Since its inception, Bharat Interface for Money (BHIM) app was leading the domain with a 40 per cent share in UPI volumes. However, its share dropped to 25 per cent in September and has continued to fall to 10 per cent in October and 8 per cent in November, according to the National Payments Corporation of India.
In spite of its steady growth in terms of value and volume, BHIM is struggling hard to maintain the momentum with the UPI’s run rate. As per the official records, the UPI transaction volume climbed to 105 million in November, a 37 per cent rise from October. This is followed by a rise of nearly 150 per cent in October and 87 per cent in September.
BHIM’s dropping share coincides with the launch of Google Tez in mid-September.While BHIM saw only 7.6 million transactions in October; Tez crossed over 30 million transactions by October-end
“BHIM needs to improve its customer satisfaction compared to Tez and PhonePe. BHIM should ensure that complaints get more attention and quicker resolution as well as increase trust by ensuring transactions are safe, ” said D D Mishra, Research Director, Gartner India.