Amazon started as online book store and has grown to be the worlds largest online retailer.
India issues Amazon with a wallet licence
Amazon Payments has been granted a wallet payment licence in India. This will mean it can offer a more streamlined payments experience to shoppers in what is a key ecommerce battleground. The licence issued on 22nd March to Amazon Online Distribution Services Private Limited means that Amazon becomes one of only 84 companies accredited by the Reserve Bank of India.
Currently on Amazon, shoppers face a two-factor authentication processes on each and every purchase they make as required by Indian law. The wallet licence will likely help remove a step or two from the payment process because shoppers can set up their wallet preferences for future purchases. And it also gives Amazon the opportunity for cashback and discount offers, as well as faster refunds, giving Indian shoppers a similar buying experience to that familiar elsewhere in the world. The wallet licence will also allow shoppers to store cash online for future use.
It seems likely that Amazon will use the wallet licence to augment its Amazon Payments service in India and that will help with its attempts to take on the likes of eBay and Flipkart, who recently revealed a partnership. It’s all hotting up in India and that is hardly a surprise: it’s the world’s second most populous country with a burgeoning middle class.