users (54.5%). Security concerns were
raised by about 25 respondents (36.4%), while only 6 people (9.1%) noted a lack
of merchant acceptance. This pattern reflects that while technical barriers remain
a core issue, users are also significantly concerned about the safety and reliability
of their transactions.

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 19.What security measures do you take while using digital payment apps?
(Select all that apply)

OPTIONS Use strong Enable two- Avoid using Regularly check

passwords/PINs factor public Wi-Fi transaction
authentication for history
transactions
PERCENTAGE 72.7% 54.5% 36.4% 36.4%

INTERPRETATION: -
Approximately 72.7% of users (around 51 out of 70) use strong passwords or
PINs, making it the most widely practiced security measure. Around 54.5%
(about 38 users) enable two-factor authentication, indicating a good level of
awareness about enhancing account protection. Meanwhile, approximately
36.4% of respondents (around 25 users) avoid using public Wi-Fi for transactions,
and a similar percentage regularly check their transaction history. These figures
show that while the majority adopt basic security measures, there is still room for
improvement in adopting more comprehensive safety practices when using
digital payment apps.
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 20. Have you stopped using ang digital payment app due to security
concerns?

OPTIONS YES NO

PERCENTAGE 72.7% 27.3%

INTERPRETATION: -
From the data, around 19 respondents (27.3%) admitted to stopping the use of a
digital payment app due to security concerns, while the majority—51 users
(72.7%)—continued using such apps despite risks. This indicates that although
security is a concern for a segment of users, most still consider the benefits of
digital payments to outweigh the potential threats, pointing to growing trust or
dependence on these platforms.

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 21. Would you recommend digital payment apps to others?

OPTIONS YES NO

PERCENTAGE 90.9% 9.1%

INTERPRETATION: -
An overwhelming 64 out of 70 respondents (90.9%) would recommend digital
payment apps to others, showcasing strong user satisfaction and trust in the
functionality and reliability of these services. Only a small fraction, around 6
users (9.1%), would not recommend them, possibly due to personal negative
experiences. Overall, the data reflects a generally positive perception and
advocacy trend among current users.

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 22. Do you think digital payments will completely replace cash
transactions in the future?

OPTIONS YES NO NOT SURE

PERCENTAGE 54.5% 9.1% 36.4%

INTERPRETATION: -
About 38 respondents (54.5%) believe that digital payments will eventually
replace cash transactions, while 6 users (9.1%) do not share this belief. However,
a significant portion—26 individuals (36.4%)—are still unsure, indicating
uncertainty about how universally acceptable and feasible a completely cashless
economy might be in the near future. This mixed sentiment reflects both optimism
and caution regarding the evolution of financial transactions.

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 CHAPTER- 5) FINDINGS
(FOLLOWING ARE THE FINDINGS BASED ON THE OBJECTIVES OF
THE PROJRCT)
1. To study the usage/awareness on digital payment system amongst
consumers/customers:
The study revealed that a majority of the customers in Boisar are aware of
and actively use digital payment apps such as Google Pay, PhonePe, and
Paytm. Most respondents use these platforms for everyday transactions like
shopping, bill payments, and mobile recharges. The awareness level is
relatively higher among the youth and working professionals, while some
older individuals still prefer traditional cash transactions due to lack of
digital literacy.
2. To study the impact of digital payment on consumers/customers:
Digital payment systems have positively impacted customers by offering
convenience, faster transactions, and reducing the need to carry cash. Many
respondents reported increased ease in making payments, especially during
emergencies and while shopping online. Additionally, users appreciated
cashback offers and transaction history tracking features. However, a few
customers expressed concerns about over-spending due to ease of
transactions.
3. To know the problems and challenges of digital payment system:
While digital payments are widely used, customers in Boisar face certain
challenges such as poor internet connectivity, app glitches, delayed
refunds, and occasional transaction failures. Security concerns, such as fear
of fraud and data breaches, were also highlighted. A portion of users
expressed discomfort with sharing bank details or making online payments
due to fear of scams.
4. To highlight the importance of digital payment system:
The study underscores the importance of digital payments in promoting a
cashless economy, enhancing transparency, and making transactions quick
and accessible. It plays a crucial role in financial inclusion, especially in
semi-urban areas like Boisar. Digital payment systems not only support
ease of living but also aid small businesses by enabling instant and
traceable transactions.

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 CHAPTER- 6) LIMITATIONS

1. Limited Sample Size and Demographics:

The study may be limited by the size and composition of the sample
population. If only a small number of users or a specific demographic
group (e.g., age, income, or education level) is surveyed, the findings may
not fully represent the diversity of Boisar’s population. This limitation
could lead to biases in understanding the broader trends in the adoption of
online payment apps.

2. Technological Barriers:
The usage of online payment apps is heavily dependent on internet
connectivity and access to smartphones. In rural areas like Boisar, where
internet infrastructure might still be developing, there may be significant
challenges in reaching all customer segments. Limited access to high-speed
internet or affordable smartphones could prevent a substantial portion of
the population from adopting online payment systems, skewing the results
of the study.

3. Digital Literacy:
A lack of digital literacy among some residents of Boisar, particularly the
elderly or less educated individuals, could impact their ability to effectively
use online payment apps. The study may not fully account for the learning
curve that some users face when adopting new technologies, which could
result in underreporting of app usage in certain demographic groups.

4. Variability in App Adoption:

Different online payment apps may have varying levels of popularity and
usage depending on the region. In Boisar, for example, some apps like
Paytm, Google Pay, or PhonePe may be more commonly used than others,
which could create uneven data on app adoption. The preferences for
particular apps might also change based on local promotional efforts or
specific features of the apps that cater to local needs.

5. Security Concerns:
Users may be hesitant to use online payment apps due to security and
privacy concerns. The study might not fully capture the extent to which

51
 fears about fraud, data breaches, or financial security influence the
adoption rate of these apps in Boisar. This limitation could impact the
understanding of the psychological barriers to adopting online payment
technologies.

6. Lack of Long-Term Data:

A study on the usage of online payment apps might only capture a snapshot
of user behaviour at a particular time, which may not reflect long-term
trends. Changes in customer behaviour over time, such as increased trust
in digital payments or shifts in market dynamics, may not be fully captured
if the study focuses on short-term data.

7. Economic Factors:
The study may also be limited by the economic conditions of the region.
Boisar’s economy, which includes industrial sectors, small businesses, and
a relatively small rural population, may not be conducive to widespread
use of online payment systems. Economic constraints, such as low
disposable income or limited access to banking services, could influence
the adoption of online payment apps in ways that might not be reflected in
the study.

8. Resistance to Change:
Cultural and behavioural factors in Boisar could play a role in how
customers approach new technologies. Some customers may prefer
traditional payment methods, such as cash or card transactions, and may be
resistant to change. The study may not fully capture the reluctance or
resistance to adopting online payment systems due to entrenched habits or
scepticism about the reliability of these technologies.

52
 CHAPTER- 7) CONCLUSION

In conclusion, the usage of online payment apps in Boisar presents both

significant opportunities and challenges. While the adoption of digital payment
systems has the potential to improve convenience, accessibility, and financial
inclusion for residents, various limitations must be addressed for a more
comprehensive understanding. These limitations include technological barriers,
such as limited internet access and smartphone penetration, digital literacy issues,
security concerns, and varying levels of merchant acceptance. Additionally,
economic factors, cultural resistance, and regulatory challenges may influence
the rate of adoption and continued use of online payment platforms in Boisar.
Despite these obstacles, the rise of mobile payments presents a promising shift
towards a more digital and cashless society, and ongoing efforts from both the
government and private sector can help alleviate many of the barriers identified.
A more inclusive approach that focuses on education, infrastructure, and security
measures will be crucial in fostering the widespread adoption of digital payment
systems in the region, ultimately contributing to greater financial inclusion and
economic development.

53
 CHAPTER- 8) BIBLOGRAPHY

• https://www.ijnrd.org/papers/IJNRD2205134.pdf
• https://www.researchgate.net/publication/373159203
• http://timesofindia.indiatimes.com/business/india- business/400 1000-
increase-in-digital-transactions-after- demonetization-says-
government/articleshow/55897291.cms
• http://mfsys.com.pk/post-demonetisation-which-digital- payment method-
to-use/

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 ANNEXURE

1. Age: -
• Below 18
• 18-25
• 26-35
• 36-50
• Above 50

2. Gender: -
• Male
• Female
• Others

3. Occupation: -
• Student
• Employed
• Self-employed
• Unemployed
• Retired

4. Monthly Income: -
• Below 10,000
• 10,000-30,000
• 30,000-50,000
• Above 50,000

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5. Are you aware of digital payment apps?
• Yes
• No

6. Which digital payment apps do you use?

• Google Pay
• PhonePe
• Paytm
• Amazon Pay
• Others

7. How often do you use digital payment apps?

• Daily
• Weekly
• Monthly
• Rarely

8. What is the primary reason for using digital payment apps?

• Convenience
• Cashback and rewards
• Faster transaction
• Safe than cash transaction

9. Have you reduced cash transactions after adopting digital payments?

• Yes
• No

10. What type of transactions do you mostly use digital payment apps for?
• Bill Payment
• Online Shopping
• Money transfer
• Groceries
• Others

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11. What is the highest amount you have transacted using a digital payment
app?
• Less than Rs.500
• Rs.500 - Rs.2,000
• Rs.2,000 - Rs.5,000
• Above Rs. 5,000

12. How Satisfied you with digital payment apps?

• Very Satisfied
• Satisfied
• Neutral
• Dissatisfied
• Very Dissatisfied

13. Which features do you like the most about digital payment apps?
• Ease of use
• Security features
• Cashback and rewards
• Speed of transactions

14. Do you trust digital payment apps with your financial transactions?
• Yes
• No

15. Have you faced issues with digital payment transactions?

• Yes, transaction failures
• Yes, unauthorized transactions
• Yes, delays in refund
• No issues faced

16. How do you resolve digital payment transaction failure?

• Contact customer support
• Wait and retry
• Avoid using the app again
• Others

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17. Have you ever received fraudulent calls or massages related to digital
payments?
• Yes
• No

18. What challenges have you faced while using digital payment apps?
• Poor internet connectivity
• Transaction failures
• Security concerns
• Lack of merchant acceptance

19. What security measures do you take while using digital payment apps?
• Use strong passwords/PINs
• Enable two-factor authentication
• Avoid using public Wi-Fi for transactions
• Regularly check transaction history

20. Have you stopped using ang digital payment app due to security concerns?
• Yes
• No

21. Would you recommend digital payment apps to others?

• Yes
• No

22. Do you think digital payments will completely replace cash transactions
in the future?
• Yes
• No
• Not Sure

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