digital transactions cashless initiatives - … · digital transactions & cashless initiatives...

DIGITAL TRANSACTIONS&

CASHLESS INITIATIVES

Cashless Transactions

CURRENT SALES – 2016-17

99% tickets sold (by numbers in lacs) are digitalisedBut only 2% are Cashless

97% tickets sold (by value in lacs) are digitalised

But only 3% are cashless

Online Sales – Payment Gateways

Online ticket sales – Payments through PGCredit / debit cards, NEFT, IMPS, Net BankingMultiple Gateways – informed choice -failure rate & PG

Charges – Atom, HDFC Bank & AppNit

Green Initiative – no print out required - Tickets on mobile / laptops / ipads can be used with declared photo ids

Variety of Smart Cards“;k=k Hkh [kjhnnkjh Hkh , dHkh Hkh dgha Hkh”RFiD – for Travel, Swipe - Shopping

MST – SaralDiscount – 40%

MST – StudentDiscount – 60%

Open EndedDiscount – 20%

Over the CounterDiscount – 10%

SMART CARD TICKETING

SMART CARD TICKETING

USP – A win-winPassenger• Discount• No change• No Que• ComboUPSRTC• Advance• No pilferage• Committed passengerBank• Float• Transaction charges

StatusICICI• MST – 110000 including

students• Open Ended – 20000• Growth @ 4000 pmSBI• OTC – 20000• Growth @ 1000 pm

Demonetise Cash Sales – Tickets On Board• Smart Cards – prepaid, preloaded, no KYC, OTC

Range – Rs. 100 to 2000, top-up in multiples of 100/-No DiscountProduction, marketing & advertisement cost by

banker (approx. 2.5%)Selection Criteria – Minimum MDRAdditional Infrastructure – Swipe card POS at

counter for payments from credit / debit cards

ADVISORY TO PASSENGERS Carry exact change for cash ticket

Or Buy a OTC Card from bank counter no problem of change

CONVERT CASH TRANSACTIONS TO CASHLESS

mTicket & mPayments - Wallets

Mobile Wallet - PayTM, FreeCharge, MobiQuik, etc.CONCEPT

Integration of mobile to conductor’s POS – through a ticketing app –various mWallets integrated to App on API as in a PG

App generates Transaction Id after remittance through selected mWalletand transmits to POS on WiFi

Conductor generates a ticket on Transaction id Aggregator ensures settlement Aggregator commission includes App charges & mWallet conveniance

charges – passenger pays for slecting this optionPoC in one depot of Ghaziabad Region


FUTURISTIC OPTIONCARDS ONLY TICKETING

Deep discount "Single Use Cards" for single journeyMultiple use "Day Boarding Pass" for multiple journeysCost includes 2.5% (production, marketing, SAM for

counterfeit protection) and 10% additional travel value (discount / cash back) – Total 12.5% of transaction value



Fleet Remaining Constant 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23Base Year 1 2 3 4 5

Passengers (crs)/pa 56.00 57.50 59.00 60.50 62.00 63.50Collection (Rs. Crs) 3850.00 4138.75 4449.16 4782.84 5141.56 5527.17

Transactions (crs) - Number 56.00 57.50 59.00 60.50 62.00 63.50Status of Digital Transactions - Digital (Online, ETM, Smart Cards) 53.20 54.63 56.05 57.48 58.90 60.33 - Manual (BT Book) avg 2% 2.80 2.88 2.95 3.03 3.10 3.18Status of Cashless Transactions - Cashless avg 3% 1.68 1.73 1.77 1.82 1.86 1.91 - Cash on board 54.32 55.78 57.23 58.69 60.14 61.60

Collection (Rs. Crs) - Cashless avg 3% 115.50 124.16 133.47 143.49 154.25 165.82 - Cash on board 3734.50 4014.59 4315.68 4639.36 4987.31 5361.36


ProjectionsPassengers / Transactions (crs)Avg. / month 4.67 4.79 4.92 5.04 5.17 5.29Regular @ 60% 2.80 2.88 2.95 3.03 3.10 3.18Flux @ 40% 1.87 1.92 1.97 2.02 2.07 2.12Smart Cards to be issued / pa 25.20 23.08 23.68 24.28 24.88 25.48Value of transactions (crs / pa) 3850.00 4138.75 4449.16 4782.84 5141.56 5527.17



Costs involved (crs / annum)RFiD card production cost @ 50/- 1260.00 1153.75 1183.75 1213.75 1243.75 1273.75Bank's Interest (MDR - 0.65% + Marketing - 1.35% + SAM - Counterfiet protection - 0.50%)

96.25 103.47 111.23 119.57 128.54 138.18

Discounts for promotion / cash back @ 10%

385.00 413.88 444.92 478.28 514.16 552.72

TOTAL COST OF CASHLESS TRANSACTIONS (100%)

1741.25 1671.09 1739.89 1811.61 1886.44 1964.65


User to make a refundable security deposit of Rs. 50/- for card cost ST to meet operations cost 2.5% from internal resources Funds needed for promotion / cash back / deep discount 10% of annual sales

Common Mobility Card

Technology – UPSRTC card is Category A NFC (RFiD) Card as per MoRTH guidelines

Why not EMV – Dependance of network infra and bottleneck of black spots in inter city operations

Interoperability – Works on Access Control Systems of Metros / Metro Cards work on UPSRTC POS

Challenges – CCHS and settlement process agreements – Metro systems shall be central system – other operators to adopt common platform and settlement processes

Thank youwww.upsrtc.com,

www.upsrtconline.co.in

Uttar Pradesh State Road Transport Corporation (UPSRTC)

Parivahan Bhawan, Tehri Kothi, MG Marg, Lucknow.Ph : +91-522-262363, Fax : +91-522-2615526,

email – [email protected], [email protected]

digital transactions cashless initiatives - … · digital transactions & cashless initiatives...

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