How one financial start-up is addressing the complexities of digital payments for Indian consumers

Digital modes of payments have dominated marketplaces ever since the outbreak of Covid-19. Consumers prefer the convenience of going cashless and being able to buy from the comfort of their homes anywhere around the world. However, they often get caught up in the complexities of the terms and conditions of signing up for such a service. 

Slice, a payment and financial solutions start-up based in India, addressed this problem in a creative, eye-popping way. It published a three-page ad in the newspaper, of which one page was entirely in Greek which could be read by using Google Lens, depicting how difficult it can get for some consumers to decode the terms attached to their existing credit cards.

Lending a helping hand

At a time when convenience and speed are most sought-after by consumers, Slice’s ad has created the right kind of stir. In one fell swoop, the brand acknowledged the difficulties consumers faced while signing up for other new credit cards and addressed the issue with a solution. The unique approach created buzz online and brought its target audience closer. Slice closes the ad with a promise to make financial dealings simpler for consumers. This bodes well for the brand as, according to research from Mintel Reports India, 84% of Indian consumers say they are always on the lookout for things that make their lives easier. 

With the ad in Greek, Slice has put all its consumers, prospects and existing, irrespective of their age or background, at the same level. It has made it very apparent that lack of understanding or access to the required technology will not determine the usage of the brand’s services. This gives the brand an edge among the 82% of Indian consumers who, according to Mintel Reports India, say they prefer to be involved with institutions/companies that promote equality.

Empowering the consumers

According to the Mintel Trend ‘Seamless Spending’, digital payment technologies are changing how, when and where people can buy and brands can sell. Purchases being only a tap, scan, or swipe away and the ease of procuring credit or debit cards give consumers a sense of empowerment. Slice’s approach to issuing credit cards without complicated T&Cs is in line with the Mintel trend ‘Guiding Choice’ which states that spoilt by too much choice but with too little time, consumers are looking for shortcuts to aid their decision making. It is one of the reasons why brands are working towards providing consumers with selection-assistance innovations. 

Slice isn’t the first brand to have taken heed of consumer pain points and proactively addressed them by providing solutions. In China, WeChat is testing ‘Palm-Scanning Payment’, a new payment method designed to make transactions more seamless. Financial app MobiKwik launched MobiKwik Zip, a Buy Now, Pay Later (BNPL) product that offers easy credit to a target audience who are usually not eligible for credit due to insufficient credit history. The brand aims to address the unmet credit needs of rural, lower socio-economic sections of Indian consumers. In the same way, Paytm is offering instant personal loans up to USD 2,000, approved in just two minutes – 24 hours a day, aiming to help consumers do away with the hassle of paperwork. 

What we think

The encouragement that digital and cashless payments are receiving has opened up newer avenues for brands. A deep understanding of consumer requirements and pain points backed by technical expertise will help brands soar in this space. While brands have takers in the urban consumers, a larger chunk of the Indian population still needs to be given an orientation for digital payments. They need to address the difficulty the section faces to adopt digital transactions due to a lack of ability or access to the required technology. Brands need to provide solutions that are simpler, more straightforward and more rewarding. They should aim to redefine the space by empowering consumers with financial literacy. Transparent, easy to access information and clear value propositions will give brands an edge in the highly competitive space.